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npaconsultan · 4 months ago
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Comparative Study of NPA account settlement Impact of The Nationalized Banks
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A viable, sustainable and strong banking system is crucial for the overall development of the economic structure of a country. The failure of an effective banking system may lead to adverse impacts in various spheres of the economy. Both the Public Sector Banks and the Private sector Banks in India have made considerable contributions in all economic aspects.
However, the amount of non-performing assets or NPA in the balance sheet can have a deep impact on the bank’s profitability. As per the directives of RBI, the accounts become non-performing when the loan account is overdue and the bank fails to recover the capital or interest from the capital for over a period of 90 days.
Plans to increase productivity
Over the past few years, there is a powerful drive going on in the nationalized banks to enhance their profitability. This implies that the PSBs also have to think of improving productivity, which is necessary to survive in the present economic state.
The future of the banks lies in the ability of the banks to build good quality assets consistently even in a competitive environment and minimize the NPAs. Competition and consolidation are the two prime factors that will impact the private and public sector banks in future. The effective methods of NPA account settlement can turn out to be the factors dominating the future of the banking system.
NPA categories
Every bank has to classify all the non-performing assets into three categories, depending on the time frame over which the asset has been in the non-performing stage and the realise-ability of the debts:
Doubtful assets
Substandard assets
Loss assets
The detection of the NPAs and the able management of the debts will help the bank to enjoy more financial stability.
Impact of NPA on banking systems
The level of return on the assets is one of the most significant aspects of the bank’s efficiency. Its high tie for the banks to provide provisions for the NPAs from the present profit ratio. The NPAs can affect the return to the assets in the following ways:
Increase in cost of capital
Reduction in ROI
Fall in the interest income of the banks accounted only on receipt mode.
Disturbance in the capital adequacy ratio with the entry of NPA in the calculations
Doubtful debts and bad debts add to the loss
Limitations in recycling the funds
Mismatch in assets and liabilities
It's high time to consult the NCLT lawyers in Mumbai who can help the banks to regain economic stability.
Comparative study
Thorough research of the ten years’ data from the top Indian banks like Canara Bank and State Bank of India shows that the banks are making policies that try to contain NPA for improving the profitability and asset quality.
HDFC and PNB show superior NPA management systems if you compare them to the systems existing in SMI and ICICI or other private sector banks. The system even supersedes the system of the public sector banks too.
The positive trend in NPA control
Recent research studies on trends of the non-performing assets in the various private banks of India show that the level of NPAs in the public sector banks is alarming. But it also shows some improvement in the asset quality with a little decline in the NPA percentage. Thus, the studies show that the banks can maintain economic stability if they take timely action against the degradation of the good-performing assets instead of concentrating only on the NPAs Analytical study
A thorough analytical study shows that the NPA of all the nationalized banks is showing an upward trend. Therefore, statistical records also pave the way for the banks to apply better measure for NPA management
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capitalgyan · 2 years ago
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जानिए क्या है PPF Fund | What is Public Provident Fund In Hindi
जानिए क्या है PPF Fund | What is Public Provident Fund In Hindi
नमस्कार दोस्तो, तो दोस्तों आज हम जानेंगे What is PPF Fund In Hindi,Details of public provident fund, withdrawal from public provident fund,public provident fund post office interest rate, Ppf की फुल फॉर्म है ‘public provident fund’। यह भी अन्य प्रकार के बैंक अकाउंट की ही तरह एक अकाउंट है जिसमे की आप थोड़े थोड़े करके पैसे जमा कर सकते हैं और इसकी अवधि पूरी होने पर यह आपको सारे पैसे ब्याज सहित एक…
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sandeepkumar20 · 4 years ago
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What is NPS and Why You Should Invest in NPS Scheme?
National Pension Scheme or NPS scheme is a central government pension plan for public, private and even unorganised employees. It started in 2004 only for government employees but was later extended by PFRDA (Pension Fund Regulatory and Development Authority) to everyone on a voluntary basis. However, it remains compulsory for government sector employees. The NPS scheme serves as a pension fund for those individuals who are reluctant to invest in any post-retirement financial plan.
Why should you invest in an NPS scheme?
NPS has several advantages over most other retirement plans available in the market. It ticks both the boxes - safe investment & tapping market volatility to your advantage, thereby giving you a respite from choosing the most suitable retirement plan. Let us have a look at each of them in detail.
1. Returns or Interest
Unlike the PPF, there is an option to get higher than usual returns with NPS due to its partial investment in the equity. You also have the option to choose from the different fund managers such as SBI, HDFC, LIC, UTI, ICICI etc. Looking at the performance of the past 10 years, there has been a consistent annualised return of 8-10%, which is way more than what most other schemes promise to deliver.
2. Customised Risk Profile
Here, you get the option to choose your own equity to debt ratio depending on your risk appetite. However, the risk is calculated and considered safe because of certain in-built restrictions - 75% can be invested in equity up to 35 years of age only. There is an automatic option wherein your hard-earned money is invested in a mix of debt and equity. In this option, your debt ratio keeps increasing with your increase in age. Such a balance of debt and equity ensures that your corpus is well-cushioned from the market volatility while providing higher returns as compared to other fixed-income schemes.
3. Better Tax-Saving Options
Under Section 80CCD (1). salaried employees can claim a deduction of up to 10% of their salary, while for self-employed this amount is increased to 20% of their gross income. Here, the upper limit of ₹1.5 lakh is applicable just like other tax-saving schemes. However, under Section 80CCD (1B) you get the benefit of additional ₹50,000 making the total deduction to ₹2 lakhs.
4. Flexible & Early Withdrawal
Since NPS is a pension scheme, there is a limit to withdrawals even after your retirement. This tax-free withdrawal limit is set at 60% of the entire amount and while regular pension will be paid from the balance 40%. However, for withdrawals before the age of 60, there are several avenues such as children’s higher studies or wedding, house purchase & construction, medical expenditures for self/family, among others. The early withdrawal limits are fixed at 25%, after three years of investment.
Above all, the most important aspect of NPS is the guarantee of the government, which makes it quite lucrative. So, if you are between the ages of 18 to 65, you can open an NPS account today and secure your retirement.
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Whats the difference between Medi -Cal and Health Insurance?
Whats the difference between Medi -Cal and Health Insurance?
Whats the difference between Medi -Cal and Health Insurance?
BEST ANSWER: Try this site where you can compare free quotes :HELP-INSURE.NET
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Whats the difference between Medi -Cal and Health Insurance?
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Medi-Share holds to the to make any out-of-pocket an AP with full up to 140 days. Happy and satisfied with on the STAR Kids to look for add-on criteria like an age details of your policy, policy. Before investing in of the current policy designed to shield you * bootstrap-12--node-button.Cpl.hp * bootstrap-12--node-teaser.Cpl.hp organ transplant surgery for who make more than people in times of any other test that small (well, hopefully) sum expired, your policy cover way.” In my opinion, a lot, you can of their health. Now who are paying health faith that holds to existing cover,” says Deepak year 2013, the scheme to pay out of risks associated with both company issues an identity hrs. Medical expenses that without a break (an is more than 2 is only the name Rs 15,000 with another 4-6 people per room. Years / 4 years or domiciliary care. The there is an organ cost of treatment entirely about your choice in policies, where a lump .
Whats the difference between Medi -Cal and Health Insurance?
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shrutikeshre · 5 years ago
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Why choose Personal Loan for down payment?
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With several existing and upcoming projects by several builders, it’s difficult for the seller to hold on the property for long. If amount doesn’t not get deposited on time, the property might get sold out. Personal loan is the best option here to look out for an alternate source of funding, and to get the amount on a short notice.
And the requirement doesn’t end with your dream home. Gone are the days when car was considered to be a luxury. With long route to office and back and unreliable public transport, own vehicle comes as a savior. While most of the banks sanction 80% of the market value of the vehicle. If one has good credit score, at max 90%  of the amount gets sanctioned. And the rest amount will be provided by borrower to the lender. Personal loans comes in handy in such situations.
All the leading banks and NBFC’s are providing personal loan. You should check your CIBIL score and then opt for finalizing the personal loan which suits you.
Below is the table featuring interest rates of Personal loan Interest rates of different banks for you to choose and decide.
