Did You Know These Features of the Payment App Will Benefit you

India currently has around 85 million unique active mobile users and this number will keep swelling in the coming days. The statement speaks volumes about the current scenario in digital payments and mobile banking and also predicts the future when our country will become a truly cashless economy.

The measure of Demonetization has propelled many people and businesses to go cashless. A cashless economy is making way for digital payments and payment apps that are making life easier through cashless transactions. Some of the features of these payment apps include:

• UPI (Unified Payments Interface)- It is a payment platform introduced by NPCI (National Payments Corporation of India) which directly sends money from one bank account to another without the need to go to the bank and stand in ques. The interface is used by over 50 banks, taking care of all your banking needs.

• Comes in several languages- The good thing about these payment apps is that you can access it in your native language. There is no language problem, and people can easily understand the instructions and steps on how to make a transfer or payment.

• QR Code-You can also pay or transfer cash through QR Code if you don’t have the UPI interface installed in your phone.  Also, you can pay through IFSC (Indian Fiscal System Code). Payment Apps like BHIM and Google Tez use this technology.

• Cash Mode/Offline transactions- Many of the payment apps give the option of cash payments as monetary transactions are still very much in vogue. Apps like Google Tez use sound capture technology where you pair your smartphone with another Tez user to directly send money into their account without sharing your bank account details.

• Transactions- You can send up to Rs 10,000 per transactions and up to Rs 20,000 a day. For all transactions through the UPI interface, there is a limit of Rs 1,00,000 lakh per day  across 20 transfers a day.

• Payment Option- Other than money transfers from bank to bank, these apps also offer payment options to shoppers and consumers. You don’t need to carry around your cash or your credit or debit card anymore. You can make your grocery purchase or shop through the payment options.

• Easy to Use- These mobile payment apps have been designed in such a way that they are very user- friendly and streamlined. The apps are very easy to use and hassle-free.

Although digital payments and mobile banking are in their nascent stages in India, they have great potential to make everyone take notice and jump on the bandwagon of cashless payments.

These 5 mistakes you need to avoid with mutual fund investment

Investing in mutual funds is always a risky proposition. Sure, you can make a lot of money out of the investment, but you may also lose a considerable amount in the process. However, there are some mistakes that you, as an investor, should learn to avoid. Here are the top 5 common mistakes that investors make in case of mutual fund investment.

1. Think long-term
Do not invest in mutual funds if you are looking for a short-term gain. The market may be quite favourable at the start of the year, but it may deteriorate by the end of the same fiscal year. If you want to invest in mutual funds, you should be prepared to deal with the volatility of the market. Invest for at least 5 years if you really want to make profits on your investment.

2. Avoid one-year return plans
Some mutual funds focus on short-term returns, which may sound exciting and beneficial to inexperienced investors. This is why most people invest in these one-year mutual funds. However, such plans mostly involve obscure schemes, which do not succeed in the market. By the time investors learn from their mistakes, it is already too late for them to back out.

3. Consider the risks
Some mutual fund investment options offer a high rate of return in a given financial year. This may encourage investors to get on board with such a scheme, but experienced investors know that such a scheme may not perform as well in the next financial year. In fact, the rate of return may vary greatly from a given year to the next. So, investors should consider the risks involved with investing in a particular mutual fund. Check whether you are capable of taking such risks.

4. High ELSS investment
Equity Linked Savings Scheme or ELSS is a great choice for first-time investors. However, you should know the exact amount to be invested in the same. The Government of India allows a tax deduction of up to Rs. 1.5 lakhs on the investment. However, most people invest more than Rs. 1.5 lakhs in ELSS in the hopes of greater tax exemptions. This extra investment is completely useless as you won't get more than the Rs. 1.5 lakhs in tax exemptions.

5. Ignore the noise
If you have taken an informed decision of investing in a particular mutual fund, stay away from the chatter and predictions for the scheme. Paying attention to any such analysis will make you unsure about your investment, which may give you great returns upon maturity.

If you are a new investor in the field of mutual funds, try to follow the above-mentioned tips to get the best results.

Fund transfer: All you need to know about RTGS transfer

RTGS or Real Time Gross Settlement system is a method of transferring money from one bank account to another, using the Reserve Bank of India as the intermediary. As the name of the process suggests, the money transfer occurs in real time or immediately. Gross Settlement, on the other hand, refers to the fact that the entire amount is settled at once in a one-on-one basis.

Here is all you need to know about the RTGS transfer method and how it can be an effective way of transaction.

