Gift card – who offers them and smartest ways to use it

Gifting something as per his/her taste is the most daunting task. No, seriously. If we do not find anything suitable, we zero down on offering cash. This scenario is prevalent, especially during weddings. Again, the question arises how much of money is enough money? Thanks to the invention of gift cards, a considerable pressure is eased off from our shoulders.

What is a gift card?

The rectangular card has prefilled amount that can used at single or multi-chain stores. A gift card is available for every product from movie tickets to branded shops to travel and so on. Also, you can buy either the physical or a digital variant of the card. You can buy gift card paying via net baking, credit/debit card and cash. It is recommended to purchase gift cards with longer validity and of smaller value so that they can be used in instalments. Gift cards are usually valid anywhere between 1 to 3 years.

Who offer gift cards?

1) Single retailer gift cards: Such cards are bought at a particular branded store. For example, Shoppers Stop offers either vouchers or physical card for certain amount that cannot be redeemed against all products. Retailers provide gift cards anywhere between INR 250 to INR 50,000.

2) E-commerce gift cards: These are highly popular and almost every e-commerce portal offer gift cards, either in digital or physical form. Myntra, Amazon give away cards for special occasions such as weddings, birthdays, anniversaries, etc. Even coupon websites like Grabon and Woohoo provide e-gift voucher that are purchased extensively. E-commerce website gives e-vouchers for the range of INR 10 to INR 20,000.


3) Bank gift cards: Banks such as HDFC Bank, ICICI, etc. have their set of gift cards. A bank gift card is prepaid that comes with a PIN. For acquiring the gift card, you need not be their customer. You have to load a minimum amount of INR 50 that extends up to INR 50,000. Just like credit/debit card, you can check the balance in the card. However, you cannot withdraw money. They come with a restriction: you can use the gift card only at Visa, and MasterCard enabled outlets.

Smart ways to use a gift card:

1) Spend sooner than later: What if the store shuts down due to uncalled circumstance? Or the retail shop is going under loss? It is advisable to use the gift card as soon as possible.

2) Can regift/resell the card: If you feel the gift card is of no use or there are stores around your area, you can get rid of it by reselling/regifting. Sites like cardpool.com and so on allow users to resell their gift cards online.


3) Do not overspend/underspend: Just because you have gift card that has balance of INR 30,000 does not mean you purchase items that hold no value to you on a day-to-day basis. Best way is to plan what you require and approach retail shops when they have promotions/sales running.

You do not have to go through the question ‘what kind of gift I present him/her?’ anymore. Go to any e-commerce website or retail shop or bank and buy gift cards for your near and dear ones today! 

Best taxi booking apps in Mumbai

Flapping your arms and calling for a taxi, it is a been there done that moment for all of us. Who knew we would reach a stage where cabs will arrive at our doorstep by reaching out to our pockets. Be it running late for work or being plain lazy; there is a taxi for every occasion. Taxi companies like Ola, Uber, have left Mumbai’s ‘kaali-peeli’ way behind in the game.

There are several taxi booking app that enables you to reach your destination in a jiffy. In fact, we are spoilt for choices. It has also become easier to make price comparisons especially with variants like pool (sharing cabs), on the go cab (solo travel), SUVs (family cab), etc. in the offering.

So, which are the apps to consider in order to book taxi online?

1) Meru: They have been the face of online cabs in India since 2007. One of the best features of Meru is their timely service. While people nowadays complaint of time management followed by taxis, Meru cabs arrive on time most of the time. It is sophisticated and safe, especially for those travelling in the night to/from airports.

2) Uber: They are considered to be direct rivals of the ‘kaali-peeli’ premier taxis. Uber is the most favoured taxi booking app for its range of services. If an affordable ride is what you are searching for, Uber Pool and UberX are accessible. Meanwhile, luxury car lovers can opt for Uber Black. 

3) Ola: User-friendly interface and instant communication are the USP of Ola. In fact, they are available at affordable rates, giving a stiff competition to Uber. What's more? Ola has also started providing Ola kaali-peeli and Ola auto-rickshaw services off late. And if you want to listen to your kind of music, there are radio and selected music on their mini TV. These are the primary reasons why the office goers consider Ola to be the most preferred taxi app.

4) Taxi for sure: They offer point to point travel services and are mostly found around the airports. Taxi for sure app is the ideal solution for in-city tour. It is available across metropolitan cities such as Mumbai, Delhi, Bengaluru, Chennai, Kolkata, Pune, Indore, Chandigarh and so on.

5) Tab Cabs: There was a time when Meru and Tab Cabs owned the streets until Uber and Ola entered the fray. Be it bulk booking or regular ride; Tab Cab app is the one to go for.

There are currently 1.6 billion licensed cabs operating in India. In fact, even women cab drivers have started making their way onto the streets. Keeping in mind women’s safety, the ladies can book taxi online via Priyadarshini, Viira or Womencabs services.

5 points to remember before shopping grocery online

Gone are the days when people went to a vegetable/fruit seller and bought the best ones’ home. With the advent of technology, every and any product is available online. The user-friendly online grocery websites such as Big Basket, Grofers, Nature’s Basket or online portals such as Amazon offer groceries online and at competitive price rates.

You need not dread to visit the supermarket anymore. All the items such as fresh produce, frozen food, dairy products, pre-made gourmet meals and even eggs can be bought online. Consumers are finding online grocery shopping to be reliable and convenient.

However, there are some points to remember before making the payment on the go:

1) Safety first: Before you get started, find the best grocery store online. Security should be a priority on the list. Metropolitan cities have more options for purchasing products online. However, it is advisable to get reviews and opt for a reputable online grocery store. Always remember, you will be providing your payment details on these websites. As the saying goes, ‘looks can be deceptive.’ In this scenario, brand name can be deceptive.

2) Reliable customer service: One of the crucial aspects of online grocery shopping is the arrival of the products in excellent condition. For example if the item is damaged, ensure there is an appropriate customer care service available to address your grievances. This service is useful even if the products have not arrived or the order needs to be changed.

3) Fee structures: Online grocery websites have a different fee structure in place. Some allow you to make payment online, some follow cash on delivery policy, and some follow unlimited delivery for the set subscription period. Look out for these payment policies as they can save those extra money.

4) Coupons and codes: The primary reason people opt for the online mode is the comparison of prices and deals. While websites like Amazon and HDFC PayZapp runs offer every month, official sites provide deals periodically. Some of these stores have mobile applications as well. Grocery shopping app provides further discounts than the portals. Watch out for those deals before you start your shopping.

5) Crosscheck the order: Imagine a scenario where the delivery guy hands over your products. One of the iterm is missing out from the list. You blame the delivery guy for the mishap. And you realise you forgot to add that particular product in the cart at the time of shopping. To avoid such circumstances, always crosscheck your order, maybe twice or thrice.

Apart from the above steps, always remember to do online grocery shopping from a website that will deliver to your area. Shopping has never been so easy, right?

Top 4 DTH recharge portals

In a world of smart technology, everyone is opting for the online procedures. It is hassle-free, convenient and simple. Recharging mobile phones, DTH, paying utility bills are only a click away. It saves time and the effort of walking up all the way to your mobile store or electricity/gas connection office. 
With almost nil usage of cable networks nowadays, DTH networks have gained immense profit. To make life simpler, these networks associate themselves with online recharge portals such as Paytm, Freecharge, HDFC PayZapp, etc. to provide lucrative DTH recharge offers to the customers. 

Some of the frontrunners in the DTH recharge field are:

1) Paytm: It is one of the leading portals in India that enables users to recharge and pay bills instantly. Now, you can also make safe bank transactions via Paytm. It has coupons, deals running almost every day that are not available offline. For example, they have various dish tv recharge offers presently such as 100 per cent cashback up to INR 50 on bill payment for first-timers. They also have the ‘lakhpati’ offer for dish tv users where you can win up to INR 1 lakh on recharge or bill payments. The customer will receive INR 60 cashback on DTH, mobile postpaid and electricity.

2) FreeCharge: Another leading portal, FreeCharge, has several offers on DTH recharge such as INR 75 cashback if paid with UPI using code UPI75. They are offering 100 per cent cashback up to INR 75 for the first-time users. Meanwhile, Axis Bank users will receive INR 100 cash back on first transaction.

3) Mobikwik: By making use of Mobikwik’s secure digital wallet, you can avail several offers and discounts. From the plethora of offers on DTH recharge, Mobikwik users can choose any of the deal from their portal. They have a special cashback offer running through which the customers receive 10 per cent SuperCash by recharging for INR 100.

4) Indiancashback: One of the benefits of online recharge is comparing the deals and opting for the best one. Indiancashback.com allows you to do just that. Users can check for best offers on DTH recharge under one roof. They provide the best deals from Mobikwik, Paytm, FreeCharge, etc. to bail you out from confusion. The customers will be given promo codes to reduce your payment.

Stop wasting extra energy and money by standing on long queues. Just like we make optimum use of the sale for branded clothes, start using the DTH recharge offers online to save those extra expenses.

Best mobile recharge offers for June 2018

Usage of the internet has been on a rise of late. We require mobile data almost 24X7: at office, college, home or anywhere else. It has almost replaced the television sets at home. In a workaholic city like Mumbai, the common man has no luxury of sitting on the couch to watch any live event. Most of the times you will spot office goers watching a movie/football/cricket match on their mobile phone either through their telecom networks TV apps or other television channel apps.

