Investing in mutual funds through SIP without any upper limit just got simpler and faster. BSE StAR MF has launched paperless SIP service called ISIP through which IFAs can initiate SIPs on behalf of their clients without submitting any form and NACH mandate.
This new facility can be activated through a net banking platform or mobile application. Distributors will have to generate Unique Registration Number (URN) from the platform for their investors. Investors will then be required to key in this number in the add biller option on their net banking or mobile application. This facility is available in most of the large banks. Typically, banks take three days to activate this facility. Currently, registering a SIP through NACH mandate takes up to 10 days.
Also, distributors can register multiple SIPs through one mandate. This is a cost effective and paperless way to initiate SIP.
To start with, BSE has enabled this facility for four fund houses Mirae, ICICI Prudential, Tata and Quantum. The platform will extend this service to other fund houses soon.
Further, BSE has said that they are ready with the infrastructure of accepting payments through e-wallets like Paytm, FreeCharge and Mobikwik. This service would be operational once it gets a nod from SEBI.
