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Tax Savings

Why You Should Opt For Mutual Fund To Save Tax

As a responsible member of society, you must pay your income tax on time. But this does not mean you should not save money on your taxes. Several tax-saving schemes under the IT Act allow you to invest your money. It allows you to save on your income tax and create a corpus for future needs. One of the most popular tax-saving investments is ELSS mutual funds. Equity Linked Savings Scheme (ELSS) is a tax-saving mutual fund scheme that is very popular. Many people invest in ELSS to save on taxes and grow their money with equity exposure. Read on to learn why you should opt for tax-saving mutual funds. [B-01] Tax-saving mutual funds ELSS is one of the popular tax-saving schemes that involve investing your money in mutual funds, helping you save income tax. ELSS funds mostly put their money into stocks or other securities that are linked to stocks, like listed shares. Some of the key aspects of ELSS funds are as follows: Lock-in Period: ELSS funds come with a lock-in period of 3 years. During this time, you will not be able to withdraw your money. After 3 years, you can either choose to keep the money or reinvest it in ELSS. There is no limit on how long you can keep the money in ELSS. Equity Link: ELSS funds must invest 80% of the money in equity or similar assets, like shares. The other 20% of the money can go into hybrid or debt funds to reduce the risk posed by equity. Options: You can invest your money in ELSS funds in two ways: as a lump sum or as an SIP. Under SIP, you can put the money in ELSS at regular intervals. Most people opt for a monthly SIP, while some opt for alternatives. In the case of a lump sum, you can invest the money as and when you want during a financial year. Management: Fund managers, experts in the field, usually manage ELSS funds like other mutual funds. They do not make decisions based on market speculation but rather on research and studies. Tax Savings: ELSS is one of the most popular tax-saving investments. You can claim a tax rebate of up to Rs. 1.50 lakhs under Sec. 80C of the IT Act for the money you put in ELSS funds in a financial year. This money will be locked in for three years. Why Choose Mutual Funds as Tax-saving Investments? You might be unsure if you should choose ELSS mutual funds to invest and save on taxes. ELSS funds have emerged as one of the most popular tax-saving schemes for investors. Here are some of the reasons you should prefer ELSS to invest your money: Short Lock-in Period: There are many ways to save taxes, but most schemes have long lock-in periods. It means you will not be able to access your money for that period. This is where ELSS comes up as a great choice for tax saving. The lock-in period here is only 3 years, which is quite less compared to other options. After that, it is up to you whether you want to keep the ELSS going or withdraw the funds. Multiple Options: You can invest your money in ELSS in two ways. One option is as a lump sum where you put your money in one go at any time of the year and as per your choice. The other option is SIP, where you put a fixed amount down monthly or at a predetermined time gap. This way, you can spread out the money you need to invest. Flexible Tenure: With ELSS, there is a lock-in period but no maximum period for which you can keep your money. Most other tax-saving investments have a limit of 7 to 20 years maximum. But this is not the case with ELSS, as you can keep your money for as long as you want. This ensures that you can earn a high profit on your money due to compounding. Professional Advice: Experts in finance handle ELSS funds for different schemes. They base their decision on in-depth research and take all steps possible to reduce the risks of equity markets. It ensures that your money is in safe hands. Since ELSS schemes come under the purview of SEBI, mutual fund companies cannot hide any information from you. Higher Returns: When compared with other tax-saving schemes, ELSS offers high returns on the money you invest. This is because 80% of the money goes towards equity, and over a period, you can earn good returns from ELSS since there is no cap on the profits. In the case of other options like PPF, the government credits the interest rate every year, thereby limiting your profits. [B-02] Final Takeaway ELSS funds are very popular with people who can take a little risk to make more profits and save on taxes. You must opt for an ELSS fund based on in-depth research. If you are unsure about tax-saving investments, visit the Piramal Finance website. They have many articles that will help you decide whether to invest in mutual funds or other tax-saving schemes.
08-11-2023
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Health Insurance