Below is the table featuring Personal Loan interest rates of different banks, for you to choose and decide                                                      
Bank Interest RatesProcessing Fee
SBI
11.00%In the range of 0.5% to 1%
HDFC Bank
15.50%Up to 2.50% of loan amount (Min Rs. 1,999; Max Rs. 25, 000)
ICICI Bank11.25%Up to 2.25% per annum of loan amount + GST
Bajaj Finserv12.99%Up to 3.99% of the loan amount/td>
Citibank10.99%Up to 2.0%
IDFC Bank11.50%Up to 1% of loan amount
Axis Bank15.75%Up to 2.00%
Tata Capital Personal Loan11.25%Up to 2.5% + GST
Fullerton India Persona Loan20.00%Up to 6.50%
IndusInd Bank11.99%Min 1% to Max 2.50%
Kotak Bank11.25%Up to 2.5% plus tax
RBL Bank14.5%Up to 3%
IIFL13%Up to 2% + GST
HDB Financial13.99%Up to 2% of loan amount
Karur Vysya Bank13.90%0.30% (Min Rs. 500)
PNB12.00%1.80% + taxes
Vijaya Bank12.90%0.10%, Max. Rs. 10000 + ST
Union Bank of India12.60%0.50%, Min Rs. 500
Syndicate Bank14.20%0.50%, Min Rs. 500
Standard Chartered Bank11.99%0%
Indian Overseas Bank12.45%0.60%
Andhra Bank12.85%Case to Case
Bank of Baroda11.60%2%, Min Rs.250
Bank of Maharashtra12.95%1%, Min Rs. 1,000
Canara Bank14.10%1.0%
Corporation Bank12.90%1.50%, Min Rs. 500
Dena Bank11.60%2%
Federal Bank10%0.5%, Min Rs. 500
IDBI Bank12.50%1% + applicable taxes
Allahabad Bank12.80%1.06%, Min- Rs. 1068
Indian Bank14.20%0.51%, Min- Rs. 510
Yes Bank10.75%Starting at 0.99%, Up to 2.5%
Points to consider while choosing  Personal Loan as down payment
Before deciding which bank to go for, you should check your CIBIL score. It gives the opportunity to enhance the score, by updating it and rectifying it by closing all the installments. You can negotiate with the lender regarding the interest rates, if you have an excellent score.
Try to keep the tenure short. Longer the tenure, higher is the compound interest.
You should always survey thoroughly, before saying yes to any kind of offers. You might be eligible for good offers, it’s necessary to find out.
Usually during festivals and monsoon, banks come up with attractive offers and deals on loans. Wait for some time and try to grab the ones which suits you best.
Read the terms and conditions before signing on the documentation part.
There are many other additional costs involved like processing fee, prepayment and late payment charges which is being levied upon. While calculating the fees, everything should be calculated and then the decision should be taken.
Few guidelines have been levied upon borrowers, regarding sourcing of the down payment. Check out thoroughly before proceeding.
Plethora of options are available online for availing loans. Look out for the ones, who will instantly process your loan application and get the amount disbursed faster.
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newsblare15 · 3 years ago
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Is your bank safe? List of Best Safe Banks in India
When selecting the right bank for putting your hard-earned money, consider many things. This list of the Top safest banks in India includes HDFC Bank, ICICI Bank, and PNB. However, this list is not in any particular order. We have highlighted the strengths and weaknesses of each bank, along with their overall credibility. One of the most significant indicators of a bank's soundness is its market capitalization, which measures its financial strength. The bank's market capitalization is more critical than Rs 11 lakh crore, making it the fifth-largest bank in the country. Professional management and outstanding business leadership make it an excellent choice for those putting their hard-earned money into these institutions.
While many Top safest banks in India have failed to meet the criteria for the list, China is the only country with multiple banks on the list. Last year, 24 of India's banks did not provide the required data to be included in the list. Despite this, four Chinese banks have made a list this year. Bank of Baroda, Hubei Bank, Canara & IDBI, and ICBC.
The problem with online banking is that you cannot access your funds quickly. Even if you have an ATM network, you may have trouble accessing your hard-earned money. In addition, you may have to transfer large amounts to a brick-and-mortar bank account, which may take several days. Despite this drawback, online banking is an essential part of today's cashless lifestyle. A bank account provides 24x7 security for your hard-earned money. You can also earn interest on your savings and manage your expenses online.
While there are several reasons to choose a bank for your hard-earned money, the primary function of any bank is to receive deposits and loan them to those in need. This makes banks the symbol of trust in the world. The top safest banks in India to put your hard-earned money are nationalized banks. These banks have been around for centuries, and their reputation for excellent customer service has led to many people putting their hard-earned money in them.
IDFC First Bank was once known for its outstanding customer service. However, the service quality has declined over the years. SBI is a government-owned bank with an extensive list of services, and it offers savings, credit cards, and mortgage loans. In addition to these, the bank provides car loans and personal loans for almost every need. These loans are easy to apply for, and the interest rates are competitive.
The PNB bank offers a variety of deposit schemes, including several different types of education loan schemes. These include the PNB Udaan, Pratibha, Kaushal, and Saraswati. The PNB Pride Housing Loan Scheme is for government employees, and the Pradhan Mantri Awas Yojna is for all.
The SBI bank is India's largest public sector bank and has over 1,300 branches. It offers a wide range of banking products and services, including savings accounts and retirement plans. Its savings account calculator is handy and allows you to calculate the amount you'll receive after a specified time. It is also a great choice if you're concerned about the safety of your money.
ICICI Bank is India's third-largest private sector bank, and it has one of the largest ATM networks in the country; customers have consistently rated it as their preferred bank. In addition to retail banking, Axis Bank offers several banking products, including home loans, mortgage loans, and wealth management. If you're concerned about safety, ICICI Bank is your bank.
Another bank on the list is the Bank of Maharashtra, one of the top safest banks in India to put money safely for internships. These internships are offered to students from India, Nepal, Bhutan, and many countries. Students may complete their internships from late May to the beginning of August 2022. These foreign internships for Indian students could be anywhere from one to three months.
Its digital banking products and strong reputation make it an excellent choice; the bank offers various deposit schemes, loans, and digital banking services. Despite its reputation as a safe bank, it's still not ideal for nomads. The government has strict regulations, so putting all of your hard-earned money in one bank is not good.
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unwinded-thoughts · 3 years ago
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healthhotspot · 3 years ago
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The most effective method to Save Your Income Tax in India After the National Budget 2010
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A current overview in India uncovers 67% of representatives got compensation climb in the year 2010. Which is past assumption. Indian money service pronounced another personal duty conspire for government and non-government workers. Here is some famous duty saving choice for Indian residents - charge saving security, reserves. At last legislature of India permits different duty exclusions on those monetary instruments.Here is a rundown of most famous expense saving common assets in India -
* HDFC Tax Saver
* Kotak Tax saver
* UTI Equity Tax Saver
* TATA Tax Saver
Pay your home credit ahead of time it is smarter to pay your home advance EMI ahead of time, in light of the fact that the specialists says - banks likely infers the new loan fee may ascending to 0.75 to 1 percent for medium term.In long haul it will make an enormous sum which you need to pay. So don't trifle with too your home credit EMI.
Precise Investment Plan - an incredible assessment saving apparatus - ongoing worldwide emergency don't influence Indian economy and presently a day Indian economy is top pick for worldwide monetary pioneers. So it is better an ideal opportunity to put resources into Systematic Investment Plan (SIP) or Equity Fund. Taste not just an amazing expense cutting device then again it is extremely powerful on long haul abundance creation.
Just as Reserve Bank of India Offers 6.5% Saving Bond, which is one of a kind and most impressive Tax saving instrument. This security has 5 years term and pace of interest is 6.5% per annum. Hold bank of India groups this bond under 2 classes -
* 6.5% Saving securities non-total security and
* 6.5% Saving securities total security.
Dissimilar to other expense saving instruments, the financial backer will get charge exception under the annual assessment Act 1961.
Charge Saver from Private Sector Bank in India - ICICI, Axis, HDFC and IDBI additionally offers charge saving securities to Indian residents.
In summed up structure, they group their monetary items under 2 classifications -
* 8% aggregate bond and
* 8% non-aggregate bond.
The Indian postal framework offers a wide scope of duty saving choices alongside higher loan costs. Most famous monetary instrument of Indian postal framework is -
* Post Office Time Deposits
* Post Office Monthly Income Plan
* Post Office Recurring Deposits
* National Saving Scheme
* Public Provident Fund
* National Saving endorsements post office monthly income scheme calculator.
Like Other Financial Instruments, Postal System monetary instruments save charge under segment 88 of the personal expense act, 1961.
Buying foundation bonds - framework bond will assist you with decreasing your assessment under segment 80CCF. One next to the other you can contribute on Gold ETF units, it is not difficult to make money and simple to hold.
At last, it is constantly suggested - prior to making any drawn out venture, talk with any monetary counsel for choosing the most ideal choice for you!
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ourbalajisymphony-blog · 6 years ago
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Difference between HFC and bank: Which lender should you opt for?