1. RTGS transfers are final
RTGS transfers are permanent, which means that you cannot cancel the fund transfer once it has been initiated. So, only engage in the RTGS payment method if you are absolutely sure about the amount that needs to be transferred.

2. No risk of settlement involved
Since the procedure is conducted in a real-time, one-on-one basis, you do not need to worry about settlement risks. Usually, a settlement procedure is in effect in case of other modes of fund transfers, which means that the amount transferred is not the amount received by the beneficiary. However, in RTGS, you can be sure that the exact amount will reach the beneficiary.

3. Minimum limit of fund transfer
If you want to transfer money using the RTGS mode of payment, you need to ensure that the amount is greater than or equal to Rs. 2 Lakhs. Any amount lower than this cannot be transferred using the RTGS payment. However, there is no upper limit to how much you can transfer using this method.

4. Fund is transferred individually
If you initiate a RTGS transfer, your payment will be processed and cleared individually. In the NEFT mode of payment, the transactions are cleared in batches, but in RTGS, each payment is considered separately. This means that you do not have to wait for the funds to reach the account of the beneficiary. As soon as you apply for the RTGS, you can ask the beneficiary to check their accounts for the payment.

5. IFSC code is mandatory
If you want to initiate the RTGS transfer, you have to provide the IFSC code of the beneficiary’s bank branch. There is no way around this and the transaction cannot be initiated without the proper IFSC code in question.

You can initiate RTGS transfer by accessing your bank’s internet banking portal and selecting fund transfer. Under this option you will find the RTGS method. Just enter the amount to be transferred and the beneficiary’s IFSC code to initiate the procedure.

How can a bike insurance provide the relevant protection?

If you are planning to purchase a bike or scooter, you may have already started looking for an appropriate insurance cover for the same. Bike insurance is not only vital for its safety, but is also mandated by the law in India. According to the Motor Vehicles Act of 1988, every two wheeler and three wheeler plying on public roads in India need to have valid insurance coverage.

Do you know how your two-wheeler insurance will save you in case of any unforeseen incident? To get a better idea of the same, first you need to know about the two kinds of vehicular insurance provided by most companies.

1. Third-party liability
This is the most basic form of insurance for your bike. If you are covered with a third-party liability plan, the insurance company will pay the damages caused to the third-party in case you are involved in an accident. However, you cannot claim any money for the damage caused to your bike and property in the same accident under the third-party liability insurance coverage.

2. Comprehensive coverage
While applying for the bike insurance online, you may often come across the term comprehensive coverage. Basically, this is a type of insurance where the company is liable to pay for the damages caused to both the third-party and you in case of an unforeseen incident. Apart from this overall coverage, a comprehensive plan often allows you to claim damages to your bike in case of riots, terrorist activities, storms, landslides and other natural calamities.

Why is insurance for your bike important?

Bike insurance is important for a number of reasons. These include,

• Ensuring that the two-wheeler can be repaired without you having to bear the cost of the repair work.

• Ensuring that the third-party involved in the accident does not suffer a huge loss as a result of the same.

• Bike insurance is also legally mandated and any two-wheeler without proper insurance coverage can be booked or fined by the law.
Just like you invest in a good health insurance for the safety of your family, an insurance for your new two-wheeler will ensure that your bike or scooter stays safe on the road. By paying a very reasonable premium amount, you can save a larger sum of money when it comes to repairing the vehicle after an accident.

While applying for the bike insurance online, remember to check the no-claim bonus options and other aspects of the plan. You can modify the coverage of most plans in order to get the kind of coverage you desire for your two-wheeler.

Now pay your utility bills online and get these advantages

The internet is a wonderful place offering consumers numerous advantages when it comes to making payments of various sorts. Be it your bills or purchases for a variety of purposes, online facilities offer great alternatives to standing in queues at the bank for the same. Utilities like DTH, gas, electricity and others can be paid with ease using online modes. Internet banking apps help further with the transactions by offering some amount of cashback. Utility bills can be paid one after the other using a safe e-banking app that lets you connect your bank account to make payments. Mobile internet banking saves you the trouble of moving a muscle, as you sift through your dues and pay them efficiently from the comforts of your home.

Electronic security ensures the safety of your identity and prevents theft or misuse of any confidential information to a large extent. You can pay your utility bills on time with a tap on your screen. You can also check out and make use of many other features in correspondence with your utility bill payments. Most banks offer this facility that does not require you to engage in unnecessary interactions or hassles for the most part of your day and if you are someone who likes to stay at home or does not have the time to run around the city, utility bill payments from your phone with a fast internet connection is the ideal option for you.