Benefits of Health Insurance

In recent years, health concerns have gained popularity. Modern lifestyles have increased health dangers in various ways. Everyone will eventually pay for a major medical procedure. Health insurance is the key to long-term financial planning. Many Indians are hesitant to purchase health insurance because of the high cost and amount of premiums to be paid. Health insurance can help you avoid bankruptcy if, god forbid, you have large medical expenses. These are happening more often as medical costs rise. If you and your family are still on the fence about whether or not you require health insurance, this article should help you understand the benefits of buying health insurance. [B-01] Protection against rising healthcare costs Many people are worried about the cost of health care. It has been found that paying for health care out of pocket is a major cause of financial trouble. In light of the current healthcare crisis, it is more vital than ever to have health insurance. A budget that includes health insurance can save a lot of stress in the long run. One of the best things about health insurance is that it gives you peace of mind when healthcare costs keep increasing. Premiums that are within reach for the young and healthy It’s a myth that healthy people don’t need health insurance. If you are prepared, health insurance might be really helpful. You can lessen the impact on your finances by spreading the premium payment out over a longer period. Health problems are more common as people age. The money you have saved could be wasted if you don’t have a plan. For this reason, you shouldn’t put off buying health insurance until you have a serious health problem. It’s possible that you won’t make optimal use of your health insurance and that the premiums will be higher than they need to be as a result. Healthcare insurance protection in case of an emergency Health insurance is useful. It helps to cut the costs of visiting many hospitals and clinics. It may involve everything from routine checkups to operations. The specifics of the health insurance are spelled out in the policy’s terms. They are available before purchase. Medical insurance’s cashless care option is a major perk for many people. You might not be able to pay for a hospital stay if you need one. Having health insurance means you can relax while getting the care you need. This is because the hospital will deal directly with your insurance company to cover the costs. Extra insurance on top of employee health plans Many companies offer health insurance to their staff members. Even though these things can help, you shouldn’t depend on them in an emergency. A company’s health insurance plan is part of a master policy. It has limits on how it covers individuals. When you buy a plan, you can get the benefits of health insurance that are more tailored to your needs. You should not put yourself in a situation where your employer’s health insurance won’t cover you if you get sick. Ability to upgrade and purchase extras Also, adding riders and other extras to your policy can help you save a lot of money. Most of the time, this option is available when buying or renewing a plan. It can be tailored to the needs of each person while still covering all bases. Here, it’s important to remember that basic plans usually include basic coverage for medical expenses, daycare costs, etc. The riders or add-ons give access to other special or extra features and services, like critical illness cover, daily hospital cash, a health coach, etc., but at an extra cost. Cashless claim facility One of the best things about health insurance is that you can make claims without having to pay anything out of pocket. For those who don’t know, a cashless claim facility means that your health insurance company will pay your hospital directly for services you get at a network facility. You don’t have to pay anything out of your pocket. Covers services for ambulatory patients In many cases, people may say that you need to go to the hospital to treat your symptoms when you don’t. But medical care isn’t free. Also, all outpatient services are not cheap. Medical care can quickly add up to a big bill. Tests, surgeries, and medicines can cost thousands of dollars. Costs like these can hurt a person’s finances. Many health plans cover the cost of outpatient care and, in some cases, even medicines. It is a good thing. Grants for dental care When you need a lot of dental work done, you can expect to pay a lot. The cost of this kind of therapy is high. It includes the actual treatment as well as the diagnostic tests and medications that must be taken along with it. But if you have the right kind of health insurance, you will have the money you need to get good dental care. But it’s important to remember that many plans only cover dental care that happens in the hospital. The no-claim bonus makes the protection stronger Health insurance discounts for not making a claim are one of the best perks you can get. As a reward for not claiming during a given policy year, your insurance company may raise the amount you are covered for at no extra cost. It is possible to save 10% to 20% of the annual premium. So, having a history of making payments on time and renewing your policy often can greatly increase the value of your coverage, giving you a lot of money in case something bad happens. [B-02] Conclusion In a short amount of time, health insurance has become more important than ever. There has been a rise in the occurrence of illnesses that can be attributed to poor lifestyle choices. Even though it’s important to focus on other aspects of wellness as well, financial security should be a top priority. We hope this article has helped you see why health insurance is so crucial. For more such articles, visit Piramal Finance.
08-11-2023
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Education