These apps have special offers that run every month. Here are some of the offers on mobile recharge for June 2018:

1) BSNL’s Monsoon plan: BSNL has a unique scheme running for prepaid mobile users. Their ‘monsoon offer’ is for limited period that lasts from June 16 to August 18. It triples the users mobile data in this period. The validity period for each of the following mentioned plans varies. Some of them are:
- Plan 186: 1GB data tripled to 3GB data
- Plan 485: 1.5GB data tripled to 3.5GB data
- Plan 999: 1GB data tripled to 3GB data

2) Jio’s ‘Double Dhamaka’ offer: JioTV app, a dedicated Live TV app for Reliance Jio users, has announced a ‘Double Dhamaka’ offer where the mobile users receive 3GB data every day on selected plans until June 30. The scheme has been rolled out specially for the ongoing FIFA World Cup 2018. Customers can also seek additional mobile recharge data for either INR 149, INR 349, INR 399 or INR 499. Users receive additional benefit of high-speed internet and free voice SMS.

3) Idea’s ‘jeeto bejhijak’ scheme: Over the past few months, telecom companies have been nothing less than a genie providing best offers on mobile recharge. Idea Cellular has come up with ‘jeeto bejhijak’ scheme concentrating on mobile data. It assures INR 20 cashback for every prepaid customer by recharging for INR 100. The scheme is applicable for recharge offer of INR 199 and above as well.

4) Paytm offer: One of the leading mobile recharge apps, Paytm, has a special cashback offer of INR 20 running for the month. The user has to insert the promo code of MONTHLY20 on recharging their phone. 

5) HDFC PayZapp offer: HDFC’s PayZapp is a complete payment solution for mobile recharge, booking movie tickets, paying utility bills, etc. One of the offers running for the mobile recharge on their end is INR 25 cashback on recharging 4 times in June. All the user has to do is include the promo code ‘ACTIVE.’

So, if you have been missing out on all FIFA action or finding the mobile data plans expensive, go for the above schemes to keep your pockets light.

6 tips to secured mobile banking

With every industry etching their mark in the digital world, the banking profession is not behind. Today, customers need flexibility and ease of services, irrespective of the date, day and time. One of the major boons the banking industry has received through technology is the availability of their services online as well as on customers’ smartphones.

Although net banking is one service that is widely used, mobile banking is slowly finding its way to the top. Finance companies are building customer-centric solutions to ensure the mobile experience is smooth and trustworthy.

Customers are not as convinced to use mobile internet banking to that of net banking. The rectangular box comes with several complications and challenges. Mobile apps generally contain many security layers and should support different Android, iOS and Microsoft versions. Below are 6 tips to a secured banking over smartphone:

1) Additional security feature: A 4-digit password would not suffice in today’s time. Any hacker can crack the code and log in to your bank account. It is crucial to have an additional layer of security such as fingerprints or One-Time Password (OTP). This way nobody can deceive your account. 

2) Use of NFC-embedded SIM card: An NFC-based SIM card is a way of downloading all your credit/debit card information into the Near Field Communication (NFC) SIM card. You can protect your account’s overall information without the usage/swiping of your card. It also means you are storing all your account information to the mobile internet banking.


3) Real-time SMS and email alerts: One of the best ways to secure mobile banking is by linking your accounts to an updated mobile number and email id. In case any fraudulent activity takes place, the bank will alert you over SMS or email. This way your account information will not get compromised.

4) Behaviour analysis: Your laptop, tablet or smartphones have your email and account details stored in the device. Whenever a secondary person tries to log in to your account or email from another location, you get notified about the same. You bank raises the red flag if they notice any suspicious activity.

5) Secure access: Users should use secured connections such as HTTPs that will store customer’s information safely between the browser and website. This avoids malicious activities as well.

Mobile banking can get better and safe if banks keep adopting newer technologies. Banks should also educate the customers and encourage them to use banking via smartphones.

4 best mobile banking apps in India

Finding time to go to the bank is next to impossible. In fact, visiting a bank branch has become a chore. Again, passbook needs to be updated; new chequebook orders have to be placed, ATM cards have to be blocked in case they go missing. The list is endless.

Precisely why mobile banking app invention is one thing we all will be thankful for forever. Mobile banking operations started in India in 2002. Everything such as bank transactions, checking bank statements, paying credit card and utility bills, can be done by a click.

Time-saving and convenient, these apps are now massively popular. Listed below are the brands who are the face of banking app industry:

1) HDFC mobile application:HDFC is one of India’s leading banks today. It holds 4.2 rating and has over 10 million downloads on Google Play store. It allows the customers to view their account summary, transfer funds, make credit card payment, etc. Their app is also available in Hindi catering to the mass audience. HDFC app has a ‘LITE' version that makes it compatible with those using low internet speed. However, the ‘LITE’ version does not cover all the aspects. Nevertheless, the regular services are covered under it.

2) ICICI Bank’s iMobile application:ICICI was the first bank to launch full-fledged banking app services in India in 2008. The Google Play has rated ICICI bank’s app 4.5. It is one of the highest rated mobile banking apps in India. Apart from paying bills, the app allows users to open fixed and recurring deposits. Consumers can also manage life insurance policies here. Apart from the iMobile app, ICICI bank also launched the iWear smartwatch app. With Apple and Google smartwatches used heavily, ICICI bank users can access their account and check their last 3 bank transactions, current balance and credit card accounts on their hand.

3) Axis Bank’s mobile application: Axis bank’s app is known for its stability. It has over 5 million downloads and holds 4-star rating on Google Play store. Apart from the regular features, Axis bank users can time their credit card payment, covert them into EMIs, block cards and replace them, temporarily deactivate the debit card, set limit on debit card purchases. The customers can also autopay bills for over 200 utility services through the app. Axis bank’s app is also social-media friendly as users can email and Tweet directly from the app.

4) SBI’s Anywhere Personal Application: The app was previously called ‘State Bank Freedom App.’ The Anywhere Personal app provides essential banking services. The bank has 3.9 rating on Google Play. One of the salient features of the app is mCash. Through this medium, users can transfer funds to a mobile number or email id. It also has the mPassbook feature through which the users can check their past 150 transactions. They, too, have a smartwatch app for the smart users.

So, ensure that you install a mobile banking app today and start using it.

Advantages of making a bill payment online

With the advent of technology, our efforts towards household chores are almost negligible nowadays. Earlier, people used to stand in long queues to pay any bill, be it mobile or utility services. Today, one can quickly log into their mobile network or LPG website and make bill payment in a jiffy.

Earlier, many were sceptical to conduct online bill payment. Now, there are secure gateways and several encryption keys that make payment safe. It is specially convenient for those who live a fast-paced life.

There are several advantages of making bill payment either online or via apps. Here are some of them:

1) Saves time and effort: This aspect comes to play for those who use bill payment app. With the help of our mobiles phones, we can pay our bills anytime and any day. In fact, online merchants accept either credit/debit card or cash on delivery payment modes. So with your handset, you can make payments using either MasterCard or Visa.

2) Eco-friendly: Another advantage of online bill payment is you save a lot of paper. Precisely why banks and other service providers send statements or bills via email. Less paper means fewer envelopes minus the hassle for you. It is safe to say that online process is environment-friendly.


3) Safe and secure: With more and more users thronging the internet, online merchants are using the SSL mechanism to conduct safe and secure payments. The level of encryptions today is so high that it is impossible to perform fraudulent activities online. 

4) Consolidation of record: Some people do maintain records of their bills, be it payment slip of utility bills or any shopping receipt. Through the internet, the receipt is saved over your email once the payment is made.

5) Convenience: Bill payment app allows you to control on when to pay the bills and how much you wish to pay for each bill. You also have the liberty to change your expense choices or even cancel it.

6) Deals and offers: Customers can grab last minute deals while making payments. Recharge websites especially run offers now and then. Banks, too, give away deals periodically. This way you can go light on your pockets.

Every service provider today has their portals. They are associated with recharge websites such as Paytm and Freecharge or banking apps such as HDFC or ICICI. Bill payment has never been so easy and quick before.

Different modes to pay utility bills

Did you miss out on your last utility bill payment? Wish you had an assistant to get the task done? In the past few years, there has been a paradigm shift in the way transactions have been taking place. Technology backed with high-speed internet has played a crucial role in this move. Online has become a way of life across different age groups and generations nowadays. One of the changes is paying off utility bill through internet.

Paying utility bill online has its set of benefits:

1) Saves time, energy and money as the task of standing in long lines is nullified
2) It is convenient. Bills can be paid anytime and at any point
3) Eliminates many errors
4) Helps you manage and control your finances
With more efficient methods introduced in technology, you can pay utility bill through different mediums:

1) Bharat Bill Payment System: National Payments Corporation of India (NPCI), which is an umbrella organisation for all retail bill payment, launched BBPS. It was introduced to reduce cash transactions and encourage digital payments. Once the customer pays the amount, he/she will receive a receipt instantly. At present, BBPS caters to utility services such as electricity, gas, telephone, water and DTH payments.