Listed below are the advantages of paying utility bills online:

1. Simple and easy to access - It is easy to make payments using your phone, laptop or desktop as it takes just a few clicks. Everything about the procedure is explained on the corresponding website in detail, and within a few minutes, you can check off your dues one after the other and save yourself a great deal of time and effort by availing the boundless opportunities online.

2. Security ensured by all means - Most transactions through mobile banking or e-banking apps require a verified OTP that is sent to your mobile phone linked to your bank account. This double safety measure ensures no sort of identity theft or misuse, giving you the ease of convenience and security of your information and money at all times.

3. Keep a tab on all your expenses - Online modes of payments let you keep yourself in check by displaying all your recent transactions, dues, expenses and other information in one frame. This lets you realise when to spend and when not to, how much to refund your account with to carry on with further payments, and how much money to transact to carry on with your day.

What are the advantages of online credit card bill payment?

It is a noticeable trend in which many apps and websites around the globe offer a mode of payment via net banking apps or credit cards. Credit cards are convenient to use and offer a secure and fast mode of transaction for a variety of purposes. With that also comes the headache of making credit card bill payments every time, especially when you are more used to carrying bundles of cash along with you instead. This ensues standing in queues to get through the payments or having to face bank officials who are overworked and tired.

But in today’s times, you can pay off these bills online from the comforts of your own home. Be it this or any kind of bill, all can be made easy with one click on your phone and a fast internet connection. You do not need to move a muscle and can avoid the hassle of interacting with people for the same. Even while you are travelling, you can pay credit card bills and dues with ease. You can also keep a track of how much is left in your card and issue some more cash to refill your card for future use.

Listed below are the advantages of using online modes to pay off your credit card bills,

1. Convenience by all means - Whether you are planning to stay at home or to go forward with a long vacation and your credit card bill is what's holding you back, you can be rest assured that it will get cleared with a tap on your mobile screen. This is the first and foremost advantage that guarantees ease of usage and convenience as it lets you clear off your dues wherever and whenever. You can pay your credit card bill through the net banking procedure and never have to worry about stepping out of your comfort zone for the same.

2. Go Green - Paying bills online saves your time, money and even paper. There is no need for you to fill up slips for the same as you can go online and do it to clear off your payments. Digitally trusted, credit card bills can be paid online, thus ensuring a better environment for you to live in.

3. Faster Processing - Paying bills online also ensures a faster mode of having your funds credited to your account with ease. Online procedures are generally quite fast and you can be assured of receiving or giving money within a few seconds, rather than having to wait in line at the bank for the same.

Did you know you can enjoy the convenience of bill payment online?

One of the revolutionizing steps being taken in today's times has to be the convenience of online banking facilities. Rather than keeping your cash at home, or making multiple trips to the nearest ATM or your bank, mobile banking apps provide users with the option to swipe through different accounts with one go. Accessing money becomes easier than ever and much more convenient and safer. Online bill payments, frequent transactions, money transfers and loan repayments can be made easy with the help of your phone and a fast internet connection.

If you have to pay some fees, or pay your electricity bill, DTH, metro and other bills, a bill payment app can be downloaded or the website pertaining to the specific organization can be accessed to make the bill payment. You do not have to worry about running to different places by virtue of this integrated interface. People are no longer hesitant regarding paying bills online. It is a safe procedure and ensures security against identity theft. Online payment does not overbill the consumer either and is a trusted method as more and more people today are shifting to this mode for their credit card, mortgages, utility rents and more.

Mentioned below is a list of reasons as to what makes the online process so convenient,

1. Speed and Safety - The ordinary check and stamp method is no longer appreciated by consumer who can do the same by a simple click on their bill payment apps. Monthly payments can be made through the online process, without missing any due date. You can also keep a track of the amount of money paid last month, or check if any payment is left unattended. Last minute payment is also made easy with online payment as it just takes a minute to finish all your tasks.

2. Link your credit card to pay bills - Credit card payments are easier for all your bills. Linking your credit card to a payment app ensures extra security as the transaction requires you to enter a verified OTP that is sent to your phone number to go further ahead with the transaction. The added security ensures the safety of your identity and also, in some cases, gives you a little cashback if the offer exists, depending upon your bank.

3. Benefit for the environment - The online procedures give the user as well as the society the benefit of saving the greens, as it does not require any paper. The process is digitally fit and saves money to buy stamps or issue slips.