Best Fertilizers Stocks to Invest in India

Investing in capital markets is one way to grow your money. The returns on stocks can be much higher than returns on other types of assets; however, this depends on the stock. A good place to start investing is in fertilizer stocks. There are many fertilizer stocks on the Indian stock exchange. This article will help you determine which companies are the leaders in the sector. You will also learn more about possible growth opportunities in the future. [B-01] How does the fertilizer industry stand in India? The Indian fertilizer industry is one of the largest in the world. About 10% of India’s GDP comes from this sector, and about 100 million people are employed in the industry. In India, the number of people has grown exponentially in the last 25 years. India’s fertilizer companies have grown at a similar rate as agriculture has also grown. Keeping this in mind, here are the top five fertilizer stocks in India. Be advised that we do not recommend purchasing them. This information just provides our opinion, and you should do your research. 1. Tata Chemicals Limited The Tata Group is a well-known conglomerate in India. Tata Chemicals Limited makes and sells speciality chemicals for the agriculture industry. With more than 285,000 workers, Tata chemicals Limited is also the biggest employer in the Satna District of MP. The Tata Chemicals stock is great if you want a long-term investment. Tata Chemicals has been in business for more than 80 years. It has grown through targeted acquisitions and the development of new products and services. During the fiscal year 2021-22, the company made $1.7 billion in sales and $170 million in net income. The fertilizer stocks of the company have grown the most in the industry as a whole. 2. Chambal Fertilizers and Chemicals Ltd Chambal Fertilizers and Chemicals Ltd has the largest portfolio of fertilizers and related products of any other company in India. The company produces 15% of the total urea produced in India annually, making it one of the largest fertilizer producers in the country. Chambal’s manufacturing plants can handle 1.5 million tonnes of material per year. Chambal is one of the most interesting fertilizer stocks to invest in. In recent times, the company’s stock has grown steadily, with some downturns reported recently. 3. Gujarat Narmada Valley Fertilizers & Chemicals Ltd In Gujarat, India, GNFC is one of the biggest companies with a diverse portfolio of fertilizers and other products. The company is led by Managing Director and CEO A.K. Muralidbudh. The business was launched in 1976. The Gujarat state government and the Fertilizer Development Corporation oversee the company. GNFC has grown over the years to become one of the biggest fertilizer companies in the world. Since a few years ago, GNFC stock has been one of the most wanted fertilizer stocks on the Indian market. The GNFC share price is around Rs 600 as of 28 November 2022. GNFC has a good record on the stock market. In India, the products are used in many industries, including agriculture and chemical manufacturing. 4. Rashtriya Chemicals and Fertilizer Rashtriya Chemicals and Fertilizer is the country’s fourth-largest government-owned company that makes fertilizer. The company is also becoming a leader in the market for renewable energy. Rashtriya Chemicals and Fertilizer have been manufacturing products in India since 1974. It is now the second-largest fertilizer company owned by the government. During the fiscal year 2022, it made $2 billion in sales and $98 million in net income. The RCF share price is around Rs 120 as of 28 November 2022. 5. Coromandel International Ltd. Coromandel International Ltd. is a part of the Murugappa Group, which is based in Hyderabad. About 60% of the company is owned by East India Distilleries Parry, based in Chennai. The company has grown in the market and its physical infrastructure in the past few decades. At least 16 new units have been set up in different parts of the country. Coromandel International has manufacturing units in Uttar Prades, Gujarat, Assam, Jharkhand, Chhattisgarh, Rajasthan, Punjab, and Himachal. In 2020, Coromandel International had a total of $540 million in equity. In 2022, it made $1.7 billion in sales and $170 million in net income. These are the five most popular fertilizer stocks in India at the moment. It is without a doubt that investing in the share market has risks. Before you invest in capital markets, conduct thorough research on all aspects of the stock. This article provides basic information on the five top-performing fertilizer stocks. It is recommended to do more research before you invest. [B-02] Conclusions Fertilizer stocks come with their own risk. Given that India is likely to be the most populous country by the end of the current decade, the requirement for food will continue to grow in India. Therefore, there will be a greater need for fertilizers to improve the growth of crops in the fields. For this reason, many people are considering investing in fertilizers stocks in India. However, there are many stocks to choose from. Buying stocks can be a useful way to make money over a long period. Most people do not invest because they are unsure or do not have the necessary information. It is best to consult an expert in such cases. If you are ready to take the next step, read more articles on capital markets, investment and finance on Piramal Finance. You can also consult the experts at Piramal Finance to learn more about loan products.
08-11-2023
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Business Loan

Calculate Your EMI Using Working Capital Loan EMI Calculator

If starting a new business venture is hard, it is even harder to keep it going. You must take care of many key aspects, make crucial decisions, and arrange for the money. In most cases, you will have to sell goods on credit but might need to buy the material in cash. It is tough for even old enterprises to maintain this cycle with their cash. This can lead to issues with paying for day-to-day expenses as well. If you also face a similar issue, you can opt for working capital finance from a bank or NBFC. With a working capital loan, you can pay your daily expenses until you get the money from your creditors. This loan is ideal for taking care of the urgent needs of your business. Before taking on this loan, using a working capital loan EMI calculator is ideal. This will assist you in planning your finances and knowing if you can pay the EMIs on time. Read on to learn more about the key aspects of a working capital loan. [B-01] Key Aspects of a Working Capital Loan A working capital loan can be very useful for you and your venture. It allows you to take care of the daily expenses of your business, such as salaries, utility bills, freight, repairs, and other costs. Before you apply for working capital finance, you must know about some key aspects of this loan. Type: It is a business loan, i.e., you can use the money for business-related costs only. If you use this loan for any private needs, the lender may cancel the loan. Security: You may or may not need to offer security for this loan. It will depend on the lender and the amount you need. Usually, for loans up to Rs 10 lakh, no security is asked for. If you want more money, you must offer security, like a fixed asset or bank deposit. Amount: There is no upper limit for this loan. The maximum amount you can get will depend on how well you can meet the lender’s rules. After a certain limit, you will need to offer security as asked by the lender. Lender: You can get working capital finance from a bank or an NBFC of your choice. The process will be easier if you have an existing account with the lender. Tenure: The loan tenure can vary per the lender’s rules. Most banks or NBFCs offer tenure of three to five years based on your business profile. Application: You can apply for a working capital loan online. But you must complete the paperwork as per the rules of the lender. You may send the papers by email or give printouts per your preferences. Process: A business loan can take two to three days after applying online. This period can also be reduced if you have an old account with the lender. Eligibility for a Working Capital Loan To get working capital finance, you must meet the lenders’ rules. Here are some key aspects of the eligibility criteria that you have to fulfil: Age: You must be more than 24 years old but less than 72 years old. Work: You must be a self-employed person with your venture. It can be a factory or shop. Credit Score: Your CIBIL must be 700+ for a working capital loan. Some lenders may ask for a lower score based on your profile. Nationality: You must be an Indian national with valid papers. Work-ex: Your venture must be at least three years old and should be making a profit. Docs: You will need to give some documents like IT returns for 2 years Bank statements for 12 months. Ownership Proof Business Registration Personal documents of all applicants Using a working capital loan EMI calculator Before you plan for working capital finance, you must know the EMIs you will have to pay. This will help you plan your finances in a better way. There is no need to do it manually, as you can use a working capital loan EMI calculator. It is a free online tool that will do the entire loan math for you in a few seconds. There are no chances of errors with a working capital loan EMI calculator. You need to enter some basic details, and the tool will take care of the rest. Here are the steps to using a working capital loan EMI calculator: Search for the term ‘working capital loan EMI calculator’ on Google and click on the link for your preferred lender. You may also download a free app from any lender on your phone for this process. Click on the link for business loans. Here, you will need to opt for working capital loans. On the next page, you will find the working capital loan EMI calculator link. Click on it. Now, on the next screen, you will need to enter details like loan amount, tenure, and interest rate. There is no need to enter any personal information. Once you click the “calculate” option, you will see the EMI amount on the screen. There will also be details like the total interest, principal, and amount to be paid. Some tools also allow you to download the repayment schedule for even more clarity. [B-02] Most business ventures need to opt for a loan at some point. It is not bad until you keep the loan amount within a limit and can pay the EMIs on time. If you need a working capital loan with the best features, then get in touch with Piramal Finance. They offer a vast range of business loan solutions that can take your venture to the next level. Get in touch with their experts for more details.
08-11-2023
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Home Loan

