Money Saving Tips

TDS on Cash Withdrawal above ₹1 Crore https://www.fundstiger.com/tds-cash-withdrawal/ The revenue department on 30August19 said the 2 % tax deduction at source (TDS) on cash withdrawals of over Rs 1 crore will come into effect from September 1. The Central Board of Direct Taxes (CBDT) further said that if a person has already withdrawn Rs 1 crore or more in cash up to August 31, 2019, in the current fiscal, the two per cent TDS shall apply on all subsequent cash withdrawals. The government had made the provision of levying 2% TDS on cash withdrawals exceeding Rs 1 crore in the Union Budget with an aim to discourage cash transactions and move towards less cash economy. Since the provision comes into effect only from 1 September, cash withdrawal prior to that will not be subjected to TDS, although it will be counted in computing the threshold for the whole year. The government has been taking various steps to discourage use of cash and to promote digital payments to establish a

Small Business Ideas for Beginners https://www.fundstiger.com/business-ideas/ Here is a list of business ideas, 50 to be exact, for beginners with the right skill sets but without too much capital and business experience. 1. Travel Agency The travel industry in India has witnessed a boom in the past decade. Keeping to people’s changing habits and their desire for the ultimate ‘wanderlust’, the time is ripe for aspiring entrepreneurs to put their money where the map is. The most cost-effective measure to open up a home-based travel agency is by tying up with a host-agency. While the rates differ according to the host agencies, your main initial costs that will fall within Rs 10,000. 2. Freelance Writer If you have some writing skills, you can get started with your own writing business fairly easily by offering your services to businesses on a freelance basis. 3. Corporate Gifts India has a rich culture of corporate gifting. It continues round the year. Corporate gifts in

How to Choose the Best Personal Loan? https://www.fundstiger.com/best-personal-loans/ A personal loan is a convenient financial resource that you can turn to whenever you’re in a pinch. This unsecured loan is fairly easy to qualify for and obtain due to the fact that it does not require you to pledge any collateral. Some lenders even offer instant approval on personal loans and allow you to enjoy the full sanction within just 24 hours. A major benefit of availing a personal loan is that the sanction has no spending constraints. The most common reasons to avail a personal loan are medical emergencies, social occasions, paying off credit card bills, repaying previous debts, funding vacation plans or purchasing dear goods including consumer durables. Whatever be your need for availing a personal loan, you need to meet the eligibility criteria of the lending institute, to be qualified for an offer. Personal Loan Criteria Age must be between 21 and 60 years Applicant must be a s

Cheque Truncation System https://www.fundstiger.com/cheque-truncation-system/ Cheque Truncation System or CTS is the cheque clearance system introduced by RBI to fasten up the clearing of cheques. In this system, instead of producing the physical cheques to the payee bank, just the electronic image of the cheque along with the MICR code and other cheque credentials are transmitted to the drawee bank for the payment through a clearing house. Benefits of Cheque Truncation System Cheque Truncation System brings elegance to the whole activity of cheque processing & clearing and offers numerous benefits to banks like time and cost savings, cost effectiveness, including human resource rationalization, business process re-engineering and enhanced customer service. Time, money and manpower expended on physical transfer of cheques from banks to clearing house are eliminated Clearing related frauds become less plausible Probability of cheques misplaced in transit is eli

How to write a Safe Cheque? https://www.fundstiger.com/cheque-safety-tips/ One of the most common ways to pay money is through a cheque. Writing a cheque is really easy, but you must be careful. A mistake while writing a cheque, can prove very costly and cost you a lot of money. 1. Use ‘A/C Payee’ instead of ‘OR BEARER’ Cutting the words ‘Or Bearer’ and writing ‘A/C Payee’ to the top left corner of the cheque will ensure that no one apart from the individual in whose favour this cheque is drawn can acquire the stated amount. In case you do not omit the words ‘Or Bearer’, it can be acknowledged as a Bearer cheque and any person possessing the cheque can claim the money. 2. Avoid Spaces Always make sure that you do not leave spaces between the words PAY and the Name of the Receiver. Also, avoid leaving spaces between the name and surname. This practice is important since it doesn’t offer anyone a chance to fill in alphabets before or after the name to claim the money. 3. Do