2) FreeCharge: It is one of the portals that changed the industry of digital payment. You can electronically pay DTH and mobile bills. You can also recharge your mobile, DTH, mobile, gas, electricity connections. FreeCharge runs several deals and offers every month that allows users to pay less than the billing amount.

3) HDFC PayZapp: HDFC’s PayZapp is a one-stop payment solution. With just one click you can make your payments by connecting your debit/credit cards with the wallet. It also caters to other aspects such as movie tickets, grocery shopping, gift cards, etc.

4) Bijli Bachao: Government has facilities such as Mahavitran and Bijli Bachao in place to pay your electricity bills. Bijli Bachao’s online service allows you to pay the amount for almost every electricity bill.

5) Suvidha: It is always a blessing to have a website that provides you with all in one service. Suvidha is one such portal. Here one can pay all sorts of utility bill such as gas, landline, data card, etc. You can also make your insurance payments here.

Utility bill payment was always considered a daunting task until digitalisation made its way. So, will cash-based transactions fade away? Will the new digital payment system turn the country into a dominant force?

What is internet banking? 8 reasons for its rise

Money is becoming increasingly electronic. We do not find long queues at the cash counter in bank branches anymore. You can now access your accounts and get done financial transactions instantly through his/her tablet, computer or smartphones. Internet banking has become an acceptable norm for millions of Indians for a decade. 

What is internet banking?

The internet has changed the way we shop, eat, cook and interact. It also controls the way we save and invest. Internet banking, a concept established in India in 1999, allows the users to check their recent account operations, schedule bill payments, apply for loans, transfer funds and lots more. In short, internet banking has changed the face of the banking industry as well as banks services towards customers.
We give you 8 reasons why more and more users are increasingly using this approach:

1) Effective management of cash flow: You are the master of your expenses. For example, you can arrange for alerts for impending responsibilities catering to the banks services.

2) Control of government remittance: Filing tax returns or government remittance manually is time-consuming. With the help of online banking, you can fill the form then and there as well as schedule your outflow. That way you can avoid late payment charges.

3) Easy access to accounts: One of the significant benefits of internet banking is easy access to accounts. You can check your bank balance or recent transactions anytime from morning to night or during holidays as well.

4) Application for loans: It is an intensive and lengthy process. It also involves plenty of paperwork. However, loan applications are not a task anymore. Provide all the information regarding your account and the bank will check your credit score, helping you get the loan instantly.

5) Making online bill payments: Another practical use of managing expenses online is paying mobile or utility bills in hassle-free fashion. You can set up automatic bill payment for the ones that do not change. You can even catch hold of deals and offers to receive discounts at the time of making payment.

6) Transfer of funds: You can save your trip to banks by merely transferring money from one account to the other quickly. When accessing accounts online, ensure all your bank accounts are listed. This makes it easier to move the funds swiftly. This way you can also check the available funds before the outflow of funds.

7) Mobile apps: It is not humanly possible to carry your laptops or computers wherever you go. Just like online recharge portals, banks too have their mobile applications. In fact, some of the banks have synced their apps with smartwatches as well. This way, you can carry your bank in your pocket or on your hand.

8) Deposit cheques: Cheques can be deposited in many ways apart from visiting the bank branch or dropping it in the drop box. One of the fastest and comfortable options is the remote cheque deposit. Here you take a snapshot of the cheque and submit it to your bank manager.

Just like a 24-hour medical shop aids a patient at any point of the hour, similarly, internet banking comes to the rescue for those who cannot physically visit a branch at the time of emergencies. 

Two-wheeler loan – all you need to know

Owning a personal vehicle has become a necessity in today’s fast-paced life. Reaching our destinations has become next to impossible with commuters thronging the local transports, long queues in the bus stop and super expensive cabs occupying the road. If we keep aside the day-to-day work commute, a two-wheeler is required for weekend getaways or hangouts with family and friends as well.

A bike can be rode by all age groups. In fact, women, too, are ruling the streets with their scooters. Bikes are affordable and custom-made for anyone and everyone. However, if you are looking for more fuelled or trendier bikes, the price of the vehicle might soar up. In such cases, it might not be everyone’s cup of tea to purchase a two-wheeler instantly. Here is where two-wheeler loans come into the picture. 

What is a two-wheeler loan? 

The loan allows users to purchase a vehicle of their choice with affordable repayment options. By paying monthly instalments, the credit can be paid-off. This way your pockets are also light. Be it travelling for work or merely flashing in front of your friends; a bike loan is at your disposal instantly.

Who offers bike loans?

Who comes to your mind while applying for a two-wheeler loan? Family, banks or financial institutions? Following are the entities who offer the mortgage:
Banks: Public/private banks, commercial banks, scheduled/non-scheduled banks, all provide a bike loan. You can avail the loan if you are/not the customer of the bank.

Non-Banking Financial Companies (NBFC): They are similar to banks and offer services such as loans, deposit schemes, etc. These institutions are associated with bike dealers to provide the two-wheeler loans in a hassle-free manner.

What are the types of two-wheeler loans?

1) Secured: This kind of loan is availed by keeping any collateral as a security against the loan. You can save an asset that is equivalent to the value of the loan as security. The processing of a loan gets faster in such cases. It also leads to lower interest rates. If you fail to repay the amount, there are chances you might lose out on the ownership of the vehicle.

2) Unsecured: Unlike secured loans, you need not pledge any security for this loan. You can avail the loan if you meet the eligibility criteria. However, the interest rates tend to be higher while acquiring such loans.

Are you eligible for a bike loan?

1) You should be a resident of India to avail the loan
2) You should fall under the age bracket of 18 to 60 years
3) Unlike other personal loans, a two-wheeler loan requires minimum income level. This factor is subject to vary from bank to bank
4) Stability in a profession is a must. You should be employed with an organisation for at least 2 years
5) You should carry a decent credit score to get the loan

What are the benefits of two-wheeler loans?

1) Finance margin: While applying for a two-wheeler loan, majority of banks require you to make mere 10 per cent of down payment.

2) Flexibility: The loan can be paid off as per your financial requirements. Tenures, however, range between 1 to 2 years, making it easy for you to pay back.

3) Credit score: A two-wheeler loan builds up your credit score as these loans are relatively easy to pay off. If the amount is cleared within the stipulated time, it becomes more comfortable for you to apply for other investments.

4) Extra coverage: Many times, banks and financial organisations cover additional expenses such as insurance, bike accessories, etc. It is one of the most attractive features of a bike loan.

If the above information does not lure you enough to purchase a bike, then nothing will. Go to the market and get the bike of your choice. However, keep the helmet on.

6 tips before applying for an education loan

Securing a degree from a premier institution is a dream for many students. Earlier, children coming from the lower segment were unable to fulfil their aspirations as they faced financial restrains. Nowadays, students can take a loan from the bank and secure their dreams. This kind of loans are called as education loans.

Students avail an education loan to pursue their higher education from a reputed institution of their choice. However, before approaching a bank for acquiring the loan, there are some points to remember:

1) Evaluate expenses: One of the critical factors before applying for an education loan is to gauge the costs involved such as the value of the course, availability of financial aid, contribution of family members, etc. Also, check out for deals from the banks. Draw comparisons between different banks and then apply for the loan.

2) Check for financial aids: Ensure you have the necessary financial documents such as scholarship, grants, etc. in place. These provide enough financial support and need not be paid, unlike education loans. It is advisable to take up mortgages when you face a financial crunch.

3) Check for options: Certain banks and financial institutions are associated with some colleges and courses that they provide an education loan for. In case the lender does not have the desired college, you can check for other options.


4) Need for a security/collateral: Students are the primary borrowers. However, banks ask for co-signor. They could be one of your parent’s or your guardian. If you are married, your spouse can act as a co-signer. If the loan amount is high, you will have to provide collateral in the form of fixed deposits, etc.

5) Choose an appropriate tenure: Some borrowers take a loan with longer tenure because of lower EMIs. However, that increases the interest rates. If you believe there are chances of better job prospects after the conclusion of your course, you may opt for shorter tenure. This way the loan will be less expensive, and you can repay them quickly.

6) Make payments during and after the course: This factor comes into picture especially if wish to study abroad. Generally, such students work for a living and earn in dollar or pounds. It will help you to repay the loan amount instantly at the same time it will add up to your work experience. It could also decrease your interest rate.

The education loan procedure is simple and convenient. Following is the eligibility factor:

1) You should be an Indian national.
2) You should have secured admission to a diploma/post-graduate course in India or overseas.
3) You should be within the age bracket of 16 to 40 years.
4) You can avail a loan amount of INR 10 lakh for studying in India. If you study abroad, the loan amount can go up to INR 20 lakh.

The society we live in values education and consider it to be a matter of pride. While an education loan can be the ticket to your dream college, it is better to get your facts right and then enrol for the right one.

5 best gold loans India

Whenever we are in dire need of money, we resort to investments. If you have a decent credit score and know can repay the amount on time, then there is no better investment than personal loans. From absolute transparency with the policy to flexibility in returns, personal loans are easily the best type of loan there is. However, when it comes to gold loans and loan against property, you get a further advantage.