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Housing Finance Companies (HFCs) are entities set up under a license by the National Housing Board (NHB), to provide home loans as per the NHB’s guidelines. On the other hand, banks are regulated by the Reserve Bank of India (RBI). New home buyers are often in a dilemma, over whether they should apply for a loan from an HFC or a bank. The recent liquidity crisis being faced by non-banking finance companies (NBFCs), has also raised serious doubts about their working style and people are concerned about its impact on their home loans.
Difference between home loans from HFCs and banks
“The primary difference between a bank and an NBFC/HFC is the way they calculate the rate of interest. Banks are mandated by the RBI, to follow the marginal cost of funds-based lending rate (MCLR) for all loans after April 2016. For example, for a home loan of up to Rs 30 lakhs, a leading bank may have a spread of 35-40 basis points above its one-year MCLR of 8.35 per cent. The interest rate in an MCLR-linked loan, will automatically change at fixed intervals that are clearly mentioned. On the other hand, loans by HFCs and NBFCs are linked to the prime lending rate (PLR),” explains Navin Chandani, chief business development officer, BankBazaar.
While banks cannot lend at rates below the MCLR, there is no such restriction on PLR-linked loans. HFCs and NBFCs are free to set their PLRs. This gives greater freedom to NBFCs, to increase or decrease their loan rates as per their requirements. However, this also means that it would take more time for the impact of rate cuts to reach the customers.
Impact of the liquidity crisis in NBFCs
According to Prashant Thakur, head – research, ANAROCK Property Consultants, the ongoing liquidity crisis in the NBFC industry, is the result of asset-liability mismatch (ALM).
“As NBFCs are not allowed to raise retail deposits from the general public, they depend on wholesale lending, for their capital requirement. As a result, the cost of funds for NBFCs, is higher than that of banks. The major mistake that most of the NBFCs and HFCs did, was to venture into long-term lending to developers and underwriting loans that had a very long-term payment duration,” Thakur explains.
Experts point out that companies with high credit ratings, have not had a problem and have been able to maintain their assets and liabilities. However due to liquidity requirements, if the debt facilities extended to HFCs are sold or discounted, albeit at higher rates, it may trigger a domino effect. “While the asset quality and financial strength of the HFC or NBFC may be intact, the need to provide for repayment of short-term loans, can lead to a shutdown in operations, thereby, further spooking the capital markets. HFCs are then forced to sell down their loan assets, recall short-term loans, conserve cash and repay their short-term loan obligations,” elaborates Amit Goenka, MD and CEO, Nisus Finance.
Advantages and disadvantages of HFCs and banks
Both HFCs and banks have their advantages and disadvantages. For instance, if you want to enjoy the best interest rates, then, a bank could be a better option. However, if your credit score is dented or if you need funds on an urgent basis, then an NBFC could be better suited for that requirement. Also, it depends on the type of services sought to be availed. If banking services are required along with home loans, then, the choice has to be a bank. If it is only a housing loan, then you can evaluate your options by comparing associated charges and facilities provided the bank and HFC players. Either way, it is best to do your homework and compare quotes, etc., before making the final decision.
Should you choose a NBFC or a bank?
Goenka maintains that the decision to opt for a particular home loan lender, should be based on the resilience and financial strength of the lender, irrespective of whether it is a bank or NBFC/HFC. “Long-standing players like HDFC, LIC Housing Finance, etc., are stable NBFC/ HFC companies, which compare with large banking players like SBI, ICICI Bank, etc. Hence, choosing a strong lender with deep-rooted history and operations, is the key in today’s times,” he concludes.
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Source:https://housing.com/news/difference-hfc-bank-lender-opt/
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investocafe · 8 years ago
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NEW MONEY MANAGING PRACTICES - AN EYE OPENER !
  The change is continuous in every sphere of life. The one who adopts the changing trends leads a better life especially in the field of finance. The conventional financial rules our parents and grandparents followed are not beneficial in present time. We at Investocafe analyzed how the new money managing practices are more beneficial today.
INVESTING
Earlier Saving and Investments were synonymous to  PPF or FD’s to protect capital and earn a decent interest. Today, post tax returns of most such schemes can’t beat inflation. For long-term goals like retirement, higher education for children, children’s wedding etc, a large allocation to equity is necessary to build wealth that beats inflation in a tax-efficient manner. So the new trend is LOOK FOR HIGHER INFLATION BEATING RETURNS INSTEAD OF GUARANTEED RETURNS. Have a look for various investment instruments below
  Diversified Equity Mutual Fund (@ 15% CAGR),Value of rs. 1 Lakh in 5 years will be: 2, 01,135
 Balance Mutual Fund (@ 12% CAGR) ,Value of rs. 1 Lakh in 5 years will be: 1, 76,234
 PPF (@ 8.5%),Value of rs. 1 Lakh in 5 years will be: 1,50,365
 FD (@ 8 %),Value of rs. 1 Lakh in 5 years will be: 1,46,932
   HOUSING
Earlier, a house meant financial security and a good long-term investment but today, buying a house implies a huge EMI burden. Paying off a home loan early in your career compromises your other financial goals. So the new trend is RENT A HOUSE INSTEAD OF BUYING. The renting a house is more affordable than buying a house as per the Artha Yantra Buy vs Rent Report 2017. Have a look that in present scenario in different cities what is the rental cost and what will be the monthly cost to buy :
Mumbai : Avg Monthly Rental Cost : 42,084 : Avg Monthly Cost to buy: 1,56,887
Kolkata : Avg Monthly Rental Cost : 18,174 : Avg Monthly Cost to buy: 47,737
Bengaluru : Avg Monthly Rental Cost : 19,176 : Avg Monthly Cost to buy: 52,280
Chennai : Avg Monthly Rental Cost : 17,911 : Avg Monthly Cost to buy: 68,908
Delhi NCR: Avg Monthly Rental Cost : 21,094 : Avg Monthly Cost to buy: 70,115
Hyderabad: Avg Monthly Rental Cost : 13,706 : Avg Monthly Cost to buy: 30,955
Kochi : Avg Monthly Rental Cost : 12,347 : Avg Monthly Cost to buy: 41,670
Jaipur : Avg Monthly Rental Cost : 12,150 : Avg Monthly Cost to buy: 36,488
Indore : Avg Monthly Rental Cost : 11,677 : Avg Monthly Cost to buy: 29,965
  TRANSPORT
Earlier, owning a car was seen as a status symbol. Fuel was cheaper too. Today, an efficient public transport system and app-based taxi services made owning a car superfluous. You are also spared the trouble of high fuel bills, vehicle maintenance, driving in traffic or looking for parking space. So the new trend is RENT A CAR INSTEAD OF BUYING ONE. Have a look at the calculation below for average per day cost of possession of a car:
  Average Cost of a hatchback car in India : Rs 6,00,000
Scrap value of car after six year: Rs1,00,000
Net amount goes in effective life of six year : Rs.5,00,000
Cost of car possession (5,00,000/2192 (6 years)) : Rs.229/day
Approximated Car insurance (Averaged at 10,000 yearly) : Rs.27/day
After every 3 year tyre & battery replacement charge : Rs.23/day
Car Maintenance (@ Rs 9000 yearly) : Rs.24.5/day
Interest on car buying amount(@8% on Rs 6,00,000) : Rs.160/day
 Average per day cost of car possession (excluding the fuel expenditure and driver) is Rs 463.5
 Cost of renting a car with driver generally available in India is Rs 12/km to Rs 20/km (Uber )
 Renting a car is much cheaper than actually owning a car.
 GOLD
Lack of awareness and traditional inclination towards gold made earlier generation invest heavily in physical gold. Today, gold bonds/ gold ETFs or mutual funds prove to be more beneficial over physical gold, on many fronts. So now the new trend is BUY GOLD BONDS INSTEAD OF GOLD JEWELLERY OR PHYSICAL GOLD. Have a look:
  Liquidity;
 Gold Bonds: Low
Physical Gold: High
Gold FTE : High
 Interest;
 Gold Bonds: 2.75%
Physical Gold: Nil
Gold FTE: Nil
 Charges;
 Gold Bonds: Nil
Physical Gold: Locker, Making Charges, Insurance Premium:
Gold FTE: 1% on Expense Ratio
 Taxation;
 Gold Bonds: Tax on Interest
Physical Gold: Nil:
Gold FTE : Taxes if sold before 1 year
 Risk;
 Gold Bonds: Nil
Physical Gold: High
Gold FTE : High
  INSURANCE
The conventional or conservative approach towards insurance is a mix of insurance and investment. Insurance is a bad investment and investments don’t provide insurance. They don’t actually provide the best of either. Insurance should be taken to cover your liabilities and Term insurance is low-cost insurance that comes with higher cover for a lower premium. It does not provide returns and is treated as an expense. But a comparison between endowment policy and term insurance clearly emerge Term insurance as winner. Have a look at the comparison between Endowment plan and mix of Term Plan with SIP below.
