HDFC ISA - How to stop SIPs

#11
Rishi,
See my comments below.

(1) As suggested by you, to change within the same fund company, I will do a STP. Wanted to know whether the STP will automatically stop (or cancel) the SIP first and then trigger the STP - or I will have to first Stop the SIP and then initiate STP?

Raj : STP and SIP are different, both will run in parallel. You can stop SIP and then start STP. (If both are present, both will be running, one will invest and other will transfer : there is no point in doing this)


(2) Although you have tried to asnwer, but I am still not clear about this one Rajendra Ji. Let's say I have a SIP in Fund-1 where I have invested a total of 1 lakh in past 3 years (through monthly SIP). Now I am changing to Fund-2 (with a different company). I will start a new SIP in Fund-2 going forward as you suggested and stop the SIP in Fund-1. BUT how will I make sure that the 1 lakh coming out of Fund-1 also gets invested into Fund-2.

Raj : Fund-1 amount will not come automatically. You have to either redeem whole units/amount or do a systematic withdrawl.

If that does not get invested, then the pupose of long term investment will be lost.
Raj : Yes. Or else you can slowly move into some debt fund from same fund house.

Do you suggest that I should purchase one-time funds worth 1 lakhs in fund-2 and keep it with me till the time the new SIP continues? or I should pour this 1 lakhs into Fund-2 slowly through a parallel SIP of 5-6 installments? Kindly explain this to me.

Raj : Always go thru SIP or STP only. Go systematic way either in investing or withdraw or transfer.



(3) Last one - what is the difference between a "Switch" and "STP" in HDFC ISA?

Raj : Switch is done one time with in same fund house - either sell by units or amount
STP is like done over a period of time like SIP.


Thanks
Raj
 
#12
Thanks a bunch Raj for all your help and patience on my queries. I conclude that HDFC ISA is not that bad as I was thinking before, because of the following 2 reasons -

(1) They are not charging me any money, so far in the past 11 months. This may be because of the fact that I hold a corporate salary account with them from more than 10 years.
(2) Facility of Switch, Stop, STP, SWP, SIP are there WITHIN THE FUND. And I am sure no other agency will provide facility to swtich outside of the fund howuse directly

The only problem that seems to be remaining for me is - I cannot extend the duration of my already running SIPs. I need to find out how to do that.

Thanks again Raj :thumb:!
 
#13
Only way to do so is, You should keep observing when the SIP ends and then place a new request.:)
It would have been better if you get an email notification at the end of SIP.
 
#15
Thanks a bunch Raj for all your help and patience on my queries. I conclude that HDFC ISA is not that bad as I was thinking before, because of the following 2 reasons -

(1) They are not charging me any money, so far in the past 11 months. This may be because of the fact that I hold a corporate salary account with them from more than 10 years.
(2) Facility of Switch, Stop, STP, SWP, SIP are there WITHIN THE FUND. And I am sure no other agency will provide facility to swtich outside of the fund howuse directly

The only problem that seems to be remaining for me is - I cannot extend the duration of my already running SIPs. I need to find out how to do that.

Thanks again Raj :thumb:!
I am a late comer to this thread. You are right about HDFC, they are not that bad after all. In fact, it is a clean platform without any bells and whistles and it is integrated with netbanking.

With regards to service charges, it is free for a year. Then it is 100 rupees a quarter + service tax. If you manage to get that waived off, let me know. This is one charge they are not ready to compromise on, considering the load structure is no longer in their favor.
 

magnet

Active Member
#16
There are many platform like fundsindia who survive on trail fees and are much better integrated than hdfc.

I have no idea about moneysights but one can have a look over it too.
 

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