They come with longer tenures as you provide either gold or property as a security. Many opt for these loans than the unsecured ones. Banks and other financial organisations provide gold loan. They can be in any form – gold bar, gold jewellery, etc. The lender can auction your gold if you do not repay the loan amount on time.

Some of the salient features of a gold loan are:

1) Since it is a secured loan, the processing time is sometimes less than an hour or maximum 3 hours
2) No salary proof needs to be provided while enrolling for one
3) Documents such as Voters ID and PAN card would suffice while availing the loan

Several public/private sector banks and non-banking financial company have the right kind of gold loan to woo their customers. We have jotted some of the best gold loan offered in India:

1) HDFC Gold Loan: For immediate fulfilment of personal or business requirements, a gold loan is an ideal solution. HDFC’s gold loan has a hassle-free procedure in place and provides secure storage. They disburse the loan in 45 minutes and offer flexible interest rates.

2) Muthoot Finance Gold Loan: Their portfolio is the largest in India as well as across the globe. Over 2 lakh people avail Muthoot Finance service per day. Within minutes Muthoot Finance generates gold loan for quick funding purpose. They also have in-house gold valuation process before disbursing the loan.

3) SBI Gold Loan: You can acquire SBI’s gold loan by pledging any gold including coins. They provide competitive interest rates and require minimal documentation. Any individual who is 21 years or above can apply for SBI’s gold loan. The loan repayment tenure is 36 months.

4) Manappuram Finance Gold Loan: The kind of power that gold loans provide, you do not require personal or business loans. Manappuram processes the loan within minutes and requires only government-issued identity proofs. Customers can choose from a range of schemes to meet their requirements.

5) Axis Bank Gold Loan: One of the best features of Axis Bank's gold loan is that consumers get to choose their tenure. They process the loan in a day’s time and charge no extra expenses for foreclosure.

Gold loans are affordable in comparison to personal loans. If you require immediate funds, a gold loan will be your best ally. They are processed quickly and are the most reliable loan in the market today.

What are car loans? 5 tips for first-time buyers

Earlier, owning a car fell under the luxury category. Today, it has become more of a necessity. You need a car to avoid the crowd that throng on local transports. You require a vehicle to go on long weekend drive/trip with your family. And if you do not have enough expenses to meet the above requirements, you can always go for a car loan.

What are car loans?

It is a personal loan that allows the potential user to purchase a car of their choice by paying monthly instalments. However, if the borrower fails to make timely payments, the lender can take away the vehicle until the debt is paid off. For first-timers, it is always difficult to make a choice. Therefore, thorough research and planned budget plays a crucial role while purchasing a car.

Apart from the mentioned points, there are specific tips before applying for car finance: 

1) Have a fixed budget: ‘Can I repay the amount?’,
‘Do I have enough credit score to make timely monthly instalments?’ If your answer is ‘yes’ for the above questions, then go for the car loan. Know your repayment capacity. Also, do not opt for a higher mortgage just because you are eligible for one.

2) Stick to a particular lender: Multiple applications can bring down your credit score. It will show you as a credit hungry borrower. This, in turn, increases the chances of your application getting rejected.

3) Compare loan options: You can acquire car loans online as well. That gives you the privilege to compare various schemes. You can check the interest rates offered by different banks and opt for the one that fits your bill.

4) Make a right down payment: This is the part that first-time car loan buyers have to be careful about. Pay an initial loan down payment that minuses a part of your overall loan amount. It will reduce your total interest payouts at a later stage as well.

5) Choose an appropriate tenure: Lastly, go for a mandate that is within your reach. Shorter tenure usually an ideal solution. Longer tenure leads to higher interest rates over the duration of the loan.

Are your eligible to opt for car finance?

The criterions might vary lender to lender. However, you will have to fulfil the following car loan eligibility rules:

1) You should be a resident of your current area for a year
2) You should fall within the age range of 18 to 75 years
3) You should receive a monthly income of INR 10,000
4) You can be a salaried or self-employed individual
5) You should be employed with/run your current organisation/business for at least 3 years

You can avail the best car loan from top banks such as HDFC, Axis Bank, SBI, ICICI Bank, Dena Bank and Andhra Bank.

Business loans for women: Eligibility criteria and various schemes

Venturing or starting a business is not a new concept in India. In fact, a range of services is offered for start-ups. Even though you spend all your capital in your new business, money is required for other purposes as well such as expanding operations of smaller firms, purchasing machinery and equipment, repayment of other loans, turnaround of an ineffective business, etc.

We live in a generation of start-ups and women are leading the pack as well. There are numerous business options for women such as launching a fashion boutique, education classes, tours & travels, beauty clinics, etc. For this very purpose, certain banks provide business loans for women. Some of the schemes available are:

1) Cent Kalyani by Central Bank of India: The objective of this scheme is to encourage women entrepreneurs to take up more new projects or expand their existing business. At present, the options to take under Cent Kalyani include overdraft/cash credit and lower term loans.

2) Shree Shakti scheme by State Bank of India: The SBI aims at supporting business women by offering certain concessions. To avail this loan, women have to hold 50 per cent of an enterprises’ capital.

3) Synd Mahila Shakti from Syndicate Bank: With regards to financial empowerment of women, the Syndicate Bank launched Synd Mahila Shakti. It offers credit facilities to those women who do not earn regular income from their business. The loan is available for short term up to 10 years or as cash credit to meet the day-to-day business requirements.

4) Shakti Scheme from DENA Bank: Under this scheme, the following activities are covered:

- Agriculture and allied operations
- Small enterprises
- Retail trade
- Microcredit
- Education
- Housing
The maximum loan term might differ from business behaviour and action.

5) Udyogini Scheme by Punjab & Sind Bank: This scheme caters to women who are involved in business activities such as tiny SSI sector, business enterprises, retail traders, professional and self-employed women, etc. The scheme requires one or more women to share capital of at least 51 per cent.
Banks like HDFC bank provide small business loans to every budding entrepreneur including women who have an established company but require a slight nudge.

Business loan eligibility criteria for women:

When women apply for business loans, the rules differ from that of businessmen.

1) Age: Should be between the age group of 18 to 60 years 
2) Ownership share: Should have 50-51 per cent of the capital share
3) Loan amount: Can apply for a loan amount anywhere between INR 50,000 up to INR 5 crore
4) Loan term: This varies from bank to bank.
However, it generally last between 1 to 10 years

Women do everything on their own and are very strong-willed when it comes to proving a point to the society. Banks above have understood the needs of women entrepreneurs. One can expect more renowned banks to come forward and provide further provisions through their business loans scheme.

All you need to about PPF account

Every month we have a certain amount of income left out. Everyone follows some or the investment option to save the balance amount. Apart from keeping it as cash or depositing in the savings account, others prefer investing in a manner that provides them returns to increase their wealth. There are avenues such as fixed deposit, mutual fund, etc. Another such investment option is Public Provident Fund. 

What is Public Provident Fund?

It is a tax saving instrument launched by the Indian government. The Public Provident Fund Act of 1968 governs the PPF scheme. Any deposit made on PPF can be claimed as a deduction and the interest on these are tax-free. The objectives of PPF schemes are to cultivate saving habit be it small or big. It also aims to secure the future of the individual post-retirement by saving a lump sum amount.

You can open a PPF account at the post office or public/private sector banks. Some benefits of holding a PPF account is:

1) There is no major fluctuation in interest rate
2) Investment, interest earned, and maturity proceeds are non-taxable
3) You can make pre-mature withdrawals after 7 years. In case of emergencies, banks allow pre-mature withdrawals before the 7-year period

Who can hold a PPF account?

1) Anyone who is a resident of India can have a PPF account
2) You can be a salaried, self-employed or belong to any other category to own a PPF account
3) For minors, either of the parent’s can open a PPF account
4) PPF account to Hindu Undivided Families has been stopped since 2005
5) NRIs are not entitled to a PPF account as they do not reside in India
6) A person can manage only one account. Holding multiple accounts is prohibited. Also, opening joint PPF account is not allowed.
7) Grandparents cannot open a PPF account for their minor grandchild. Similarly, both parents cannot open different accounts under the name of the same minor.

What documents are required to create a PPF account?

1) PPF account form that can be obtained from the bank branch or online
2) ID proofs such as PAN card, Aadhaar, passport, Voter’s ID, etc.
3) Address proof such as ration card, etc.
4) Your photograph
5) Nomination form

How to apply for a PPF account?

You can create a PPF account by either visiting the post office or online. Let’s understand it in detail:

1) Post office: Carry the application form along with other supporting documents to open a PPF account. An initial deposit of INR 100 has to be made to the account.
2) Online: You can visit the banks' website and open an account. You can save time and effort by opening a PPF account online. It comes with additional benefits such as checking statements, transacting funds and linking other savings accounts.

What are the features of a PPF account?

1) The PPF investment account is a 15-year product and comes with lock-in period of 16 years.
2) You must hold investment of minimum INR 500 per annum. However, the maximum investment limit is INR 1.5 lakh. The deposit can be made monthly or annually.
3) Earlier, the government had a fixed rate of interest for the tenure of the account. Now, the RBI guidelines say new interest rates will be announced quarterly.
4) You can also apply for a loan against PPF during the 3rd and 6th year. However, these loans can be availed on 25 per cent of the balance in your account.
5) As mentioned, it is necessary to invest INR 500 every year. If you fail to do so, your account will be discontinued. Also, you will have to pay a penalty of INR 50 and subscription outstanding of INR 500 annually to regularise your account.