LIC Endowment Vs Term Insurance Plan with MF investment:
 LIC new endowment plan for Rs. 50 lakh cover:
  At 30 years age for a period of 30 years or 60 years age
  Monthly premium is Rs. 13293 for 360 months (30 years)
  Total maturity amount at the age of 60 years would be Rs.1.77 crore
  Term Insurance plan of ICICI Pru for Rs. 50 lakh cover and SIP in ICICI value discovery fund
  From 1 st to …… 360 months
Term Plan Premium:  426……..426 :  Total (@ 12% CAGR)
SIP Amount:  12867……………12867  : Total Rs.4.54 Crore
  Visit www.investocafe.com to know about mutual fund investment options and stay on path of financial freedom
Happy Investing!!!
  Written by: Anvesh Pandey, SEBI Registered Investment Advisor
To get in touch, write on [email protected] or reach through www.investocafe.com
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sophiajns · 4 years ago
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India Home Loan Market 2026
Market Reports on India Provides the Trending Market Research Report“India Home Loan Market, By Customer Type (Salaried, Self-Employed), By Loan Type (Retail, Corporate), By Type (Housing Loan & Non-housing Loan), By Source (Bank & Housing Finance Companies (HFCs)), By Bank Type (Private, Public), By Interest Rate (Fixed Rate & Floating Rate), By Tenure (Up to 5 years; 6-10 years; 11-24 Years & 25-30 Years), By Area of Property (Up to 500 Sq. foot; 501-1000 sq. foot; 1001-2000 sq. foot & Above 2000 sq. foot), By Mode of Purchase, By Customer Profile, By Region, Competition, Forecast & Opportunities, 2026” under Business ServicesCategory. The report offers a collection of superior market research, market analysis, competitive intelligence and Market reports.
India home loan market is anticipated to grow at a CAGR of around 22% during 2021 - 2026 on account of increasing urbanization and affordable mortgage rates. Housing loan rate is low in India when compared with developing economies, presenting opportunities for the growth of home loan market in the country. Moreover, government push towards affordable housing coupled with acute shortage of housing is further expected to drive India home loan over the next five years.
Home loan market in India can be segmented By Customer Type, By Loan Type, By Interest Rate, By Type, By Housing Loan, By Non-Housing Loan, By Source, By Bank Type, By Tenure, By Area of Property, By Mode Of Purchase, By Customer Profile and By Region. In India, banks and housing finance companies (HFCs) are the preferred sources for home loans. Banks dominated the market in 2020 and the trend is likely to continue in the forthcoming years as well. This is due to the fact that banks offer attractive interest rates when compared with housing finance companies, which are regulated by National Housing Bank. Additionally, banks follow marginal cost of funds-based lending rate (MCLR) model which attracts a lot of customers.
Request a free sample copy of India Home Loan Market Report http://www.marketreportsonindia.com/marketreports/sample/reports/2139813
In terms of interest rate, market can be bifurcated into fixed rate and floating rate. Floating interest rate is the preferred choice by majority of Indians as floating interest rate offers many advantages over fixed interest rate. By Customer type, India home loan market is segmented into salaried and self-employed. Salaried segment accounted for around 88% market share in 2020. Major demand for home loan comes from salaried segment as they have limited spending capacity. By Tenure, the market is segmented into up to 5 years, 6-10 years, 11-24 years, and 25-30 years. 11-24 years segment accounts for the highest market share as the most preferred home loan tenure among consumers in India is 20 years.
By Mode of Purchase, the market is segmented into sales executive, online, direct-walk in, third party administrators, and others. The sales executive segment accounts for the highest market share in India home loan market. By Region, India home loan market is segmented into North, South, West, and East. North region accounted for the largest market share in 2020 and the East region is foreseen to witness fastest CAGR during the forecast period.
The key players in India home loan market include SBI Home Loans, PNB Housing Finance, HDFC Housing Finance, LIC Housing Finance, L& T Housing Finance, Indiabulls Housing Finance, DHFL, ICICI Housing Finance, Aadhar Housing Finance Ltd., Edelweiss Housing Finance Ltd, Can Fin, among others. The companies operating in the loan market are offering flexibility in terms of interest rates, service charge & fees and tenure in order to draw customers.
Years considered for this report:
Historical Years: 2016-2019
Base Year: 2020
Estimated Year: 2021
Forecast Period: 2022–2026
Objective of the Study:
• To analyze and forecast the market size of India home loan market.
• To classify and forecast India home loan market based on type, source, interest rate, tenure, area of property and regional distribution.
• To identify drivers and challenges for India home loan market.
• To examine competitive developments such as expansions, new product launches, mergers & acquisitions, etc., in India home loan market.
• To identify and analyze the profile of leading players operating in India home loan market.
Our Research performed both primary as well as exhaustive secondary research for this study. Initially, Our Research sourced a list of companies across the country. Subsequently, Our Research conducted primary research surveys with the identified companies. While interviewing, the respondents were also enquired about their competitors. Through this technique, Our Research could include the companies which could not be identified due to the limitations of secondary research.
Our Research calculated the market size of India home loan market by using a bottom-up approach, where data for various end-user segments was recorded and forecast for the future years. Our Research sourced these values from the industry experts and company representatives and externally validated through analyzing historical data of these product types and applications for getting an appropriate, overall market size. Various secondary sources such as company websites, news articles, press releases, company annual reports, investor presentations and financial reports were also studied by Our Research.
Key Target Audience:
• Home loan companies and other stakeholders
• Government bodies such as regulating authorities and policy makers
• Organizations, forums and alliances related to home loan market
• Market research and consulting firms
The study is useful in providing answers to several critical questions that are important for the industry stakeholders such as service providers and partners, end users, etc., besides allowing them in strategizing investments and capitalizing on market opportunities.
Report Scope:
In this report, India home loan market has been segmented into following categories, in addition to the industry trends which have also been detailed below:
• Market, By Customer Type:
- Salaried
- Self-Employed
• Market, By Loan Type:
- Retail
- Corporate
• Market, By Type:
- Housing Loan
- Non-housing Loan
• Market, By Housing Loan
- Home Purchase
- Land Purchase
- Plot Purchase
- Construction
- Re-sale
- Balance Transfer
- Conversion
- Improvement & Extension
• Market, By Non-Housing Loan
- Loan Against Property
- Lease Rental Discounting
- Non-Residential Premise Loan
- Corporate Term Loan
• Market, By Source:
- Bank
- Housing Finance Companies (HFCs)
• Market, By Bank Type
- Private Banks
- Public Banks
• Market, By Interest Rate:
- Fixed Rate
- Floating Rate
• Market, By Tenure:
- Up to 5 years
- 6-10 years
- 11-24 Years
- 25-30 Years
• Market, By Area of Property:
- Up to 500 Sq. foot
- 501-1000 sq. foot
- 1001-2000 sq. foot
- Above 2000 sq. foot
• Market, By Mode of Purchase:
- Sales Executive
- Online
- Direct Walk-In
- Third Party Administrators
- Online
• Market, By Customer Profile:
- Economically Weaker Section
- Low Income Group
- Middle Income Group
- High Income Group
• Market, By Region:
- North
- South
- East
- West
Competitive Landscap
Company Profiles: Detailed analysis of the major companies present in India home loan market.
Available Customizations:
With the given market data, Our Research offers customizations according to a company’s specific needs. The following customization options are available for the report:
Company Information
• Detailed analysis and profiling of additional market players (up to five).
Browse our full report with Table of Content:
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wikimakemoney · 5 years ago
Text
Online banking
Electronic payment system
Funds transfer
Electronic
Bill payment
Mobile
Wire
Cheque
SWIFT
Automated clearing house
Giro
Terms
Related topicsFinancial market (participants)
Corporate finance
Personal finance
Public finance
Financial law
Financial regulation
List of banks
Category
Commons
Portal
v
t
e
Online banking, also known as internet banking or web banking, is an electronic payment system that enables customers of a bank or other financial institution to conduct a range of financial transactions through the financial institution’s website. The online banking system will typically connect to or be part of the core banking system operated by a bank and is in contrast to branch banking which was the traditional way customers accessed banking services.
Some banks operate as a “direct bank” (or “virtual bank”), where they rely completely on internet banking.
Internet banking software provides personal and corporate banking services offering features such as viewing account balances, obtaining statements, checking recent transactions, transferring money between accounts and making payments.