Benefits of taking a joint home loan

India is a well-known traditional country for its joint family living culture. People have a strong belief in joint family living culture. But it requires big homes for all members. Buying a big house requires a good amount of money. Well, taking a loan is a great option, but what’s better? A joint home loan is a way better option as it brings attractive benefits. A joint home loan helps you buy your dream home for your whole family. The benefits of a joint home loan include divided responsibility, repayment options, and much more. Let’s read the article to learn more about joint home loan benefits. [B-01] What is a joint home loan? Two individuals take a joint home loan as applicant and co-applicant. Buying a big home requires a large amount of money, which means a high financial burden on one individual. A joint home loan divides the financial pressure into two people with easy repayment options. This way the burden turns into responsibility and is easy to pay back. However, a joint home loan has a few terms to follow. Look at the important terms and benefits of a joint home loan. Who can be the co-applicant? If you want to apply for a joint home loan, check who can be your co-applicant. Close relatives (they) in your family are eligible to be a co-applicant in a joint home loan. The relative is not necessarily to be a co-owner of the property. The Co-owner (they) is eligible as a co-applicant for a home loan, not necessarily to be a close relative. Non-resident Indians (NRI) can also become co-applicants in a joint housing loan. Key benefits of joint home loan Sharing the loan amount with a co-applicant helps in applying for and repaying the home loan. Check out the key benefits of the joint home loan- Higher loan amount eligibility The number one benefit of a joint home loan is higher loan amount eligibility. The combined income of two individuals brings more trust to the lender. More amounts can bring you the bigger house of your dreams. You can choose any house in any locality with a higher loan amount. Buying a house is a lifetime opportunity, so it does not compromise the budget. Because falling short on a budget is not a tension anymore. Tax benefits The joint home loan helps individuals save on tax expenses. If the Co-applicant is also a Co-owner of the property, you can ask for separate tax relaxation. Under section 80C of the Income tax act, an individual can claim compensation on principle and interest repayment. The compensation amount depends on the share of ownership of applicants. Multiple repayment options In a joint home loan, the loan repayment amount is divided between the applicant and the co-applicant. The amount is divided into EMIs depending on ownership share. The thought of sharing loan amounts makes the repayment easy for applicants. Either your spouse or close relative involved in sharing the burden makes you more responsible toward timely repayment. You may pay the loan earlier than decided and be set free from responsibility. Two incomes combined help pay small EMIs at a decided time. You can discuss and divide the EMIs to ease with the co-applicant. Instead of taking a home loan and paying in 25 years, pay your joint home loan in 20 years with peace of mind. Compensation in interest rate for women. In a joint home loan, women get relaxation in interest rates. Women need to be the sole owner of the property for maximum benefits. They can be applicants or co-applicant in the joint home loan application. Check the interest rates and compare for the best benefits. Documentation and Eligibility for Joint home loan You can check the eligibility for a joint home loan at your preferred bank. The relationship with the co-applicant must be close to avail easy sanctioning of a home loan. Prefer your spouse, sibling, or parents as co-applicant. After selecting a co-applicant, prepare the documents as per bank requirements. Check out the list of documents- Identity proof (Aadhar Card, Pan Card, Voter ID Card, passport, or driving license). Address proof (Electricity or utility bills, Aadhar Card, and passport). Income proof (Income statement or Income tax return slips). Property sale legal document and NOC statement. These are the most important documents for a joint home loan application. The borrower and co-applicant have to submit the documents separately. Keep the original copy of the document to attest to the authenticity while applying for a business loan. The credit score of the applicant and co-applicant must be good. A good score allows fast approval and sanctioning of the higher loan amount. Several banks allow individuals to check their credit scores and provide improvement tips. Check your credit score via CIBIL, Equifax, and CRIF Highmark. You can improve your credit score by following simple steps if your credit score is low. The most popular way is the CIBIL home loan score; it helps in knowing the perfect score for a home loan application. Check your home loan eligibility. You can easily check the eligibility for a home loan by using a special tool. The home loan eligibility calculator tells about loan limits according to income. It is free and easy to use for everyone. You need to fill in a few details, and there you know the funding amount. The details include the following: Interest on loan. Tenure of loan. Gross income. Liability, EMIs, and expenses. Open the home loan eligibility calculator and put in the details as asked. Press the check button and that’s how you can check the funding. Also, include your co-applicant details for a joint home loan and avail of the benefits. Women as co-applicant in the home loan bring benefits like tax relaxation and low-interest rates. Operate one loan at a time to keep the burden off your mind. [B-02] Conclusion If you’re compromising your dream home due to a lakh shortage, apply for a joint home loan. A joint home loan is easy to apply for and brings benefits like a higher loan amount, tax relaxation, and easy repayment. A joint home loan frees you from the burden, and repayment becomes easy for the applicant and co-applicant. From the above article, learn how to check eligibility, key benefits, and documents for a joint home loan. Visit Piramal Finance for similar blogs and take a look at the products and services they offer.
08-11-2023
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Crytocurrency

