Frequently Asked Questions

What is the minimum amount required for SIP?

The minimum amount for SIP varies depending on the mutual fund scheme. Generally, it can be as low as ₹500 per month. Some funds may have higher minimum requirements.

How does SIP help in rupee cost averaging?

SIP helps in rupee cost averaging by automatically buying more units when prices are low and fewer units when prices are high. This averages out the purchase cost over time and reduces the impact of market volatility.

Can I change my SIP amount?

Yes, you can increase, decrease, or stop your SIP at any time. However, some funds may have specific rules regarding changes, so it's best to check with your fund house.

What happens if I miss a SIP payment?

If you miss a SIP payment, the fund house may charge a penalty or cancel your SIP mandate after a few missed payments. It's important to maintain sufficient balance in your bank account for SIP deductions.

How are SIP returns taxed?

SIP returns are taxed based on the type of mutual fund and the holding period. Equity funds held for more than 1 year are taxed at 10% (LTCG), while debt funds held for more than 3 years are taxed at 20% with indexation benefits.

Can I withdraw my SIP investment anytime?

Yes, you can withdraw your SIP investment at any time. However, it's recommended to stay invested for the long term to benefit from compounding and market growth. Early withdrawals may also attract exit loads depending on the fund's terms.

Available SIP Schemes