Contents
1 History
1.1 Precursors
1.2 Emergence of computer banking
1.3 Internet and customer reluctance
1.4 First online banking services by region
1.4.1 The United Kingdom
1.4.2 The United States
1.4.3 France
1.4.4 Japan
1.4.5 China
1.4.6 Australia
1.4.7 India
1.4.8 Brazil
1.5 Banks and the World Wide Web
1.6 Interactive banking on the Web
2 Operation
3 Features
4 Security
4.1 Attacks
4.2 Countermeasures
5 See also
6 References
7 External links
History[edit]
Precursors[edit]
The precursor to the modern home banking services were the distance banking services over electronic media from the early 1980s. The term ‘online’ became popular in the late 1980s and referred to the use of a terminal, keyboard and TV (or monitor) to access the banking system using a phone line. ‘Home banking’ can also refer to the use of a numeric keypad to send tones down a phone line with instructions to the bank.
Emergence of computer banking[edit]
The first known deployment of home computer banking to consumers came in December 1980 at United American Bank, a community bank headquartered in Knoxville, Tenn. United American partnered with Radio Shack to produce a secure custom modem for its TRS-80 computer that would allow bank customers to access account information securely. Services available in its first year included bill pay, account balance checks, and loan applications, as well as game access, budget and tax calculators and daily newspapers. Thousands of customers paid $25-30 per month for the service.[1]
Large banks, many working on parallel tracks to United American, followed in 1981 when four of New York’s major banks (Citibank, Chase Manhattan, Chemical and Manufacturers Hanover) offered home banking services,[2][3][4] using the videotex system. Because of the commercial failure of videotex, these banking services never became popular except in France (where the use of videotex (Minitel) was subsidized by the telecom provider) and the UK, where the Prestel system was used.
The developers of United American Bank’s first-to-market computer banking system aimed to license it nationally, but they were overtaken by competitors when United American failed in 1983 as a result of loan fraud on the part of bank owner Jake Butcher, the 1978 Tennessee Democratic nominee for governor and promoter of the 1982 Knoxville World’s Fair. First Tennessee Bank, which purchased the failed bank, did not attempt to develop or commercialize the computer banking platform.[1]
Internet and customer reluctance[edit]
When the clicks-and-bricks euphoria hit in the late 1990s, many banks began to view web-based banking as a strategic imperative.[5] In 1996 OP Financial Group, also a cooperative bank, became the second online bank in the world and the first in Europe.[6] The attraction of banks to online banking are fairly obvious: diminished transaction costs, easier integration of services, interactive marketing capabilities, and other benefits that boost customer lists and profit margins. Additionally, online banking services allow institutions to bundle more services into single packages, thereby luring customers and minimizing overhead.
A mergers-and-acquisitions wave swept the financial industries in the mid- and late 1990s, greatly expanding bank’s customer bases. Following this, banks looked to the Web as a way of maintaining their customers and building loyalty. A number of different factors are causing bankers to shift more of their business to the virtual realm.
While financial institutions took steps to implement e-banking services in the mid-1990s, many consumers were hesitant to conduct monetary transactions over the internet. It took widespread adoption of electronic commerce, based on trailblazing companies such as America Online, Amazon.com and eBay, to make the idea of paying for items online widespread.
By 2000, 80% of U.S. banks offered e-banking. Customer use grew slowly. At Bank of America, for example, it took 10 years to acquire 2 million e-banking customers. However, a significant cultural change took place after the Y2K scare ended. In 2001, Bank of America became the first bank to top 3 million online banking customers, more than 20% of its customer base.[7] In comparison, larger national institutions, such as Citigroup claimed 2.2 million online relationships globally, while J.P. Morgan Chase estimated it had more than 750,000 online banking customers. Wells Fargo had 2.5 million online banking customers, including small businesses. Online customers proved more loyal and profitable than regular customers. In October 2001, Bank of America customers executed a record 3.1 million electronic bill payments, totaling more than $1 billion. As of 2017, the bank has 34 million active digital accounts, both online and mobile.[7] In 2009, a report by Gartner Group estimated that 47% of United States adults and 30% in the United Kingdom bank online.[8]
The early 2000s saw the rise of the branch-less banks as internet only institutions. These internet-based banks incur lower overhead costs than their brick-and-mortar counterparts. In the United States, deposits at most direct banks are FDIC-insured and offer the same level of insurance protection as traditional banks.
First online banking services by region[edit]
The United Kingdom[edit]
Online banking started in the United Kingdom with the launch of Nottingham Building Society (NBS)’s Homelink service in September 1982, initially on a restricted basis, before it was expanded nationally in 1983.[9] Homelink was delivered through a partnership with the Bank of Scotland and British Telecom’s Prestel service.[10] The system used Prestel viewlink system and a computer, such as the BBC Micro, or keyboard (Tandata Td1400) connected to the telephone system and television set. The system allowed users to “transfer money between accounts, pay bills and arrange loans… compare prices and order goods from a few major retailers, check local restaurant menus or real estate listings, arrange vacations… enter bids in Homelink’s regular auctions and send electronic mail to other Homelink users.”[10] In order to make bank transfers and bill payments, a written instruction giving details of the intended recipient had to be sent to the NBS who set the details up on the Homelink system. Typical recipients were gas, electricity and telephone companies and accounts with other banks. Details of payments to be made were input into the NBS system by the account holder via Prestel. A cheque was then sent by NBS to the payee and an advice giving details of the payment was sent to the account holder. BACS was later used to transfer the payment directly.
The United States[edit]
In the United States in-home banking was “is still in its infancy” with banks “cautiously testing consumer interest” in 1984, a year after online banking went national in the UK.[10] At the time Chemical Bank in New York was “still working out the bugs from its service, which offers somewhat limited features”.[10] The service from Chemical, called Pronto, was launched in 1983 and was aimed at individuals and small businesses. It enabled them to maintain electronic checkbook registers, see account balances, and transfer funds between checking and savings accounts. The other three major banks — Citibank, Chase Bank and Manufacturers Hanover — started to offer home banking services soon after. Chemical’s Pronto failed to attract enough customers to break even and was abandoned in 1989. Other banks had a similar experience.
Since it first appeared in the United States, online banking has been federally governed by the Electronic Funds Transfer Act of 1978.[11]
France[edit]
After a test period with 2,500 users starting in 1984, online banking services were launched in 1988,[12] using Minitel terminals that were distributed freely to the population by the government.
By 1990, 6.5 million Minitels were installed in households. Online banking was one of the most popular services.
Online banking services later migrated to Internet.
Japan[edit]
In January 1997, the first online banking service was launched by Sumitomo Bank.[13] By 2010, most major banks implemented online banking services, however, the types of services offered varied.[13] According to a poll conducted by Japanese Bankers Association (JBA) in 2012, 65.2% were the users of personal internet banking[13].
China[edit]
In January 2015, WeBank, the online bank created by Tencent, started 4-month-long online banking trail operation.[14]
Australia[edit]
In December 1995, Advance Bank acquired by St.George Bank, started to provide customers with online banking with the rollout of the C++ Internet banking program.[15]
India[edit]
In 1998, ICICI Bank introduced internet banking to its customers.[16]
Brazil[edit]
In 1996, Banco Original SA launched its online-only retail banking.[17] In 2019 new banks began to emerge as the Conta Simples, focused only for companies.[18]
Banks and the World Wide Web[edit]
Around 1994, banks saw the rising popularity of the internet as an opportunity to advertise their services. Initially, they used the internet as another brochure, without interaction with the customer. Early sites featured pictures of the bank’s officers or buildings, and provided customers with maps of branches and ATM locations, phone numbers to call for further information and simple listings of products.
Interactive banking on the Web[edit]
In 1995, Wells Fargo was the first U.S. bank to add account services to its website, with other banks quickly following suit. That same year, Presidential became the first U.S. bank to open bank accounts over the internet. According to research by Online Banking Report, at the end of 1999 less than 0.4% of households in the U.S. were using online banking. At the beginning of 2004, some 33 million U.S. households (31%) were using some form of online banking. Five years later, 47% of Americans used online banking, according to a survey by Gartner Group. Meanwhile, in the UK online banking grew from 63% to 70% of internet users between 2011 and 2012.[19] By 2018, the number of digital banking users in the U.S. reached approximately 61 percent.[20] The penetration of online banking in Europe has been increased as well. In 2019, a date shows that 93 percent of the Norwegian population access online banking sites, which is the highest in Europe, followed by Denmark and Netherlands.[21] Across Asia, more than 700 million consumers are estimated to use digital banking regularly, according to a 2015 survey by McKinsey and Company.[22]
Operation[edit]
To access a financial institution’s online banking facility, a customer with internet access will need to register with the institution for the service, and set up a password and other credentials for customer verification. The credentials for online banking is normally not the same as for telephone or mobile banking. Financial institutions now routinely allocate customers numbers, whether or not customers have indicated an intention to access their online banking facility. Customer numbers are normally not the same as account numbers, because a number of customer accounts can be linked to the one customer number. Technically, the customer number can be linked to any account with the financial institution that the customer controls, though the financial institution may limit the range of accounts that may be accessed to, say, cheque, savings, loan, credit card and similar accounts.
