Bajaj Finserv MF innovation: Pay for regular shopping with Pay with Mutual Funds
Could you ever possibly dream of this - make your sundry payments with your mutual fund balance? If that sounds incredible, think again for Bajaj Finserv AMC has turned it into a reality. Read on for the details.
Kolkata: Even in the every evolving world of mutual funds, this is sure to spring a surprise. Bajaj Finserv AMC has launched a service titled 'Pay with Mutual Funds' which will enable an investor -- hold your breath -- to pay for groceries and sundry everyday shopping with his/her mutual fund balance. The real point is, one can pay instantly.
'Pay with Mutual Funds' is a unique feature that will seamlessly integrate one's investments with one's everyday digital payments. If that sounds close to your regular UPI experience, it has indeed incorporated UPI into the innovation.
Features of 'Pay with Mutual Funds'
'Payment from Mutual Funds' is a facility that could allow investors to have the best of both worlds -- enjoy relatively returns of mutual funds and make payments for everyday expenses, which makes it a highly liquid feature. The redemption limit is in line with the Insta Redemption feature and will entitle an investor to redeem up to Rs 50,000 or 90% of their investment, whichever is lower. Thus the amount at one's disposal from the mutual fund investment is not significant at all. It puts in his/her pocket Rs 50,000 or 90% of his/her investment for sundry expenses.
Collaboration with Curie Money
Bajaj Finserv AMC has tied up with a leading fintech platform Curie Money to offer this innovation. It will enable the seamless payment directly from an individual's mutual fund account to their UPI account. The redemption request will be seamlessly and automatically triggered when one scans a QR code to make the payment. Thus it will mean that UPI can continue to be the payment medium while the MF balance will be linked to the savings account from which the UPI payment will be debited.
Bajaj Finserv launched its first MF scheme in June 2023 and since then has expanded in leaps and bounds with its AUM (assets under management) reaching Rs 28,814.16 crore on September 30. The mutual fund house currently offers 17 active schemes, of which eight are equity, five debt and four hybrid. There are five passive schemes as well.
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