Worried About Cryptocurrencies? Here’s Everything You Need To Know

The buzz around cryptocurrencies has been around for some time now. You might know about the great returns that people have made through crypto. Such news might have gotten you excited as well. But before you decide to foray into this world and check out cryptocurrency prices, it is vital to learn more about this form of currency. [B-01] What is cryptocurrency? Cryptocurrency, or “crypto,” is a digital currency used for the online sale and purchase of goods. It is based on the now well-known blockchain technology, which is secure to use. This currency is not used as a physical coin or note but is held in a digital wallet by the owner. As crypto uses blockchain technology, it is very difficult to counterfeit. It is beyond the control of governments or central banks. Hence, only the users of a specific crypto can use and maintain it. No single entity can own or control cryptocurrencies due to their decentralised nature. The first crypto was launched in 2009 and is still the most famous. Do you know its name? Yes, it is the famous Bitcoin, and now there are over 21,000 cryptocurrencies available. How to create cryptocurrencies? One of the best-known ways to create cryptos is through the mining process. Many cryptos, including Bitcoin, use this process. The mining process required a lot of power for the system to solve complex puzzles. This process is vital to verifying the validity of network transactions. You will get a newly created cryptocurrency as a reward for using the computer. Other cryptos employ varied ways to create and distribute tokens that do not need so much power. They also have a lower effect on the environment. If you cannot complete the mining process, the best way to go ahead is to buy cryptos online or exchange them with any other user. How to use cryptocurrencies? The main reason that cryptos were created was to sell and buy goods and services online. But not many platforms accept it as a valid currency. As a result, there are only a few applications for cryptocurrencies. While rapid progress is being made, you are still very far from being able to enter a shop and use crypto to pay for groceries. Though cryptos have great potential for the future, many people use them as investments. This is much like investing in mutual funds and hoping for profits. Likewise, people are investing in cryptocurrencies to make their money grow in the future. Every crypto unit is known as a coin or token based on how it will be used. Apart from being used for the purchase and sale of goods, cryptos are now also used for some financial products or games. But cryptos are very volatile, and there is a lot of risk in investing if you do not know all the details about the market. So, you must first know all about crypto and only then start to invest; otherwise, there is a chance that you can lose the money. What determines cryptocurrency prices? Cryptos are not issued by any central bank and have no backing from the government. As a result, factors that affect currency prices will not affect cryptocurrency prices. Inflation, monetary policy, and the economy do not impact cryptos. As they are a store of value, cryptocurrency prices are affected by the following: Demand and supply in the market. Government regulations. Latest news reports. Production costs for mining. The number of competitors. Risks of investing in cryptocurrencies There are many risks in investing in cryptos as compared to other options. The reason behind this risk is that there are so many unknowns. As cryptocurrencies have no physical presence, their offline usage is still impossible. Some of the risks that you can face when you decide to invest in cryptos are: No history: Cryptos have only been around for the last few years. As such, there is no way for you to decide its value in the long term. The demand and supply cycles can vary in the long run, so cryptocurrency prices will remain volatile. Lose money: Cryptos are not yet managed by central banks. Therefore, there are a lot of risks involved in its trade. You can lose your money to the creators if they make false claims. There is no way to reclaim your money because the government does not regulate the transaction. Lack of information: When you decide to invest in cryptos, you have to rely on data shared by the exchanges or the providers. They might hold back some data or not inform you about the risks you may face. Making any investment in non-verified information is not wise. Legality: There is still no clear answer about the legal status of cryptocurrencies in India. The government might ban crypto, and then you can lose your money. It is better to get an expert opinion before you invest in cryptos. Theft: There have been some instances where cryptos have been stolen from the owners’ wallets. So, you stand to lose your money if you are not careful when you handle cryptos. Having all your security systems in place is vital to saving yourself from such issues. [B-02] Summing up You must know all the details about cryptocurrencies before you invest in them. In India, crypto is still a new topic, and many events are taking place around it. It is, therefore, vital that you get complete details on various cryptos before deciding. You must visit Piramal Finance to acquire more details about cryptos. They have a blog section where you can get all crypto-related details. This will help you make wise choices when you are ready to invest in cryptos and want to avoid any risks.
08-11-2023
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Other

