Are you a late starter for Tax Saving Investments? Worry not, for we have the solution for you!!
Some tax saving options where no cheque needs to be issued which can be made online:
- Equity-linked savings scheme: Invest here to save tax for this financial year. This can be done through net banking as well. You can choose between regular and direct options. The direct option has lower expenses as it’s free of distribution commission.(For more information about..Equity-linked savings scheme).
- Five Year Bank Fixed Deposit: If you possess a Know Your Customer (KYC) account, log into your net banking account and invest from there. Your Permanent Account Number (PAN) must be updated in the bank’s records. Indicate whether you want monthly, quarterly or cumulative interest on the investment.(For more information about.. Fixed Deposit).
- Insurance: Buying insurance plans might not always work. Making payments online might be possible through net banking and cards, but the underwritings of the policy might result in the decline of the policy or the insurer might ask for an extra premium.(For more information about.. Insurance Advice).
- ULIP: Visit the insurance website and buy online Unit Linked Insurance Plans (ULIP). There is no commission paid to any agents in online Ulips. Aadhar number might be mandatory with some insurers. (For more information about.. Unit Linked Insurance Plans(ULIP) investment advice).
- Public Provident Fund(PPF): Open an account with a designated bank and transfer the funds online from the linked savings account of any bank. Take a printout of the form and submit it with other documents required at the bank’s branch for verification. (For more information about.. Public Provident Fund(PPF) investment Advice).
- Home Loan Repayment: Add your home loan account as a third-party account through net banking and transfer funds. You can prepay a portion of your home loan saving tax and interest cost. This will help reduce total interest outgo as the loan tenure gets reduced. (For more information about.. Home loan investment Advice).
- Health Cover: Buy a health insurance online. You can visit any insurance company’s website for that. There could be a requirement of medical tests or the insurer might not allow buying online above a certain sum or age insured. (For more information about.. Health Insurance investment Advice).
However always make sure to call up the company before initiating investments online. It typically takes one working day for investments to go through. Know the processes beforehand so that your investment can be better. Make sure the process is transparent and you trust them.