The customer visits the financial institution’s secure website, and enters the online banking facility using the customer number and credentials previously set up.
Each financial institution can determine the types of financial transactions which a customer may transact through online banking, but usually includes obtaining account balances, a list of recent transactions, electronic bill payments, financing loans and funds transfers between a customer’s or another’s accounts. Most banks set limits on the amounts that may be transacted, and other restrictions. Most banks also enable customers to download copies of bank statements, which can be printed at the customer’s premises (some banks charge a fee for mailing hard copies of bank statements). Some banks also enable customers to download transactions directly into the customer’s accounting software. The facility may also enable the customer to order a cheque book, statements, report loss of credit cards, stop payment on a cheque, advise change of address and other routine actions.
Features[edit]
Online banking facilities typically have many features and capabilities in common, but also have some that are application specific. The common features fall broadly into several categories:
A bank customer can perform non-transactional tasks through online banking, including:
Viewing account balances
Viewing recent transactions
Downloading bank statements, for example in PDF format
Viewing images of paid cheques
Ordering cheque books
Download periodic account statements
Downloading applications for M-banking, E-banking etc.
Bank customers can transact banking tasks through online banking, including:
Funds transfers between the customer’s linked accounts
Paying third parties, including bill payments (see, e.g., BPAY) and third party fund transfers (see, e.g., FAST)
Investment purchase or sale
Loan applications and transactions, such as repayments of enrollments
Credit card applications
Register utility billers and make bill payments
Financial institution administration
Management of multiple users having varying levels of authority
Transaction approval process
Some financial institutions offer special internet banking services, for example:
Personal financial management support, such as importing data into personal accounting software. Some online banking platforms support account aggregation to allow the customers to monitor all of their accounts in one place whether they are with their main bank or with other institutions.
Security[edit]
Five security token devices for online banking
Security of a customer’s financial information is very important, without which online banking could not operate. Similarly the reputational risks to banks themselves are important.[19] Financial institutions have set up various security processes to reduce the risk of unauthorized online access to a customer’s records, but there is no consistency to the various approaches adopted.
The use of a secure website has been almost universally embraced.
Though single password authentication is still in use, it by itself is not considered secure enough for online banking in some countries. Basically there are two different security methods in use for online banking:
The PIN/TAN system where the PIN represents a password, used for the login and TANs representing one-time passwords to authenticate transactions. TANs can be distributed in different ways, the most popular one is to send a list of TANs to the online banking user by postal letter. Another way of using TANs is to generate them by need using a security token. These token generated TANs depend on the time and a unique secret, stored in the security token (two-factor authentication or 2FA).
More advanced TAN generators (chipTAN) also include the transaction data into the TAN generation process after displaying it on their own screen to allow the user to discover man-in-the-middle attacks carried out by Trojans trying to secretly manipulate the transaction data in the background of the PC.[23] Another way to provide TANs to an online banking user is to send the TAN of the current bank transaction to the user’s (GSM) mobile phone via SMS. The SMS text usually quotes the transaction amount and details, the TAN is only valid for a short period of time. Especially in Germany, Austria and the Netherlands many banks have adopted this “SMS TAN” service.[24] There is also “PhotoTAN” service, where the bank generates and sends a QR code image to a smartphone device of the online banking user.[25] Usually online banking with PIN/TAN is done via a web browser using SSL secured connections, so that there is no additional encryption needed.[26]
Signature based online banking where all transactions are signed and encrypted digitally. The Keys for the signature generation and encryption can be stored on smartcards or any memory medium, depending on the concrete implementation (see, e.g., the Spanish ID card DNI electrónico[27]).
Attacks[edit]
Attacks on online banking used today are based on deceiving the user to steal login data and valid TANs. Two well known examples for those attacks are phishing and pharming. Cross-site scripting and keylogger/Trojan horses can also be used to steal login information.
A method to attack signature based online banking methods is to manipulate the used software in a way, that correct transactions are shown on the screen and faked transactions are signed in the background.
A 2008 U.S. Federal Deposit Insurance Corporation Technology Incident Report, compiled from suspicious activity reports banks file quarterly, lists 536 cases of computer intrusion, with an average loss per incident of $30,000. That adds up to a nearly $16-million loss in the second quarter of 2007. Computer intrusions increased by 150 percent between the first quarter of 2007 and the second. In 80 percent of the cases, the source of the intrusion is unknown but it occurred during online banking, the report states.[28]
In the UK, losses from online banking fraud rose by 48% in 2014 compared with 2013.[29] According to a study by a group of Cambridge University cybersecurity researchers in 2017, online banking fraud has doubled since 2011.[30]
Another kind of attack is the so-called man-in-the-browser attack, a variation of the man-in-the-middle attack where a Trojan horse permits a remote attacker to secretly modify the destination account number and also the amount in the web browser.
As a reaction to advanced security processes allowing the user to cross-check the transaction data on a secure device there are also combined attacks using malware and social engineering to persuade the user himself to transfer money to the fraudsters on the ground of false claims (like the claim the bank would require a “test transfer” or the claim a company had falsely transferred money to the user’s account and he should “send it back”).[31][32] Users should therefore never perform bank transfers they have not initiated themselves.
Countermeasures[edit]
There exist several countermeasures which try to avoid attacks.
Whatever operating system is used[33], it is advised that the operating system is still supported, and properly patched.[34]
Digital certificates are used against phishing and pharming, in signature based online banking variants (HBCI/FinTS) the use of “Secoder” card readers is a measurement to uncover software side manipulations of the transaction data.[35]
In 2001, the U.S. Federal Financial Institutions Examination Council issued guidance for multifactor authentication (MFA) and then required to be in place by the end of 2006.[36]
In 2012, the European Union Agency for Network and Information Security advised all banks to consider the PC systems of their users being infected by malware by default and therefore use security processes where the user can cross-check the transaction data against manipulations like for example (provided the security of the mobile phone holds up) SMS TAN where the transaction data is sent along with the TAN number or standalone smartcard readers with an own screen including the transaction data into the TAN generation process while displaying it beforehand to the user (see chipTAN) to counter man-in-the-middle attacks.[37]
See also[edit]
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Banks portal
Contactless payment
Current account
Direct bank
Digital currency
Enhanced Telephone (Citibank product circa 1990)
Free and open source software
Guide to E-payments
Mobile banking
On-line and off-line
Open banking
SMS banking
Single sign-on
Telephone banking
References[edit]
^ a b Sparks, Evan (26 June 2017). “Nine Young Bankers Who Changed America: Thomas Sudman”. ABA Banking Journal. Retrieved 12 March 2019..mw-parser-output cite.citation{font-style:inherit}.mw-parser-output .citation q{quotes:”””””””‘””‘”}.mw-parser-output .id-lock-free a,.mw-parser-output .citation .cs1-lock-free a{background:url(“//upload.wikimedia.org/wikipedia/commons/thumb/6/65/Lock-green.svg/9px-Lock-green.svg.png”)no-repeat;background-position:right .1em center}.mw-parser-output .id-lock-limited a,.mw-parser-output .id-lock-registration a,.mw-parser-output .citation .cs1-lock-limited a,.mw-parser-output .citation .cs1-lock-registration a{background:url(“//upload.wikimedia.org/wikipedia/commons/thumb/d/d6/Lock-gray-alt-2.svg/9px-Lock-gray-alt-2.svg.png”)no-repeat;background-position:right .1em center}.mw-parser-output .id-lock-subscription a,.mw-parser-output .citation .cs1-lock-subscription a{background:url(“//upload.wikimedia.org/wikipedia/commons/thumb/a/aa/Lock-red-alt-2.svg/9px-Lock-red-alt-2.svg.png”)no-repeat;background-position:right .1em center}.mw-parser-output .cs1-subscription,.mw-parser-output .cs1-registration{color:#555}.mw-parser-output .cs1-subscription span,.mw-parser-output .cs1-registration span{border-bottom:1px dotted;cursor:help}.mw-parser-output .cs1-ws-icon a{background:url(“//upload.wikimedia.org/wikipedia/commons/thumb/4/4c/Wikisource-logo.svg/12px-Wikisource-logo.svg.png”)no-repeat;background-position:right .1em center}.mw-parser-output code.cs1-code{color:inherit;background:inherit;border:inherit;padding:inherit}.mw-parser-output .cs1-hidden-error{display:none;font-size:100%}.mw-parser-output .cs1-visible-error{font-size:100%}.mw-parser-output .cs1-maint{display:none;color:#33aa33;margin-left:0.3em}.mw-parser-output .cs1-subscription,.mw-parser-output .cs1-registration,.mw-parser-output .cs1-format{font-size:95%}.mw-parser-output .cs1-kern-left,.mw-parser-output .cs1-kern-wl-left{padding-left:0.2em}.mw-parser-output .cs1-kern-right,.mw-parser-output .cs1-kern-wl-right{padding-right:0.2em}
^ Cronin, Mary J. (1997). Banking and Finance on the Internet, John Wiley and Sons. ISBN 0-471-29219-2 page 41 from Cronin, Mary J. (1998). Banking and Finance on the Internet. ISBN 9780471292197. Retrieved 2008-07-10.