Best Investment Options for Salaried Persons in India

To have a solid financial foundation, you should invest money with care. Unfortunately, not every investment will indeed yield enormous profits. But there is a better chance of seeing decent returns if you invest and for a long enough period. A salaried individual must balance investment and spending within a limited income. Investing money regularly is one way to grow your money. There are many investment options. Salaried people should consider the amount, risk, and uncertainty before making investment plans. Consider the profit before deciding on investment plans. Here are a few of the top investment options for salaried individuals. [B-01] 6 Best Investment Options for Salaried Persons in India Salaried persons in India can choose from the following seven investment opportunities. However, you should not put all your eggs in one basket. Instead, spread them out over several investment options to mitigate/control your risk. 1. Employee Provident Fund (EPF) Salaried persons have the EPF as their primary investment option. Provident funds are retirement savings accounts. In this, the employer and employee contribute a fixed percentage of the monthly wage. Contributions up to INR 2.5 lakhs in your EPF may be eligible for a tax deduction if you are an employee. EPF is one of the important investment options for salaried persons. Many employers offer EPF options where the EPF amount is deducted from your salary before your salary is credited. 2. Stocks In 2022, investing in markets has become simple and commonplace. This is because many stock brokers provide low-charge trading options. You can open Demat accounts with stockbrokers within seconds. The account is then used to trade stocks. Many banks also function as securities through connected entities. For example, if you have an account with ICICI Bank, you can trade through ICICI securities. Direct equity investments are very high-risk, but they also offer exceptional profits. Informed stock investors can earn a CAGR of 10% or more. Investments in the stock market can be as little as Rs 10. Investing in stocks should only be done after carefully considering the company. 3. Real Estate Real estate can be a good investment option if you have a medium-to-high wage. Here are some benefits of investing in real estate: You get rental income. Investing in real estate can be a reliable source of income. You can get a steady passive income with a second property. The investment provides exceptional safety for your money. Income from rental properties can be used as additional investments. Rent depends on the location, size and condition of the property. Property values increase in developing areas. Property values, particularly in metropolitan locations, will increase as the locality grows. It’s commonly believed that the longer one holds on to an investment, the greater the return. Any property that appreciates over time is an excellent investment. You can also increase the rent on your property every year. However, get the property evaluated before investing. The real estate market always recovers. The real estate market has always recovered from crises and periods of uncertainty. After each financial crisis, such as the Great 2008 Recession, real estate prices rebounded. As a result, real estate can be a safer investment than other methods listed here. Investing in real estate means future generations can benefit as well. Real estate can be used to create a legacy for future generations. 4. Gold Gold has high liquidity, low risk, and long-term returns that exceed inflation. Hence, gold has become India’s popular conventional investment option. Gold offers a strong hedge against equities. Investing in gold can be done in two different ways. Physical gold (jewellery, coins/bars) Paper gold (exchange-traded funds, equity-based gold funds, etc.) Paper gold is as it sounds: you purchase gold only on paper. Since it is not actual metal, it has high liquidity. You have to go to a jeweller to get physical gold evaluated. The jeweller will give you a price. In contrast, paper gold is bought online. You can purchase paper gold through Securities. Paper gold can be sold any day, any time. It does not need an evaluation. Paper gold is more suited for short-term trading than for long-term investment. Examples of paper gold: ETFs Gold certificates Pool accounts Gold futures accounts You need not hold physical gold if you are worried it will be stolen. 5. Equity-Linked Savings Scheme (ELSS) Individuals and HUFs can deduct up to Rs.10 lakh from their taxable income for that assessment year. They can do this by investing in ELSS Mutual Funds. ELSS is an Equity Mutual Fund authorized by Section 80C of the Income Tax Act 1961. ELSS has a maturity period of three years, which begins on the day you make this investment. The returns are low compared to direct stock investing. The tax benefits more than make up for the negatives. 6. Mutual Funds (MFs) MFs are professional-managed products. They combine investors’ money and invest in various financial markets, including stock, debt, and hybrid markets. There are various MFs. You can choose based on your risk appetite, income, and investment goals. You have complete flexibility over your investments. You can make monthly recurring investments (SIPs), or you can make a lump sum investment. Many MFs have a minimum SIP limit of Rs 100. MFs are the best option for those who want to invest money for the long term but do not have the time to do trading. You can set up a monthly contribution to an MF. Then, you can reap long-term advantages without compromising your goals. MFs also have a risk factor. You can choose an MF depending on how much risk you are willing to take (from low to high risk). Returns in MFs vary depending on the scheme. Still, MFs have a CAGR of 11-14%. Go through the debt-equity ratio, returns, and expense ratio before selecting an MF. [B-02] Conclusion Today, there are many avenues to invest. You can invest in direct equities, MFs, ELSS and many others. Hence, consider your risk appetite, income and financial goal before choosing an investment option. However, consult an expert if you cannot determine how to invest. Did you love this guide on the best investment options for salaried persons? Visit Piramal Finance for more valuable content on investing and personal finance.
08-11-2023
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Business Loan

