Cash & Demonetization: Payday kicks in, 6 ways to avoid banks crowds

Cash & Demonetization: Payday kicks in, 6 ways to avoid banks crowds

For most Indians, the salary day this month is going to be unlike any other. The reason being the unabated cash crunch due to the demonetization of ₹500 and ₹1,000 notes announced on 8 November. After the demonetization, which ceased the legal tender status of the notes and also introduced new ₹2,000 and ₹500 notes, there has been severe shortage of smaller denomination notes that has resulted in long queues at banks and ATMs. Banks and the RBI have also rationed the cash supply in order to meet the demand….

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Why Indigenous Chit Funds are crying foul over Demonetization?

Why Indigenous Chit Funds are crying foul over Demonetization?

When we talk about the informal economy, we are not just talking about the unorganized wage and labour set-up, but another purely cash-driven business model – the Chit Funds business. Come to think of Demonetization of the ₹500 and ₹1000 currency notes, which is a super – duper move to discipline parallel and black economies; this is one sector that has taken a bleeding blow. The Chit fund business is part of both the organized and unorganized sector. It falls under the so called grey area of the financial system. While…

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RBI has delivered on rate cut: How you can make money in stocks now

RBI has delivered on rate cut: How you can make money in stocks now

Earning in stocks of certain sectors is set to increase with the new RBI rate cut. The domestic stock market might like the new avatar of Urjit Patel as dovish RBI Governor. The jittery market and stocks breathed a sigh of relief after the Reserve Bank of India (RBI) slashed policy rates by 25 bps to 6.25 per cent and indicated that inflation will cool off in the subsequent quarters. Further cooling off in inflation will provide room to the central bank to cut rates further, which would be important…

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Life Insurance Premium – Where does it exactly go?

Life Insurance Premium – Where does it exactly go?

Life Insurance agents get hefty commissions and hence aggressively pursue people to sign up for new policies. Have you wondered why your neighborhood financial advisor, call him the insurance agent, always wants to sell you life insurance policies? Hefty commissions are the prime reason. Commissions paid to agents by life insurance companies touched a whopping Rs 44,585.33 crore in 2015-16, a growth of 4.3% over the previous year, according to Life Insurance Council, an apex industry body of life insurance companies. In a year when mutual funds paid 497 large…

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Savings – Three golden steps that will make you financially independent at the earliest

Savings – Three golden steps that will make you financially independent at the earliest

It all begins with savings. When you are earning, it is tempting to spend it all. All of us would like to attain financially freedom. How do we get there? The mantra is simple: savings, investing, and get your money to grow. You will become financially independent. How does one work to ensure that this mantra is fulfilled? Read on to know!   Step 1: Save! It all begins with savings. When you are earning, it is tempting to spend it all. Refrain from the temptation! Save as much as…

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Investing in real estate? Points you should to know

Investing in real estate? Points you should to know

Real Estate can be divided into a few categories, such as residential or commercial properties, agricultural or industrial land; still we tend to equate it with residential property alone. Indians, conventionally, think that real estate and residential properties are synonyms. Not much thought is given to any other real estate such as commercial properties, agricultural land, and industrial land. Buying a property or multiple properties is one of the usual real estate investments which every Indian makes. Owning a home is considered more as a matter of honor than as an…

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Dividend or Growth: Which MF option is better for you?

Dividend or Growth: Which MF option is better for you?

While dividend option on debt fund works for those looking for regular income, all other investors should invest in growth option When Shweta first met her financial advisor, the idea of a mutual fund really appealed to her. She was really delighted that she could create wealth through equities and also get the benefit of diversifying her risk. But she was really spoilt for choice. There were over 35 fund houses and over 1000 schemes on offer. Further each scheme had a direct plan and a broker plan. Then you…

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Gold ETFs AUM stagnant despite price rise

Gold ETFs AUM stagnant despite price rise

According to industry watchers, interest in Gold ETFs is waning with the launch of new gold schemes Despite gold seeing significant price gain since the start of the year, assets managed by Indian gold exchange-traded funds (Gold ETFs) have been stagnant at Rs 6,500 crore levels for the past many months. All these months, the funds have witnessed net outflows. The cumulative assets under management (AUM) of gold ETFs stood at Rs 6,349 crore in August. In the same month last year, the AUM was Rs 6,323 crore, and in…

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Contingency Fund is critical for Every Salaried Individual

Contingency Fund is critical for Every Salaried Individual

Losing job is a reality, have a Contingency fund to keep you afloat Nishant Mongia, a 40-year-old software professional, woke up to a call on a Monday morning from his office telling him he was out of a job. Mongia, the only bread earner in his family, had no clue what to do as he had not made provision for a contingency fund.   With permanent jobs becoming a myth, this is a situation many people fear. Most experts say keeping an ‘Emergency Fund’ or a ‘Contingency Fund’ is the…

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Income Tax Exemptions – The layman’s look up

Income Tax Exemptions – The layman’s look up

Talking about Tax Exemptions, the Salaried individual would have heard lot of jargon from the HR or finance personnel in the company regarding elements in the pay structure which are exempt from tax. Well, if you really want to know what these exemptions are all about, and the effect it has on your taxable salary read on….   What are Tax exemptions really? Tax exemptions are monetary exemptions. It reduces the total taxable salary. An item from the income that is exempt from tax or not taxable has a tax…

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