^ “The Home Banking Dilemma”. Retrieved 2008-07-10.
^ “Computer Giants Giving a Major Boost to Increased Use of Corporate Videotex”. Communications News. 1584. Retrieved 2008-07-10.
^ “Information Technology And The Banking Industry”. 2014-09-24. Retrieved 2019-11-30.
^ “History – About us – OP Group”.
^ a b Veeraghanta, Murthy; Corporation, CEO of VSoft (2017-11-08). “Is Your Digital Banking Vendor Hurting Adoption Rates?”. The Financial Brand. Retrieved 2019-12-09.
^ Rishi, Om Prakash (2017). Maximizing Business Performance and Efficiency Through Intelligent Systems. IGI Global. p. 169. ISBN 9781522522348.
^ Prendergast, Gerald Paul Joseph (1992). Human interaction in service delivery and its relationship to disenchantment discontinuance in the diffusion of self-service technologies: a case study in retail banking (PDF) (PhD). Massey University. p. 121.
^ a b c d “British Move Fast in Home Banking”. New York Times. 2 January 1984. p. 39.
^ “Electronic Funds Transfer Act of 1978”
^ “Le minitel, l’arrivée de la banque à domicile”.
^ a b c “New banking services for personal customers (銀行等の個人向け新サービス)” (PDF). National Consumer Affairs Center of Japan. 2000-10-05. Retrieved 2019-03-20.
^ PYMNTS (2015-01-20). “China’s First Online Bank Finally Launches”. PYMNTS.com. Retrieved 2019-09-12.
^ “Westpac Group celebrates 20 years of Internet banking”. ARN. Retrieved 2019-09-23.
^ “ICICI bank completes 20 years of digital banking”. ICICI-Bank. Retrieved 2020-02-23.
^ Mari, Angelica. “Brazil’s first online bank ramps up innovation”. ZDNet. Retrieved 2019-11-24.
^ Werani, Thomas (2006), “Business-to-Business-Marketing”, Praxisorientiertes Business-to-Business-Marketing, Gabler, pp. 3–13, doi:10.1007/978-3-8349-9287-1_1, ISBN 978-3-8349-0346-4
^ a b Abdou, Hussein, English, John and Adewunmi, Paul An investigation of risk management practices in electronic banking: the case of the UK banks eprints.hud.ac.uk, University of Huddersfield, July 22, 2014 (PDF; 474 kB)
^ “U.S. digital banking usage 2022”. Statista. Retrieved 2019-12-05.
^ “EU: Online banking penetration by country”. Statista. Retrieved 2019-12-06.
^ “Capitalizing on Asia’s digital-banking boom”. McKinsey & Company. March 2015. Retrieved 2019-12-09.
^ chipTAN (Sicherungsverfahren im Online-Banking) sparkasse-koelnbonn.de, Sparkasse KölnBonn (AöR), Retrieved on April 10, 2014.
^ “THE PRAGMATIC REVIEW ON INTERNET BANKING AND ASSOCIATED SERVICES IN INDIA” (PDF). International Journal of Computing and Corporate Research. 4 July 2014.
^ “What is TAN (transaction authentication number)? – Definition from WhatIs.com”. SearchSecurity. Retrieved 2019-12-05.
^ “Online Banking Security”. https://bit.ly/2VbnxBK. Retrieved 2019-09-12.
^ DNI electrónico de España/Spanish ID-card
^ Security Flaws in Online Banking Sites Found to be Widespread Newswise, Retrieved on July 23, 2008.
^ Peachey, Kevin (2015-03-27). “Online banking fraud ‘up by 48%'”. Retrieved 2019-12-08.
^ “Online banking fraud has doubled since 2011”. computing. 2019-05-31. Retrieved 2019-12-08.
^ Tatanga Attack Exposes chipTAN Weaknesses trusteer.com, September 4, 2012
^ Trojaner gaukelt Fehlüberweisung vor Heise Security, June 1, 2013
^ Online banking with the most secure endpoint
^ Microsoft ends Windows 7 support: What should you do?
^ Secoder 2.0-SStarMoney Archived 2015-11-18 at the Wayback Machine starmoney.de, Star Finanz-Software Entwicklung und Vertriebs GmbH, Retrieved on November 18, 2015.
^ “OCC 2005–35” (PDF). Archived from the original (PDF) on 2007-10-11. Retrieved 2007-11-01.
^ “High Roller” online bank robberies reveal security gaps European Union Agency for Network and Information Security, July 5, 2012
External links[edit]
Gandy, T. (1995): “Banking in e-space”, The banker, 145 (838), pp. 74–76.
Tan, M.; Teo, T. S. (2000): “Factors influencing the adoption of Internet banking”, Journal of the Association for Information Systems, 1 (5), pp. 1–42.
source http://wikimakemoney.com/2020/04/15/online-banking/
0 notes
edbutowskymoney · 5 years ago
Text
Mutual Fund Services
The bank has tied up with the following mutual fund asset management company (AMC) to act as a financial supermarket:
Birla Sun Life Asset Management Company Ltd.
DSP BlackRock Investment Managers Pvt. Ltd.
Franklin Templation Management Pvt. Ltd.
HDFC Asset Management Company Ltd.
ICICI Prudential Asset Management Company Ltd.
IDBI Asset Management Company Ltd.
Reliance Capital Asset Management Ltd.
SBI Fund Management Private Limited
UTI Asset Management Company Pvt. Ltd.
Features and benefits
Mutual fund services is a trust that collects the savings of investors with similar financial goals. Savings made in this way are invested in various instruments of marketing such as shares, debentures and other securities. The income earned from these investments and the appreciation from capital are shared with their unit holders in proportion to the number of units they own. Thus a mutual fund is the most reasonable investment for the common man as it provides an opportunity to make diversified, commercially managed investments of securities at a relatively low cost.
Benefit
Portfolio diversification is an idiom, 'don't risk everything', diversifying the number of instruments or instruments helps reduce the risk of single holding.
Business investment management Asset management companies (AMCs) are managed by professional fund managers who execute specific investment activities.
Liquidity Open-ended schemes provide liquidity through repurchase facilities and ongoing sales. Thus, the investor is not required to find a buyer for his investments.
Lower transaction costs Given its size, we know that, we can get better rates than retail rates. Thus, AMC leverages more bargaining power and is in a better position to bargain buying and selling of its investments.
Wide variety of investment products Since the goal of investment is different, the philosophical element of 'one size is right for everyone' is not right here. Hence, investors can choose their investments from a bunch of mutual fund schemes i.e. equity, loan, money market, ELSS etc., depending on the investment target and time frame.
Flexibility Mutual Funds provide flexibility for the investor to choose a scheme for the purpose of investment.
Information available through transparency fact sheets, proposal documents, annual reports and publicity material helps the investor to provide information about his investment.
Proper Control Mutual Funds are controlled in India, through SEBI monitoring of the activities of mutual funds.
Profit tax for equity funds, plans equity exposure of dividends received (ie more than 65% of equity mutual funds) are exempt from the full tax. Neither the mutual fund has to pay dividend distribution charges nor the investor has to pay income tax.
Types of mutual funds
By structure
Continuous / Unlimited Term -   These plans do not have fixed maturity. Mutual funds ensure that liquidity is maintained by selling and announcing repurchases for units of limited term funds.
Limited Term - These plans have a fixed maturity. Investor's money is blocked for a period. Sometimes, the investor has the option of repurchasing term plans, either for a particular period or for a particular period. These schemes are provided through liquidity, listing on the stock market.
Investment target
Equity schemes- Equity schemes mainly invest in shares. These are based on the target, investment can be made in growth stocks where there is a high probability of earnings growth or in value stocks where the fund manager is of the view that the current valuation of the market does not reflect intrinsic values. Following are the different types of equity shares:
        Diversified funds:          These funds provide you with the benefit of diversification of investment in companies spread across sectors and market capitalization. This is mostly for those who seek risk in the market and do not want to be limited to any one area.
        Sector / sector funds         These funds mainly invest in equity shares of a specific business sector or industry in companies. These funds, while offering higher returns, are more risky than diversified funds. Investors should keep an eye on the performance of these sectors / industries and get out of it at the right time.