Here are The Things You Should Know About a Business Loan in India

Are you worried about starting your business? Want a business loan? Do you want to learn more about loans for businesses? This article will tell you some things about business loans in India that you should know. [B-01] Who can get a business loan? The first thing to do is see if you qualify for a small business loan. Those who fit the following criteria are eligible to apply for a business loan: Self-employed people (freelancers) Proprietors of sole proprietorship firms. Partnership firms and limited-liability partnership firms. Private and public companies. Here are some standard requirements for getting a loan that you should keep in mind for a smooth application process: You must be at least 21 years old and below 65 years when applying. Your business should have made money at least two years ago. You and your business must have been in service for at least two years, and you must have run a business for at least five years. How to ensure your loan is approved? The ability to repay a business loan is a prerequisite for receiving one. We’ll go over several strategies for accomplishing that now. Maintain a healthy credit score The owners’ or founders’ personal credit scores and payment histories from various institutions affect a firm’s loan eligibility. High credit scores indicate financial responsibility and on-time loan payments. It also shows your financial reliability. Credit scores above 700 can improve your loan worthiness, even if your lender requires a lower score. Demonstrate adequate cash flow in the business Your company’s cash flow analysis will influence the lender’s loan decision. They will also check your tax returns and debts to make sure you can pay your loan on time. Cash-flow loans don’t require collateral, so you’ll need a reliable income to impress your lender. Keep your documents ready for the loan application Since this is such a crucial procedure, extra attention must be paid to it. Make sure you have all the necessary paperwork available to expedite the loan application process, both for yourself and the lender. Documents required Identity proof PAN card Address proof Proof of business Business and personal bank statements (last six months) Business and personal tax return records Business’s financial statements Business’s legal documents such as commercial lease and franchise agreement. All you need to know about business loans in India Term Loans With a term loan, the lender gives you money upfront, and you have to repay it over an agreed period with interest. Small firms with an excellent credit history may qualify for a term loan. There are a number of scenarios in which a term loan would be useful: Investing in long-term assets such as machinery and equipment. Investing in commercial real estate or a brand-new manufacturing facility to hasten or expand output. Consolidating operations through the purchase of a separate firm. Funding the company’s day-to-day operations so that operating costs can be met. Business lines of credit Revolving credit is useful for many companies because it allows them to borrow a set amount and then use that money as they need it rather than getting all of the money at once. You and the lender may settle on a maximum amount. Withdraw as much or as little as you need to pay for immediate costs and debts up to this limit. A certain amount of money is made available to you, but you are under no obligation to take it all out at once, thanks to this feature’s built-in flexibility. As a result, you won’t have to worry about making payments on an enormous sum of money, and you’ll only have to pay interest on the actual amount you borrow. In addition, you can make repayments as necessary, taking into account the company’s cash flow and financial stability. You are free to make repayments in as many or as few instalments as you like. Equipment financing Business owners can benefit from equipment loans when buying machinery, equipment, or commercial vehicles. The fixed asset secures the small business loan. Thus, equipment financing leases the machinery, equipment, or vehicle to secure the loan. To repay the debt, the leased asset is sold. This may be ideal for those with large debts or a shaky financial history who need capital to buy an item. Invoice financing You may need to give customers 90 or 180 days to pay after shipping their goods if you’re a manufacturer. However, fast vendor payment may be necessary. You’ll still need financing for operations and expansion. Invoice finance secures a small business loan against client payments. Commercial real estate loans Investing in commercial property is a lot like investing in machinery. However, a business real estate small business loan is secured by mortgaging a commercial property such as a manufacturing plant, retail store, storage facility, etc. The commercial property serves as collateral for the loan. The financing-to-value ratio is the primary factor in any small business loan. The loan amount offered is a percentage of the commercial property’s fair market value. LTV is often between 75% and 80% of the property’s value. Micro loans Micro loans, as the name suggests, are small amounts of credit given as small business loans by banks, mostly without any collateral. You need to repay the loan in a very short duration. [B-02] Summing-up Piramal Finance provides you with tips that you should keep in mind while taking business loans and small business loans. You must submit specific documentation with your application, as requested by the lender. Your loan application won’t be handled if these supporting documents aren’t provided. You should get clarification regarding your business loan interest rate or small business loan interest rate so that you have a fair idea regarding how much to repay. Additionally, visit Piramal Finance for more in-depth, instructive articles about finances.
08-11-2023
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Personal Loan