7 facts about NRE accounts

You cracked the job abroad; your visas are done, and the remaining preparations are on. Before you board the flight and bid adieu to your family, have you thought about how you are going to manage your funds in India? Have you made arrangements as to how your loved ones can access those funds in your absence?

Some of the appointment letters provide the time frame as to when you will receive an NRI status. Whether you are or not an NRI, you can create an account in the bank. Banks call you ‘First Time Travellers’ and assist you in opening an NRI account.

Types of NRI accounts:

According to Foreign Exchange Management Act (FEMA) guidelines, it is illegal for NRIs to hold savings account in India. To manage their funds in a secured place, banks offer the provision of NRO and NRE account. By owning these accounts, NRIs can send the money they earn overseas to their family and can retain their assets from India in the residing country.

What is an NRE account?

The NRIs can hold Indian currency investments such as savings, current, recurring and fixed deposits in this account. Your foreign currency gets converted into INR while depositing in an NRE account. The account is tax-free as well.

Also, transferring money from the overseas country to India is free. Another benefit is that mutual funds get instant and easier if NRE account number is linked. NRIs also have the liberty to conduct financial transactions on the banks portal. If you open NRE account online, you can get the operations done on the go.

Points to remember before opening an NRE account:

1) The account should be maintained in Indian denomination
2) You can have a joint NRE account only if both the members are NRIs
3) NRE accounts can be opened as savings or current account. The average monthly balance to be maintained in the account should be around INR 75,000
4) Interest rates offered NRE account differs from that of NRO account. Currently, banks are offering similar rates on both the accounts
5) Exchange rate fluctuations can result in loss of currency. With that in mind, NRE accounts are open to two kinds of loss: daily volatility in the form of rupees and conversion loss.
6) An NRI’s primary concern is fund transfer. Through an NRE account, NRIs can not only transfer money to one NRO account but to n NRO accounts.
7) Income earned in a foreign country can be deposited in NRE account. Withdrawals are, however, made in INR.

Before you head overseas, open NRE account online and add a mandate holder who can handle your financial dealings while you are away. Once you start earning in dollars, you can remit the amount in your NRE account. If you handle these basics, you can head to your destination with no pressure.

Bank accounts and its types

With technology constantly improving, banks are offering custom-made services to the customer based on their needs and budget. These are in the form of different accounts, bonds, debentures, investment schemes, etc. Such products vary as per the user’s age, income and gender. Not just that, there are services offered to non-resident Indian (NRI) as well.

Let us learn in detail about the different bank account offered in India:

1) Senior Citizen Savings Bank Account: As the name suggests, it caters to customers who are over 60 years old. You can make pre-mature withdrawals here. However, a minimum penalty is levied. Regular interest is paid on the account. The account mainly focuses on fulfilling the needs of senior investors such as guaranteed returns, capital safety, etc.

2) Women Savings Account: Women are increasingly having a say in the businesses nowadays. Some run their show in the form of boutiques/business such as travel, beauty, etc. Such bank account is offered by private banks and provides several benefits such as internet banking, online bill payment, insurance cover, child account, etc. Besides, they also offer shopping and entertainment benefits.

3) Basic savings account: Everyone owns such an account today. An average quarterly balance needs to be maintained in such accounts. If a minimum balance is not found in these accounts, a penalty is charged by the banks. They come with features such as passbook, net banking, chequebook, debit cards, etc.

4) Student savings account: It handles all the financial transactions of the students. This account is particularly useful for those who are away from their family and need to manage their expenses. Only a few banks offer this service. No minimum balance needs to be maintained.

5) Current account: Another very commonly used bank account, especially useful for those who run businesses. Such account can be opened in public/private banks. Such accounts are ideal to carry day to day businesses.

6) Salary account: They are nothing but a type of savings account. Bank offers more benefits to those owning a salary account because it is the most used investment tool today. Every month a fixed amount of income is transferred to the account.

7) NRE savings account: Such kind of bank account caters to NRIs. In these accounts, rupee denominations can be maintained. The account can be run individually or jointly, provided all the account holders are from India.

8) NRO savings account: This also allows rupee denomination and are generally in the form of current, savings, recurring or fixed deposit. It can be in the name of the individual or joint account. It can be managed jointly by people residing outside India as well. You have the liberty to transfer money from an NRO account to any other account.

The banking industry is incorporating all technologies and methods into their scheme of the affair to make financial transactions smoother for users. With the trend of smartphones and online banking in the rise, you can also get an online bank account opened in a jiffy. All you have to do is get your bank customer ID and password in place for the same.

7 best investment options in India in 2018

Everyone needs some sort of a financial shield at every stage of life. Precisely why banks have various kinds of investment plans in place. It is considered to be the best and only way to secure money for an extended period. As per people’s perspective, to acquire more wealth, you need to work for longer time. Ask this question to yourself, is that hard-earned cash going to be of any use if you do not enjoy it? Investment is a way that enables you to celebrate your hard work at a later stage.

For this very purpose, banks are offering some of the best investment options in India for the year 2018:

1) Public Provident Fund (PPF): It is one of the safest investment tools in India. You can secure your money for over 15 years through a PPF account. There is also the benefit of increasing the security period. You can create the account via banks or post office. You also earn compound interest from this account. However, you can withdraw the money from PPF only in the 6th year. If you wish to remove money before, you will have to take a loan on the balance of PPF account.

2) Mutual fund: The business-minded individuals opt for mutual funds. It is one of the investment plans that give better returns compared to any other investment option in the market. In fact, investing in the stock market with the help of mutual funds is a market trend.

3) Investing in gold: India loves gold by not just wearing them but also investing in them. If you go for a loan against gold, it involves less paperwork, and the rate of interest is low. That means EMI is also lower, which also leaves less holes in your pocket. You can also look for other investment policies concerning gold such as gold deposit scheme, gold mutual fund, etc.

4) The company fixed deposits: It is one of the best investment options in India currently as this scheme does not fall under Reserve Bank of India (RBI) and is not like bank FDs. Remember, do not withdraw money before maturity under this scheme. Companies who wish to invest for long-term and are ready to bear some risk can opt for corporate fixed deposits.

5) Initial Public Offering (IPO): It is a long-term investment plan with low risk. It is especially useful if offered by reputed organisations. Such investments happen only once in every company.

6) Investment in bonds: If you feel investing in mutual funds and direct equity is risky, you can opt for bonds. Many bonds provide a high rate of return on investments. These bonds come under government regulation.

Apart from the schemes mentioned above, banks offer small investment plans as well such as bank fixed deposits, equity shares, stocks, etc. You can choose the one that is suitable to your budget and future needs.

What are professional loans? Its eligibility criteria and benefits

At one point or the other, we all wish to pursue our skills and do away with working under an authoritative figure. Professionals such as doctors, journalists, accountants, engineers, architects, management consultants, etc. practice their trade eventually. Just like personal loans are available for all kinds of needs and requirements, professional loans assist you setting up your own business by funding you for equipment, construction, business premises, renovating premises, working capital, etc.
Government banks generally offer these loans. Certain private banks also provide loans for professionals.

Eligibility criteria for professional loans:

1) Applicants should be between the age range of 18 to 65 years
2) People who are practising trades in different professions can avail the loan
3) Group of people who are practising one profession, provided everyone is licensed
4) Copy of professional certificate
5) Professionals can include people who have completed diploma/degree
6) Individuals, joint borrowers, partnership companies and firms can apply for the loan

Documents required to obtain loans for professionals:

1) Membership certificate copies issued by professional authorities
2) Firm registration certificate
3) Papers or documents that act as proof for repayment capacity
4) Latest utility bill statement showing your name and address

Some of the features of acquiring professional loans are:

1) Half loan amount should be provided as security with one guarantor, preferably your spouse
2) Immovable properties or equipment can be given as a collateral/security
3) Some other acceptable collaterals include land and buildings, bank deposits, etc. as per bank policies
4) Personal guarantee of partners/friends/family/title holders of collaterals/securities etc. is required
5) The repayment tenure of the loan is generally 5 years
6) There is no penalty for delaying repayment of professional loans
7) Business expenses such as travel, airfare, seminar, etc. are managed by the loan
8) The loan does not finance self-assembled electronic goods
9) The loan is approved and disbursed quickly
10) Loans for professionals come with attractive interest rate and include simple application procedure

Interest rates offered on professional loans:

1) Interest rates fall anywhere between 10 to 18 per cent. It is subject to vary from bank to bank
2) Marginal interest rate is usually around 15 to 25 per cent of the loan amount
3) The maximum loan amount that you can deposit is INR 10 to 30 lakh
4) The processing fee is charged within 0.20 to 1 per cent of the amount

Some banks might ask how you will be using professional loans. Some banks might even process the loan in instalments. Each instalment will be processed if the bank finds the business is running satisfactorily.

5 benefits of converting credit card purchases to EMI

Credit cards are your best ally at the time of emergencies. It saves you the worry of paying cash immediately and helps you to fulfil your needs instantly. Simply put, a credit card is where you borrow money from the bank to make payment for small or big purchases. You then go on to repay the amount to the lender within a stipulated period.