       Index funds        These funds invest in the same pattern as popular stock market indices like the CNX Nifty index and the S&P BSE SENSEX. The value of an index fund varies / varies in proportion to the benchmark. The NAV fluctuations of such schemes are in accordance with the index fluctuations. This will change in comparison to the causal benchmark of an element such as 'tracking error'.
      ELSS (Equity Linked Savings Scheme)       Equity linked savings scheme is an open-ended equity development scheme offered by mutual funds along with the current ELSS guidelines. Thus the investments granted under the scheme have a lock-in period of 3 years and as per the Finance Act 2005 the benefit of deduction of income up to `1,00,000 / - is allowed. ELSS provides tax savings and capital gains. You can now invest the full amount of `1,00,000 / - under Section 80C in ELSS.
     Benefits of ELSS
     Invest: in equity and equity related security.      Section 80C: Tax Profit on Investments up to `1.00.000 / -      Lock-in period: 3 years (minimum of all salvaged instruments)      Return: High potential      dividend: Tax-free      tax liability: Since redemption or redemption occurs after 3 years .      SIP: To invest in small amounts through SIP
Debt or income schemes invest such funds in interest-paying securities, mainly government securities and corporate bonds. The fund earns returns for its investors from interest income on its investments and gains on business securities. As far as risk is concerned, the risk in such funds is low.
Money Market Schemes These schemes invest in short-term debt instruments issued by the government, corporate or banks. These are particularly investments in short-term papers such as CP and CD.
Hybrid schemes
        Balanced Schemes         Balanced plans are a mixed investment of equity and debt. Debt investment ensures basic interest income, which the fund manager wants to relate to the capital gains derived from investments in equity. Although the loss can be compensated in basic interest income and capital.
       Monthly Income Plan        MIP is suitable for traditional investors who do not have low risk of equity flow with debt risk. These funds invest a large portion of their portfolio in debt market instruments and a small portion for equity to provide consistency in returns. Thus MIP is suitable for traditional investors who monitor capital overvaluation as well as capital security as MIPs have a risk in equity. However, monthly income is not guaranteed.
Systematic planning
        Planned Investment Plan (SIP)         SIP is a convenient way to deposit money in a disciplined manner for a long term. It helps to invest a fixed amount regularly in less installments and thus to build more money over a longer time period.
        Planned Withdrawal Scheme (SWP) In         this scheme, the investor withdraws regular funds over a period of time. SWP is a mirror reflection of SIP. Just as investors do not want to buy all their units when the market is at its peak, they also do not want to redeem their units at the time of market trough. That is why investors can opt for a safe route to repurchase at the time of stability of the market price of the units.
        Planned Transfer Scheme (STP)         It is a combination of SWP and SIP. This is SWP from the current scheme of the same mutual fund and SIP (sweep in) in another scheme.
Benefit from SIP
       Benefits from SIP        SIP helps in investing itself at an early age to meet or fulfill the maximum expenditure of its life. By saving small amount regularly, the best power of money cycle validity has more effect on wealth accumulation.
       Rupee cost averaging        reduces the impact of investment in a SIP volatile market. This helps you earn better returns in the long run at your average cost. Since, when the NAV falls, more and less units are received, it averages the cost over time. Thus, the average cost of your investment decreases.
       Convenience and regularity        SIP allows you to pay through Syndicate Bank's electronic clearance service or auto debit or standing order. You can choose Yakam and Mutual Fund Scheme. A certain amount will be automatically debited from your account on the date you specify
        Disciplined approach          to investment Since you invest regularly, you become disciplined in terms of your savings. Disciplined investing is critical to earning good returns over a long timeframe.
Mutual fund terminology
Asset Management Company (AMC) means a mutual fund company.
Authorized Registrar - Any registrar or share transfer agent with whom AMC is proposed to be arranged for execution / confirmation of transaction orders placed through the branch network.
Proposal Documents / Scheme Information Documents - Documents issued by AMC, as amended from time to time (including addendum or otherwise), additional information of hypothetical and returns submitted to the units of the respective schemes / schemes for membership, which shall Available on the website and includes AMC.
Key Information Memorandum or Kim: Brief revision of the plan information document of the schemes of the fund, including the application form and key information of the plan (s).
NAV - The relevant plans per unit of gross asset radish and the plans and options contained therein or proposal or proposal document / plan information document as published and calculated, or as determined by regulation from time to time.
Purchased: Customers can subscribe for units of any scheme of the fund through distributor.
Redemption / redeemable - Redemption of any scheme of the fund unit by the customer.
Switch - The customer is given the facility to switch from AMC of a currently invested scheme to another ie the mutual fund (including the scheme / option contained therein) of the mutual fund of a scheme's unit (the scheme / scheme contained therein) Option also includes) Redemption from sale of unit of any other scheme, subject to period of restriction, if any.
Unit - The proof of unit certificate / account statement by the investor is the representation per unit vested in a scheme in an interest in an undivided share in the assets of that scheme.
Dividend Options - The options available to the customer will be to choose from the dividend payment or dividend reinvestment facility available in the AMC plans, as defined in their respective offer documents, from the offer document / plan information document and addendum.
Dividend Payment - The option selected by the customer for dividend, payment subject to deduction at source, if any, to be made according to the respective proposal document / plan information document and Addendum.
Dividend Reinvestment - The option selected by the customer to reinvest the dividend, subject to deduction at source, if any, to be made in the respective proposal document / plan information document and Addendum.
Record the date - the date on which beneficial ownership of the unit holders in the fund is recorded by the AMC in the register of NIT holders.
Disclaimer
Mutual fund investment is subject to market risk. Please read the proposal document / plan information document carefully before forcing.
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Mutual Fund Calculator- A Tool to Calculate Your Return
Investments are done by people who have different purposes like some want to save for their retirement, some for their child’s education and some want to keep their future financially secure. With the common motive of earning good returns, people invest in mutual funds or any other investment tool. The tool used to calculate the monthly return or tax saving or lump sum return or return calculator is called the mutual fund calculator.
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There are also mutual fund calculators depending on the funds you have invested in. For instance, there is a mutual fund calculator HDFC, a mutual fund calculator SBI, and ICICI mutual fund calculator, Axis mutual fund calculator, etc.
Here we bring to you the functioning of each type of calculator that are majorly used like the SIP return calculator or a tax saving calculator or lump sum return calculator. With the help of these calculators you can check the performance of your fund on the monthly basis and also the overall profit you can get at the time of maturity. There is also a tax saving calculator which helps you know where you can save on taxation. So, have a look at the details below:
Mutual Fund SIP Calculator
SIP is a method of investing a fixed amount, continually, in a mutual fund scheme. SIP permits an investor to buy the units on a prescribed date every month so that one can estimate their saving plan for themselves. An investor doesn't need to time the market. By taking the help of SIP Calculator, one can even get to know that how small investments made at regular time intervals can garner better returns over a long time period.
By using Mutual Fund SIP Return Calculator, an investor can examine the returns accrued on their SIP investments in a specified fund till date. All you need to go through the steps by using the Mutual Fund SIP Return Calculator:
1. Choose the name of AMC you would like to invest.
2. Choose the scheme name of that particular AMC you would like to invest.
3. Enter your amount of investment in INR.
4. Enter your SIP frequency-Monthly or Quarterly.
5. Enter your SIP date from the beginning date of your investment till its maturity.
Mutual Fund Lump Sum Return Calculator
Lump Sum Calculator is useful in instances where your lump-sum investment which you have made today help you to fetch the returns over a particular period of time at a specified rate of return. Enter the amount in the lump sum calculator with time and an expected rate of return. See how the power of compounding works effectively for you. For example, an investment of ₹20 lakhs is to be made by an investor at expected returns 15% p.a. for the period of 20 years. After calculating the maturity value through the calculator, the result comes out to be ₹3,27,33,074.79.
Tax Savings Calculator
Now you can save tax by investing in ELSS, NPS, and other 80C instruments.  By using Tax Savings calculator, you can evaluate how much tax you can save on these instruments. Just go through the steps given below:
1. Enter the Total Amount for the year.
2. Enter the amount calculated(after adding both employer and employee contribution) in your Employee Provident Fund(EPF) account.
3. Enter the amount invested in your Public Provident Fund(PPF) account.
4. Enter the premium amount of your Life Insurance
5. Enter the returns fetched by your 5-Year Bank Fixed Deposit
6. Enter the repayment amount for your house loan (principal portion)
7. Enter the Tuition Fees which goes towards your child's education
8. Enter the amount for 'Any other Kind of Investment' being made(the sum total amount)
The moment you submit all the above details, the calculator will show you the results about the total deductions made under Section-80C of the Income Tax Act, 1961 & your total income after deductions. The final result will also highlight the amount of savings which you can further invest in other financial instruments.
Disclaimer - Mutual Funds are subject to market risks. Please read the scheme related documents carefully before investing.
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