9 replies on this article “Should I switch salary bank account from HDFC Bank to Kotak Mahindra ?”

1. ashalanshu says:

   March 10, 2014 at 10:02 pm

   Dear Mundhana, please check the expense ratio of following 2 funds.

   HDFC Top 200 Growth option Regular plan

   HDFC Top 200 Growth option Direct plan

   You ‘ll know the difference why I’m asking to go directly with AMC (You can invest in direct plan only with AMC)

   Thanks

   Ashal

   Reply
2. mundhada says:

   March 10, 2014 at 6:46 pm

   Thanks Ashal. I actually wanted you to elaborate your following statement.

   “Actually more money you can save by shifting your MF investing from HDFC Bank’s ISA to directly with the respective AMCs.”

   Reply
3. ashalanshu says:

   March 10, 2014 at 5:51 pm

   Dear Mundhada, when a bank is paying you 6-7% on your SB account, it’s not doing any charity to you. Actually it’s gathering low cost deposit for itself. Please do note to earn 7%, you need to have minimum average daily balance of 1L Rs. in Kotak. Else it’ll be 6%.

   If you feel the associated pain to transfer all your banking transactions as well as investments linked with HDFC account is worth of your money due to this 2% difference, please go ahead and opt for switch over.

   Thanks

   Ashal

   Reply
4. mundhada says:

   March 10, 2014 at 5:26 pm

   Ashal , you continue to amaze me with your clarity of thought. Can you please elaborate by way of an example as to what are the hidden costs i may be paying ?

   Thanks

   Sandip

   Reply
5. ashalanshu says:

   March 9, 2014 at 8:49 am

   Dear Mundhada, if the parking is to happen for few days only, the taxation of liquid funds and your SB account’ll be same. The only difference’ll come from 10000 Rs. interest from SB account being tax free under section 80TTA. But do check, based upon your salary credit and expense related debit data, how much more from the 2% you’ll earn? Is it worth of your money?

   Actually more money you can save by shifting your MF investing from HDFC Bank’s ISA to directly with the respective AMCs.

   Thanks

   Ashal

   Reply
6. astrosunil says:

   March 9, 2014 at 2:15 am

   I was having an account with Kotak Mahindra bank & my experience with them was bad – well, this is just my personal experience. I think you must go thru :
   https://www.jagoinvestor.com/forum/which-bank-has-the-best-sweeping-facility
   https://www.jagoinvestor.com/2011/03/auto-sweep-bank-account.html

   Reply
7. Hemanth Chandra says:

   March 8, 2014 at 11:06 pm

   Go through below links.

   http://www.moneycontrol.com/investor-education/classroom/all-you-wanted-to-know-about-liquid-funds-969193.html

   http://www.valueresearchonline.com/story/h2_storyView.asp?str=22069

   Just google ‘taxation on liquid funds’ you will get a lot of articles.

   Find liquid funds available in the market in below link.

   http://www.valueresearchonline.com/funds/fundSelector/default.asp?pg=&amc=&cat=1&exc=dir%2Cclose&returns=&startDate=&endDate=

   Reply
8. mundhada says:

   March 8, 2014 at 5:44 pm

   Thanks. Can you provide more details on how the taxation works and some good liquid funds.

   Reply
9. Hemanth Chandra says:

   March 8, 2014 at 2:18 pm

   Hi Mundhada,

   If your idea is to get more returns from idle money in your bank account, why to change your salary account bank, instead you can park your money in liquid funds.

   Regards,
   Hemanth.

   Reply

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