If you do not pay it on time, you will incur a penalty of late fees, your credit score will drop, and the interest rate piles on the original debt. To avoid going through all the hassle, banks and financial organisations have simplified the transactions through Equated Monthly Instalments (EMI) services on credit cards.

What is a credit card EMI calculator?

Some financial institutes provide you an option of converting payments via credit card into EMIs. Credit cards are used for large transactions many times. In such circumstances, banks offer you a choice of converting your extensive dealings into easy EMIs. Based on the amount, the user can choose to pay off the debt over a period of time.

How does converting credit card purchases into EMIs work?

This service works exactly like a loan. For making complete use of credit card EMI option, your amount should be more than the minimum money specified by the bank. You will have to include details such as amount payable and interest rate added to your actual credit card bill in the credit card EMI calculator. This will help you gauge how much of money will shell out from your pocket every month.
Banks nowadays have the calculator available on their website. The tool can limit your spending’s drastically.

What are the benefits of converting the credit card purchases into EMIs?

1) The moment you convert your credit card purchases into EMIs, you are no longer burdened to pay the entire amount on one go. By calculating the EMI, you can manage your finances better.
2) It also improves credit history as there are fewer chances the customer will goof up with impending dues.
3) As we know, all EMIs have a specific interest rate attached to it. The same gets low when your purchases are converted into EMIs. Certain banks may not apply any interest on your purchase EMI.
4) Customers can choose a tenure of their choice. Usually, the tenure period ranges anywhere from 3 months to 6 months to 9 months or a year.
5) The credit card purchases into EMI service involves minimum or no paperwork at all. You can make huge payment without worrying about the documentation process.

Points to remember before opting for credit card EMI option:

1) Not all banks provide the facility of credit card EMI calculator
2) The bank charges a fixed fee when you opt for this service. The cost depends on aspects such as the type of card, purchase amount, etc.
3) You might be charged a penalty if you pay the amount before tenure. You can get this waived by showing your loyalty to the bank offering them your credit card along with your credit profile.
4) Do not leave any outstanding dues of your credit card debt. It can mount your interest rate by 25-40 per cent at the end of the year.

What products are available under the scheme of credit card EMI calculator?

1) Electronic devices
2) Travel expenses
3) Apparels
4) Lifestyle expenses
5) Insurance expenses

Several banks are offering this service at present such as HDFC, ICICI Bank, State Bank of India, Axis Bank, IndusInd Bank, Citibank, Kotak Mahindra and so on.

All you need to know about Demat Account

We all have a bank account, be it current or savings. Maybe you hold multiple bank account. If you are an entrepreneur or a business person, you might be quite interested in stock market. So, where do you invest them? Ever heard of a Demat account? It is quite similar to a bank account. Just like how a bank account safely secures your money, a Demat account holds your securities in the form of bonds, debentures and shares. If you wish to buy shares from the stock market, you first need to have a Demat account in place.

What is a Demat account?

It is an electronic account where all your securities are held, like an alternative to all your physical certificates. If you want to sell and buy stocks, you should have a Demat Account with a Depository Participant (DP). Now, who are depository participants? They are organisations who provide electronic services for a Demat account. They also facilitate transactions.

At present two organisations are registered under Securities and Exchange Board of India (SEBI), National Securities Depository Limited (NSDL) and Central Depository Services Limited (CDSL).

What are the benefits of having a Demat account?

1) The transaction cost is less as you do not have to pay stamp duty
2) Convenient and fast settlement of electronic settlements
3) Reduced paperwork concerning transferring of securities
4) Risks such as theft and fake certificates are eliminated
5) Can sell any number of shares
6) Can invest through your Demat account online

Note: The DPs do not charge a fee for opening a Demat account. Some provide refundable charges while some have fixed fees.

Prior to opening a Demat account, you need to fulfil the KYC norms. The following documents will be required from your end for completing KYC:

1) ID proof – Passport, PAN card, Voter ID and Aadhaar card
2) Residence proof – Ration card, bank statement, utility bills, driving license
3) Your bank account number
How to open a Demat account?
1) Choose your depository participant
2) Fill the Demat Account application
3) Submit the related documents
4) The DP will conduct verification process personally
5) You will be given an account number/ID by the DP
6) You can also open Demat account online through the DP’s portal

Remember, you can open multiple Demat accounts on the same name with different/same DP.

There are two types of Demat accounts:

1) Basic Services Demat Account (BSDA): These accounts are designed for small investors. The investors do not hold values/securities beyond a few lakh. Thus, the maintenance charge of this account is lower annually. This service was introduced in 2012.

2) Regular Demat Account: Compared to BSDA, these accounts can incorporate higher values/securities. The charges are also higher to that of BSDA. However, it offers many services and is convenient to use.

Along with opening Demat account online, ensure you open a trading account as well to conduct buying and selling of shares. If you do not have any of these, go to your bank manager and open one now.

5 smart ways to repay education loans

When it comes to building a bright and prosperous future, nothing can replace quality education. However, there is a rise in the cost of education in India and abroad. That has propelled parents to opt for education loan. These loans are given to meritorious students so that nothing hampers their educational progress and they receive the best of education from institutes in India and abroad.
At the moment, almost every bank and NBFC offer the educational loans. It covers a wide range of curriculum from graduate, postgraduate, professional and doctoral degrees. An education loan in India covers not just the fees but also other aspects such as tuition fees, examination fees, associated expenses such as uniform, lab equipment, travelling expenses and laptop.

Some of the basic facts that people should be aware with regards to an education loan for Indian student are:

1) An education loan can be obtained by anyone who wants to study graduation, post-graduation, professional or degree courses
2) The loan cannot be given to the student alone, one of the parents should be a co-signor
3) Female students are offered lower interest rate or discount on education loan
4) The annual family income and the course pursued by the student are the primary determinants for education loan
5) Education loans worth INR 4 lakh do not require a guarantor
6) Education loan amount that is above INR 7.5 lakh does not need a collateral/security 
7) The amount cap for students studying in India is INR 10-15 lakh and INR 20 lakh for students studying abroad
8) The education loan repayment tenure is between 5 to 7 years

How can you smartly repay an education loan in India? 

Generally, you begin repaying education loans after they are disbursed. Some of the easy and smart ways to repay the education loan are:

1) Interest amount repayment: You can start paying interest amount while studying. The interest rate is simple and does not burden you. Gradually, the bank will apply 1 per cent interest subsidy.

2) Tenure extension: Although the loan tenure is between 5 to 7 years, you can get it extended if you are facing a financial crunch. Consequently, your tenure will increase to 10-15 years and the EMI reduces. However, you will have to assure the bank that you will receive a secured job and will be capable of paying the loan off after the completion of your course. 

3) Moratorium period extension: An education loan for Indian student goes easy as you can extend the moratorium period (waiting period) to additional six months from 1 year. You will have to convince the bank that you do not have a proper job in place presently. This will better your credit history.

4) Top-up loan: If you wish to study further, you can go for a top-up loan. This will delay your repayment. However, be prepared to pay a hefty interest amount later.

5) Help from employer: While hiring you in the organisation, some company’s pay off a lump sum amount of your student loan. They, nevertheless, come with their disadvantages such as lower salary and other employment terms.

An education loan in India requires you to keep your bank informed about any financial constraints you face. If you do not do so, your credit score will take a backseat.

What is savings account? How to open one?

One of the most common types of bank account that all of us use on a day to day basis is a savings account. It involves basic kind of transactions such as depositing money, safeguarding money and withdrawing funds. Savings account generally pay interest to your deposits, which is lower. However, there are some savings accounts that pay a higher interest rate that allows you to grow your money quickly.

Why do you require savings account?

It is wise to have a savings account because where else will you save your hard-earned money? It is also unsafe to keep hard cash on loose. There is also a psychological benefit of having a savings account. By owning one, you can save the money for achieving your future goals. Today, banks assist you in having one by enabling customers to get an online saving account opened. This way you not just save time and effort but also secure the money sitting home.
Some other benefits of having an online saving account opened are:

1) Safety: Cash kept at home can get easily stolen or damaged by unforeseen circumstances. Savings account holds your money safely and allows you to withdraw cash once you are ready to spend. However, there are restrictions on outgoing transfers. Nevertheless, you can make unlimited withdrawals at an ATM or bank branch.

2) Steady growth: Savings account generally pay interest on your amount. There is a tendency the bank may make small additions to your account to keep up with the economic standard or compete with other banks.

How to go about getting an online saving account opened?

1) Almost every bank offers the same kind of savings account with some variations here and there. So, your first step is selecting a reputed bank by doing comparative analysis.

2) Once you have done your study, keep the following information of yours ready and add those in the application form:
- Full name
- Date of birth
- Residence address
- Transfer information for initial deposit
- Tax identification number
- PAN card

3) Choose the kind of account you wish to open: individual or joint. If you choose a joint one, you will have to add your family member/spouse’s details as well. Research about joint account before opening one.

4) Once you get an online saving account opened, you also have the choice of mentioning a family member who can access the account, in the event of your death.

5) You will then have to make an initial transfer either through wire mode or cheque deposit.

