Mutual fund account to be closed if invested through Paisabazaar? Know the truth | Personal finance news

New Delhi: Have you invested in mutual funds through Paisabazaar? If yes, then you need to carefully go through a mail sent by the fintech company in a few days. Mail sent to a few Paisabazaar customers stated that their mutual fund account would be terminated as of March 25. But that wasn’t the whole truth.

In the email, Paisabazaar had stated that the client’s Mutual Fund Services account would be terminated effective March 25, 2022. “After March 25, 2022, you will no longer be able to redeem your existing investments in Direct Plans nor make new investments in via the Paisabazaar platform,” the company had said in its email.

The mail raised concerns related to Paisabazaar’s mutual fund business. Shortly after sending the mail to clients, reports surfaced that the company was closing its mutual fund business. The company has now clarified that this information was unfounded.

Investors also expressed concern about their investments in mutual funds. However, Paisabazaar clarified that the particular mail was sent to a restricted list of customers who have not updated their data and cannot be migrated to the platform used by the company.

Paisabazaar told Mint that it has not onboarded any new customers as the platform is in the process of moving to a new external platform, which is operated by NSE. The transition was taken to streamline back-end operations, the company added. Read also: The Twitter account of the Ministry of Statistics hacked; the name was briefly changed to Elon Musk

“We have moved 99% of our consumers and their mandates to the NSE platform. These consumers continue to invest, set SIPs, redeem through the Paisabazaar platform…there is a small group of 478 consumers (less than 0.5% of total consumers) whose data on our platform is n ‘have not been updated and therefore could not be migrated to the new platform,’ the company’s statement was quoted in a Mint report. Also read: TCS agrees multi-year deal with Australia’s Western Power



Dolores W. Simon