POSTED BY June 10, 2014 8:59 am COMMENTS (4)ON
I am planning to surrender my LIC policy (Jeevan Tarang) which I took in 2006, Sum Assured Rs, 2,00,000. Term 20 years, How much can I expect to get after surrendering? And where should I Invest this amount for long term?
I have not Invested in Mutual Funds so far. I have a PPF account opened in 2006 there is 7 lakhs in that account. I also have a home loan of 20 lakhs (Tenure 20 years @ 9.9% five years fixed) taken in the year 2011. After some prepayments the balance loan amount is Rs.13, 90,000. I have not taken a Life cover (Term policy) yet and no liquid cash in hand for emergencies. I am married.
I have thought of Investing the surrendered amount in two Mutual Funds, Franklin India Blue-chip fund growth option direct plan and Quantum Long Term Eq. Fund growth option. And thereafter I will pay Rs 5000/- every month via SIP in both funds.
Please tell me what I am doing is right?