6) You can then create a login id and password for your account. Try to opt for a long password that has a mix of letters, special characters and numbers.
Before opening a saving account online, ensure the bank has easy access to mobile and website. This way you can electronically access your account on the go.

5 best UPI payment apps in India

Online payments have taken over the hard cash. Digital revolution has gripped India, and more and more service providers are thronging to this medium. The banking industry is at the forefront, and Unified Payment Interface (UPI) is one such payment transfer mode widely used by smartphone users. It is also backed by the Indian government and Reserve Bank of India (RBI).

What is UPI?

It is a fund transfer system that is used via the banks' mobile app. One of biggest advantages of this method is that you need not add your bank details. This way your financial data is safe and secure. All you require is the virtual payment address (VPA) that is similar to an email address. Other commonly accepted fund transfer mediums are NEFT, RTGS and IMPS. However, UPI stands out for its instant transfer of money.

Following are the best UPI payment apps used in India extensively:

1) Axis Pay: It has the cleanest interface amongst all the UPI apps. There are only two options you can find on the home screen of the app: one for sending and other for requesting money. Other options can be accessed by swiping left. You can secure the app with a 6-digit unique code. The Axis Pay provides a seamless experience which makes it user-friendly. Unlike other apps, you need to add the contact of the payee in the app for sending money. Moreover, Axis Pay also gives you the option of QR code.

2) SBI Pay: The app is easy to use and boasts of the simplest interface. The transaction can be done in merely 3-4 steps which makes it user-friendly as well. The main options of the app are available on the screen, and a single swipe to the left can help you access the other options. It carries all critical UPI services in it such as send and request money, balance inquiry, set/change UPI PIN, etc.

3) PhonePe App: The app is a UPI cum mobile wallet. It comprises of all UPI as well as digital app features. PhonePe is one of the nicest looking apps concerning interface. It also contains all the must-have features with additional options such as recharging and paying utility, phone bills, etc. It is also compatible on slow-speed data. Also, the app is available in the following languages like Hindi, Marathi, Bengali, English, etc.

4) HDFC Bank BHIM/UPI: Now transferring funds has become faster and hassle-free. With the help of your unique BHIM/UPI ID, you can transact through your mobile banking app. All you need to do is log in to your HDFC banking app, enter your customer ID and password, click on Account option and create a BHIM/UPI ID such as mobilenumber@hdfcbank, etc. You can transfer fund via your banking app by adding the BHIM/UPI details of the beneficiary, the amount and description. Plus, it has the smoothest interface.

5) Google Tez App: Although a late entrant, it made early inroads among the mass. The USP of the app is the Reward program. The interface is simple and is powered by Google with 4 stars. It also has a ‘Cash Mode’ feature. Through this factor, you can transfer money quickly to a person near you as it requires no details of the payee.

The above-mentioned UPI payment app are best used at the time of emergencies, especially for uncalled medical expenses.

Different kinds of credit and debit cards

With the advance in technology, the banking industry has evolved as well over the years. Who knew we would not have to carry hard cash anymore and a plastic card would suffice for all kinds of transactions. Indian banks and financial institutions offer various kind of cards that are custom-made for all your need and requirements.

These bank cards are divided into debit cards, credit card, ATM card and charge card. With the help of such cards, you can carry out many financial transactions such as depositing money, withdrawal of cash, transferring of funds, etc. All this can be done without standing in long queues. Same is the case with net and mobile banking.

Of these, debit and credit card have their variations:

Credit card:

You can purchase goods and services on credit, the money for which you have to pay at the end of the month. You can either choose to pay the full amount or a minimum fixed amount by the end of the month. Remember, if you pay a minimum amount, you will be charged interest on your outstanding dues. These cards function exactly like a loan. There are 15 types of credit bank cards. Let us learn about some of the important ones:

1) Business credit cards: The card is used to obtain funds instantly to run the business. They are also known as corporate credit cards. Some of the benefits a business credit card offers are insurance, business saving plans, lucrative travel, etc.

2) Balance transfer credit cards: It allows the credit card owners to transfer funds from one card to another. If you are facing a huge backlog, you can use this kind of bank cards.

3) Credit card for women: With women etching their mark in businesses as well, banks have started offering credit cards for them. The main focus of such bank cards is shopping rewards, cashback, etc. The card also offers insurance, surcharge waiver, etc.

4) Credit card for online shopping: If you are a shopaholic, then this card is ideal for you. It offers plenty of online shopping benefits such as e-voucher, discounts and option of shopping on EMI.

5) Classic credit cards: The main features of this card are global acceptance, interest-free credit period, card lost insurance and dedicated customer support.

6) Prepaid credit card: It is further divided into forex card and domestic currency. Prepaid cards are similar to debit cards. The issues such as clearance of dues are minimal under this card.

Debit cards:
Indian banks nowadays offer ATM cum debit cards that are associated with VISA or MasterCard. A debit card acts as a bearer cheque that is debited from your account immediately whenever you swipe the card at a retail merchant. Following are the kinds of debit bank cards offered:

1) VISA debit cards: They are issued in association with VISA payment services and can be used at all VISA online merchants.

2) VISA electron debit cards: These bank cards are similar to VISA debit cards. However, they do not carry the overdraft feature.

3) MasterCard debit cards: It can be used worldwide, especially for online transactions through the MasterCard SecureCode platform


4) Maestro debit cards: Maestro is an international debit card service from MasterCard. It is a popular debit card adopted at over 13 million locations. You can easily acquire funds from international ATMs and online resources with the help of Maestro.

6 advantages of cashless payment solutions

Introduction of demonetisation called for the urgency of transferring funds. Whether you are comfortable or no, online payment has become part of everyone’s life since. As a part of ‘Digital India’ campaign, the Indian government are constantly upgrading the way a consumer can transact. Mobile payment app is one such medium.

What do these mobile payment apps do?

Also known as a digital wallet, a mobile payment app is similar to a bank account where you load money and conduct transactions as and when required. Unlike bank accounts, these online payment solutions do not offer any interest. You can transfer funds with ease.

The other payment modes include SMS and NFC payment. However, it is the mobile payment mode that has widely gained recognition. Following are the benefits offered by digital wallets:

1) Accessibility: The payment process has become simple and less complicated. You can transact anywhere, anytime with the help of a secure data connection on your smartphone. Customers can purchase products from around the country without swiping the card or paying hard cash. This has simplified the online shopping experience as well.

2) Easy load of money: With the help of credit, debit or net banking, you can add money to your mobile payment app. It is also safe as details need to be entered only once. When you have to reload the amount, there is no need to re-enter the bank details.

3) Varied usage: Right from recharge of your smartphone to DTH to paying utility bills, all can be done via these digital wallets. The reach of digital wallet has gone far and wide as you can also purchase groceries from the Kirana shop today.

4) Spilt bill facility: Just like we split the bill with friends at a restaurant, you can split the bill in a digital wallet as well. This feature is particularly useful for those staying as paying-guest or in a rented apartment. You can divide the bill by merely entering the amount and the number of people who are expected to pay the share.

5) Timely payment: The online payment solutions come with auto pay facility as well. In case you miss the payment date, the app automatically debits the amount from your account.

6) Incentives: Digital wallets also go light on your pocket. These apps run various cashback offers, deals, discounts, etc. that reduce the bill amount at the time of payment. Ensure to make optimum use of the promo codes in the offer section.

Mobile payment app benefits both customers as well as businesses. Precisely why even banks are introducing their apps. They have also started targeting smartwatch users by launching banking apps like Wear.

All you need to know about FASTag – the electronic toll collection system

Driving on the highway or moving from one district to another is not as hunky-dory as we all imagine it to be. You have to face a herculean task called the ‘toll plaza' to proceed to your destination. Paying toll has its set of challenges. The receiver will not have cash handy, or the cashier and receiver might indulge in a tiff. For solving these minute issues, the National Highway Authority of India (NHAI) launched FASTag in 2016.

What is NHAI’s electronic toll collection system FASTag all about? 

FASTag is a radio-frequency identification (RFID) card that can be availed through banks, authorised dealers and common centres near the toll plaza. These are affixed on the front screen of your vehicle. It is a pre-paid card through which users can pay toll. You can load around INR 100 to up to INR 1 lakh amount in the card. For every toll transaction, users receive an SMS alert. The card comes with 5 years validity period. Users can reload the card as per their requirement. In fact, the NHAI has introduced FASTag lanes in 370 toll centres across India.

Some of the benefits of using FASTag include:

1) Saves times, especially while paying highway toll, when you are heading to or returning from a holiday. It is a cashless transaction.
2) Cashless transaction means faster movement of vehicles. Less waiting time also means lower fuel cost.
3) One of the best advantages of FASTag is that it can be recharged through credit/debit/net banking. You can also reload the card via NEFT/RTGS payment methods.
4) You can obtain a periodic statement of your account on the issuer’s website once registered for the card.

Documents required for FASTag:

To get the account created, you have to visit the toll centre. You can also call on the issuer's customer care number to get the account done. Some of the documents you need to carry for creating an account in the electronic toll collection system are:

1) Vehicle’s registered certificate
2) Your passport sized photograph
3) Your KYC documents
4) ID and address proof
5) PAN and Aadhaar card
6) Voter ID
7) Passport

Note: A single FASTag can be used for multiple cars. In case of transfer, inform the issuer.

