Is it mandatory to attach bank statement at the time of Mutual funds Redemption ?

POSTED BY vijay ON November 26, 2013 8:11 pm COMMENTS (4)

Does one need to furnish any documents (like bank statements) to redeem their MFs? Is the redemption procedure different for direct vs something done via FundsIndia portal?

Thanks,

Vijay

4 replies on this article “Is it mandatory to attach bank statement at the time of Mutual funds Redemption ?”

  1. vijay says:

    Thanks so much for the elaborate reply. By “Direct” I did mean directly through the AMC. I have some SIPs earmarked to go for 10 years. Wanted to make sure my documentations remain in order.

    Thanks again,

  2. bemoneyaware says:

    What does buying Directly means?
    Do you mean you bought from the mutual fund AMC directly without any agent.
    Redemption process if Mutual Funds have been purchased through the AMC directly: When you buy Mutual Funds from the AMC directly, you can sell it through the AMC, either on their websites or by visiting the closest office. Most AMCs offer the facility of transacting online. You can login to your account and redeem the units. However, if you do not have an online account, or if the AMC does not offer this facility, you can collect the redemption form from the AMC’s office and submit it after filling in the details.

    Redemption process if Mutual Funds have been purchased through online portals: When you purchase Mutual Funds through online portals like FundsIndia and FundSuperMart, the units can be redeemed through a few clicks. You will need to login to your account with these portals and select the scheme to be redeemed. You have to simply select the number of units to be redeemed to process the request.

    Redemption process if Mutual Funds have been purchased through Demat and Online Trading Account: This method is similar to the previous method. You will need to login to your trading account and access the Mutual Funds section. Select the scheme to be redeemed and the number of units to be redeemed. When you confirm your order, your request will be taken up for processing.

  3. bemoneyaware says:

    No
    The proceeds of sale of mutual fund units will be credited to your bank account which has been registered with the AMC at the time of purchase. It is important to make sure that this bank account is active.
    If this bank account is inactive, you will have to follow several procedures to get the proceeds credited to your new bank account, which can be quite exasperating. In very rare cases, electronic transfer is not done and the AMC sends a cheque to the KYC address of the holder, registered with it.

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