- What is National Electronic Funds Transfer (NEFT)
This is a facility introduced by the Reserve Bank of India (RBI). NEFT is a nation wide electronic funds transfer system to move funds from any bank branch in any part of country to any other bank branch in another part of the country.
- Who will benefit from this service?
This payout channel will be particularly beneficial to all such investors whose mandated bank account is not in the list of banks with whom we presently have a direct credit arrangement for crediting their dividend / redemption proceeds. This service will also benefit all such investors at locations where a HDFC Mutual Fund Investor Service Centre (ISC) / a HDFC Bank branch, is not present and such locations are covered by the RBI for payments through the NEFT mode. The list of these bank branches participating in the NEFT is published by RBI on its website i.e. http://www.rbi.org.in/scripts/neft.aspx Please click here to access the list of direct credit banks. The list of locations where we have an ISC is available under the contact us section. The investors can check whether a branch of HDFC Bank is present at their location on the link provided i.e. http://www.hdfcbank.com/personal/access/branch_network/branch_network.htm
- What are the advantages of NEFT over the current payout mode?
Investors whose current payments are settled through a demand draft (DD) / Pay Order (PO) for their dividend / redemption payouts are the prime beneficiaries. Such DD’s / PO’s are then dispatched to the investor, which would take a couple of days to reach. In comparison, through NEFT the beneficiary gets the credit usually on the same day or the next day depending on the time of settlement. This makes payment settlement faster, safer and risk free.
- How will I get intimated about such payments if I opt for NEFT?
Immediately after a NEFT payment is effected, an intimation will be sent to the investor via a statement of account for redemptions and by means of a NEFT advice for dividend payments.
- How do I enroll for this facility?
In case you wish to enroll for the NEFT facility kindly click here and download the form. The form needs to be forwarded to us. Please allow us about 1 week after receipt of the form to register for the facility. Once the registration is completed, a statement of account confirming NEFT enrolment will be dispatched to your mailing address registered with us. Thereafter, any payment pertaining to redemption/dividend payment will be effected through NEFT.
- Any other important details?
Investors must fill up the NEFT enrolment form, complete in all respects and duly signed, accompanied by a copy of the cheque leaf of the bank account as registered with us (you may check for this information on your last statement of account sent by us) and submit the same at the nearest HDFC Mutual Fund Investor Service Centre. Most importantly, information on the MICR number and the Indian Financial System Code (IFSC) must be clearly stated for the NEFT to be enabled. The MICR number is a nine-digit (9) number, which appears on the cheque leaf adjacent to the cheque number. The IFSC code also appears on the cheque leaf, usually towards the bottom left hand side and is an eleven-character/digit (11) representation.
- Are there any charges for NEFT enrolment?
HDFC Mutual Fund does not charge any amount for effecting the payments through NEFT. Most banks do not charge for this facility. However a few banks may charge a nominal charge for this facility, which is to be borne by the investor. Please check with your bank about these charges, if any. However, given the inherent advantages of such a payment mechanism, it is a recommended mode of receiving payments.
For more details on NEFT or FAQs on NEFT, investors are advised to visit – http://www.rbi.org.in
For any clarifications you may write to us at email@example.com or alternatively you may call our customer service number 60006767 (Do not prefix STD code) or our toll free no 18002336767.