Get a Personal Loan to Buy All Home Appliances

Are you planning to buy home appliances? But you are worried about money? Want a personal home appliances loan? Here you can get all the information about personal home appliances loans. Your answers to your inquiry will be found here. You need to keep these important things in mind before taking a loan. Here are some crucial factors that will increase the impact of your decisions. Let’s take a look. [B-01] Why apply for a home appliance loan? There are personal loans called “personal home appliance loans” and “consumer durable loans.” These can be used to pay for brand-new or updated appliances for the home. You can do this with a credit card, but doing so comes with its own set of problems. People tend to spend more than they should, and the problem gets worse as fees add up. Because of this, it’s important to get a personal loan for home appliances right away so you can figure out what you need and how much you can spend. Items you can buy with a personal home appliances loan ● Refrigerator or freezer ● Battery and inverter ● Washing machine ● Audio/video player ● Vacuum cleaner ● Water purifiers ● Chimney ● Video camera ● Dishwasher ● Microwave oven ● CCTV ● Coolers and air conditioners ● LED TV, plasma TV, home theatre, etc. Benefits of a personal home appliance loan ● The personal credit line can be used for purchases made anywhere, including online. ● You can take advantage of sales and promotions that only last a short time if you get the money right away. ● You can always access your credit line online. So you can shop whenever it’s most convenient for you. ● With a credit line, you can buy more expensive things that would be out of your price range otherwise. ● A credit line is useful because you only have to pay interest on the money you borrow. You can use the remaining balance as a safety net in case you ever need cash in an emergency and can’t get to your regular bank account. ● A consumer durable loan gives you anywhere from two months to three years to pay back the money you borrow. Features of a personal home appliance loan ● Flexible EMIs With this type of financing, you can borrow any amount you need and pay it back in convenient EMIs. Lenders typically provide forgiving repayment schedules on such loans. With forgiving terms, you won’t have to choose between paying off your credit card debt and paying back your consumer durable loan. ● Instant loan approval Once your home appliances loan is authorised, you can expect to get the funds quickly. You don’t need to put up any collateral to get a loan to buy a home appliance. The time it takes to distribute loans will increase no matter what. ● Minimal documentation Most people associate instant cash loans with having to provide no documentation at all. If you want to buy a new fridge, for instance, you can get a personal home appliances loan immediately by showing only your PAN card. ● Low-interest rate Just the amount you borrow will accrue interest. Monthly interest rates of 1.08% are significantly lower than those charged by conventional financial institutions. ● Minimum eligibility The requirements for eligibility have been lowered to their absolute minimum. An online personal home appliances loan application can be submitted by anyone between the ages of 23 and 55. In addition, the person must be able to demonstrate a monthly income of at least ₹20,000. Top things to consider before applying for a personal home appliance loan ● A personal home appliance loan is an unsecured loan. So the lender will look at your credit score and monthly income to determine if you will be able to repay the loan. Get your credit score where it needs to be if you want easy approval. ● Rate of interest: The rate of interest on loans for personal home appliances differs from one lender to the next. When taking out a loan to purchase a household appliance, you should shop around for the most favourable interest rate. ● There is no cost to the borrower for the EMI. This service is now standard with the vast majority of lenders. Check with your lender to see whether you may use this service as a credit against your purchase. ● Processing fees, late payment fees, and prepayment penalties are just some of the extra costs you may incur. Before applying for the loan, make sure to read all of the paperwork thoroughly for a consumer durable loan. Eligibility criteria for getting personal home appliances on EMI ● Personal home loan appliance: applicants must be at least 21 years old. ● Consumer durable loan: workers in traditional 9-to-5 jobs have until they turn 60 to apply, while those in self-employed fields have until they turn 65. ● Loan amounts between Rs. 10,000 and Rs. 5,000,000 are permitted. ● Loan terms might be anywhere from 6 to 24 months. List of documents required to get personal home appliances on EMI ● Proof of identity ● Proof of residence ● A cancelled cheque ● Latest passport-sized photograph ● A signed ECS mandate ● A non-dated cheque for the full amount of the loan drawn in favour of TCFSL for security purposes Favourable aspects of a private loan for home appliances A web-based application form A minimal and speedy paperwork procedure Repay in up to 36 monthly instalments. No collateral or other security is needed. There are no additional fees. Minimum Handling Charges Getting the necessary kitchen and laundry room gadgets is as easy as a trip to the store. [B-02] Summing-up The purpose of this article is to present a comprehensive study of significant data regarding personal loans for home appliances and consumer durable loans. This is just financial advice. It provides unbiased information and evaluations on trading, investing, and finance. Users ought to always carry out their research. Also visit Piramal Finance for more in-depth, educational articles.
08-11-2023
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