Things to know about Bank Cheque https://www.fundstiger.com/bank-cheque/ Cheques are the backbone of the banking industry and are still a very important negotiable instrument in the country. Reserve Bank of India (RBI) report says India’s cheque volumes declined only by 10.8% between 2012 and 2017, though the apex bank does expect the volumes to go down drastically by 2021. While traders and small businesses still conduct a lot of their transactions through cheques, seniors, who are not so comfortable with mobile-based apps and other digital modes, too prefer them. In fact, even the savvy ones can’t really do away with using them as cheques are still accepted by a lot of educational and other institutes, including financial ones that ask for a “cancelled” cheque before you make an investment. Here are three things all cheque users need to know. How to Write a Cheque? Step 1:  The first step is to cross a cheque, which means to draw two lines, which are parallel to each other,

Tax on Gold and Real Estate https://www.fundstiger.com/tax-gold-real-estate/ The two physical asset classes of real estate and gold have for long been considered safe havens by Indian investors, and are usually a very large chunk of portfolios. While financial products are gaining ground with investors, real estate and gold continue to hold strong. In fact, to unlock the value from the physical gold that many Indians hold and to reduce gold import, the government launched the Sovereign Gold Bonds and Gold Monetization Scheme in 2015. In the past few years, real estate investments too have witnessed a steady decline as capital values have remained stagnant. Real estate and gold have traditionally formed a large chunk of Indian investors’ portfolios. However, over the past few years, returns from them have been poor to negative. Apart from keeping gold or real estate for self-use, investments in these two asset classes doesn’t make much economic sense. But if you choose to redu

RBI Says all Banks Should Link Loans, Deposits to Repo Rate https://www.fundstiger.com/rbi-repo-rate-2019/ The Reserve Bank of India (RBI) is considering asking banks to link loans to an external benchmark such as the repo rate to improve transmission of policy rates and foster economic growth. In December, RBI said that banks must set their interest rates for new loans against an external benchmark beginning 1 April. The rule was supposed to apply to all new retail loans and small business loans with floating rates from that date. The proposal, however, was opposed by bankers who wrote to the regulator citing their concerns. In April, Das postponed the linking to external benchmarks and said RBI would discuss the proposal with the parties concerned before taking a decision on implementing it. All Banks Should Link Loans, Deposits to Repo Rate While SBI was the first one to link its loans and deposits to the repo rate from May and home loans from July, six other peer banks,

Loan Against Shares (LAS) Loans Against Shares/Securities is available in the form of an overdraft facility which is pledged against financial securities like shares, units and bonds. Loan Against Shares/Bonds/Mutual Funds is basically a loan wherein you pledge the securities you have invested in as collateral against the loan amount. A Loan Against Securities is the best way to make your investments work harder and smarter for you. How do Loan against Securities work? Loan Against Securities are typically offered as an overdraft facility in your account after you have deposited your securities. You can draw money from the account, and you pay interest only on the loan amount you use and for the period you use it. For example, you are offered a Loan against Shares of Rs 2 lakhs. Let’s say, you draw Rs 50,000 and deposit the amount back in your account in one month. In this case, you are liable to pay interest only for one month on Rs 50,000. The amount of loan you are eligi

Millennials Investing Trends A large proportion of millennials entered the job market at a time when financial markets were extremely volatile. Not surprisingly, many studies across the globe find that the generation has grown wary of stock markets. In India, too, millennials appear to be wary of the stock markets. It is said that we first make our habits, and then our habits make us. Save more, spend less and avoid unnecessary debt are a few good habits that can ensure a financially comfortable life. However, people, including those who are financially literate, also pick up bad habits that ultimately disrupt their finances. If you are in your 30s, the following habits will help you create wealth. If you adopt smart investing habits, you could be on your way to financial freedom. Here is a small compendium of habits to make you successful as well as assist you in achieving your life goals. 1. Create Life Goals Many people are ignorant about what they actually want. Life th