The NHAI have also launched mobile applications My FASTag and FASTag Partner for Android and iOS users in 2017. This has further eased the process as users can pay toll or recharge their FASTag accounts at the click of the button.

What is car loan EMI calculator? Its features and benefits

Having a car has become a necessity today. Investing your entire money in one go for a vehicle is not possible, especially for someone who falls under low-level to mid-level income range. In such cases, many opt for car loans. Affording a car loan is easy as minimal documentation is required. Car loans are applied only to purchase a vehicle. They generally come with shorter tenure in comparison to a home or business loan. The loan amount is also smaller than the other investments.

What is a car loan EMI calculator?

One of the best ways to decide on a suitable car loan amount is the car loan EMI calculator. This way your monthly finances are well managed as you can plan out your EMIs. An applicant can find this tool on their banks' website, financial and third-party loan comparing websites.

Determinants included in EMI calculator for car loan:

1) Principal amount: It is one of the crucial aspects while calculating your monthly EMI. If the amount is high, your EMI will also increase. Have a fixed budget in mind before applying for the loan.

2) Tenure: The tenure for car loans are anywhere between 1-7 years. If you choose a longer tenure, your monthly payment would be reduced. That will, in turn, increase the interest rate. Go for a balanced scheme that suits your requirements.

3) The rate of Interest: Unlike home loans, car loans have a fixed interest rate. The market fluctuations will not affect the interest rate throughout the tenure. Choose a loan with lower interest rate, which will in the process keep your EMI under check.

Benefits of using car loan EMI calculator:

1) It assists you in finding a scheme that is affordable and falls under your budget

2) An EMI calculator for car loan shows you a comprehensive view of the repayment of the loan. By opting for iconographic, which include pie chart or a table, the calculator displays the proportion of interest rate, principal amount, and the processing fee you will have to repay

Features of EMI calculator for car loan:

1) You achieve quick results by entering the determinants. Also, you can check EMIs for multiple car loans. This way you can receive the data with ease.
2) You receive the value of all above factors without any errors. Hence, it is entirely reliable.
3) You can enter the details as many times as possible. You can check the EMI with as many variations you want.
4) You can also conduct a comparative study as you are allowed to include multiple variations.
5) The interest rate on car loans plays an important role, especially when it comes to EMIs. The interest rate percentage might not be high when offered by banks and financial institutions. When it is calculated in the EMI tool, the value turns out to be massive. For these reasons, the EMI calculator comes in handy, especially for the first-time users.

5 reasons why a gold loan is better than a personal loan

People are always in need of funds. It could be to finance your child’s education or wedding, to meet the medical expenses, etc. One of the standard methods that people opt for in such scenario is personal loans. Although it does fulfil all kind of human needs, it involves lengthy procedures. In such cases, your gold obsession can take a backseat for a while and be put to use to get some money. Loan against gold is the second-best tool to resort to meet quick financial needs. Since your gold serves as collateral, you can easily procure the loan.

Banks sanction the loan based on its purity, its form (biscuit, coin, jewellery, etc.) Often, people are caught in a fix as to which is a better investment tool: personal loans or loan against gold? We give you 5 reasons why the latter stands out:

1) Interest rate: Gold loans are secured. You receive instant finance as your gold acts as security. The interest rate of a gold loan in India is competitive falling under the range of 10 to 16 per cent. Personal loans, on the other hand, begin at 12 per cent.

2) Pre-payment charges: Banks levy a 5 per cent pre-payment penalty on the outstanding loan amount. As for a gold loan, you can pre-pay the amount anytime, and there will be no penalty. However, the banks will return your gold only after you have paid the entire loan amount.

3) Eligibility criteria: Personal loans require you to fulfil specific eligibility criteria such as income level, repayment capability, etc. Often, self-employed and salaried employees face the flack if their credit scores, income levels and job security are not within the safe zone. The sole and major criteria for a loan against gold is that you should provide gold as collateral and its value should be 10-15 per cent higher than the amount you seek.

4) Minimal documents: Personal loans involve plenty of paperwork as it is an unsecured loan. Documents related to your identity, date of birth and address proof need to be produced, which makes the procedure lengthy as well. In case of a gold loan, all you need to furnish are your ID and address proofs. If your gold is of higher value, little paperwork is involved.

5) Quick sanction: Personal loans are meant to be quickly disbursed. However, that is not the actual case. As each of the documents needs to be verified, personal loans can take anywhere between 3 to 10 working days to get sanctioned. Meanwhile, a gold loan in India gets processed in either 4 hours or 24 hours. It serves as your best comrade at the time of emergencies.

Although loan against gold scores higher than personal loans in many factors, it is necessary to ensure the safety of your gold. It is recommended to opt for reputed banks and financial institutions where your gold will be secure.

5 myths about car loans

Imagine, after a long day at work you stand in sweaty buses or wait in long queues at the ticket counter to later get crushed by local train commuters. Not the ideal way to end your day, right? People want luxury in whatever activity they indulge in. Come on, who does not want the comfort of cushioned seats and air-conditioned cars? And since you are looking for these features, it is best to invest in such vehicles by paying monthly instalments instead of spending a large chunk of your savings. 

A car loan allows you to do so. Choosing the right kind of loan is pretty daunting. Dealers assure you of best rates, SMS offers, etc. making you all the more confused. Those who earn mid-level to high-level income can opt for a car loan. However, many lenders receive finance add-on options from their dealers once the application is made.
Here are 6 misconceptions regarding car finance that should be avoided at the time of purchasing one:

1) The 100 per cent financing factor: Dealers generally assure 100 per cent financing. It means the loan will cover the entire cost of the automobile. That is usually not the case. If dealers make such assurances, that will incur a higher rate of interest. At the most, financial institutions provide 80-85 per cent financing. This happens for those who share a good bond with their banks and finance companies.

2) The 0 per cent interest rate claim: Most of the car dealers these days offer 0 per cent interest rate. However, an interest-free loan has its share of issues. The interest-free loan comes with a minimum tenure of 3 years, which does not provide sufficient financial flexibility. In the process, down payment may also increase. In case the dealer does offer 0 per cent interest rate, ensure he/she does not apply extra charges on other aspects of the loan.


3) Buy a new car to obtain car loan: If a new car brings more benefits to the dealer, he will try to sell it at any cost. However, used cars which is not driven for more than 1-2 years, may work out as well while costing a less. Many banks such as HDFC, SBI offer loan for a used car. Just ensure the manufacturing date coincides with the lender’s pre-parameters.

4) Get loan via dealer or face rejection due to poor credit score: Another myth with regards to car finance is credit score. No, your credit score does not get affected due to a car dealer. In fact, these loans hardly get rejected as they are secured, where your car acts as your collateral. The dealer might consider additional factors such as level of income, employment history, etc.

5) Apply via car dealer for lower interest rates: When you apply for a car loan via the dealer, you are directly in touch with the seller and not the financial provider. To get the best deal, you will have to take some effort and do a comparative study. Another best way to get a suitable loan is to look out for a financial websites that provide offers from different banks under one roof.

These myths sound shocking, isn’t it? Debunk them and understand the reality which will help you make smarter financial decisions in the future.

IMPS: how it works and its benefits

Your best friend calls you at 3 am asking for a lump sum of money. His father needs to get hospitalised immediately. Of course, you would not have so much of cash at home. You will have to resort to some online payment method. Over the years, Indian banks have adapted to the latest technology and have introduced online payment methods such as NEFT, RTGS, UPI and another frequently used medium is Immediate Payment Service (IMPS).

What is IMPS transfer and how does it function?

It is a 24*7 service that is widely used over smartphones. It helps customers to keep a check on their bank accounts and give/take funds from accounts. IMPS was introduced by National Payments Corporation in India (NPCI) in 2010. It is an instant mode of payment as funds get transferred within seconds. Here the funds get moved to the beneficiary’s mobile number, unlike RTGS and NEFT where you can transfer funds via net banking.

Here is how IMPS fund transfer function:

1) Ensure you have a bank account with the related bank
2) Enrol for the IMPS service for using the service via mobile
3) Once registered, you will receive Mobile Money Identifier (MMID). It is a 7-digit number of which the last three digits is your account and the first four digits unique identification number provided by the bank
4) You will have to provide the payee’s MMID and mobile number to conduct the transaction
5) You will be charged a fee for the operation that varies from bank to bank 

What are the services offered by IMPS?

1) Fund transfer using mobile number
2) Fund transfer using Aadhaar card
3) Fund transfer using IFSC and account number
4) Make merchant payments using MMID
5) USSD banking to for fund transfer through the feature phone
6) QSAM feature where you have to dial *99*99# and know the link status of your Aadhaar and bank account

What benefits do the users derive from IMPS transfer?

1) You can send money in real time. With 24*7 service, the money gets credited to the payee's account in few seconds
2) IMPS is safe and secure. You can conduct the transaction conveniently
3) There is no cap on cash to be transferred. You can move money as low as INR 1
4) You can conduct inter as well as intrabank payment
5) The IMPS fund transfer service can be done via mobile phones, net banking and ATM
6) The payee’s bank details are not required here. Knowing the MMID and mobile number is sufficient
7) You get the debit as well as credit information on your mobile number