NSEiT – Conflict of Interest?

Should a Stock Exchange be allowed to have a business whose market it can influence by the virtue of it’s being the Market Enabler? National Stock Exchange (NSE), India’s Numero Uno Stock Exchange has a subsidary – NSEiT which is involved in the development and maintenance of NSE’s IT infrastructure. NSEiT also develops software products ...

Outstation Cheque Collection – RBI Circular

RBI in it’s Circular dated 8th Oct,’08 has issued norms for Charges for Outstation cheque collection. RBI has mandated that banks must follow the following guidelines for Charges: – Up to Rs. 10,000                     – not exceeding Rs. 50 per instrument – Rs. 10,000 to Rs. 1,00,000      – not exceeding Rs. 100 per instrument – Rs.1,00,001 ...

Service Charges for Electronic Payments

On 8th Oct’08, RBI mandated that Banks must NOT charge for any Inward RTGS/NEFT/ECS transactions (i.e., for receiving funds). For Outward transactions, i.e., sending the funds, the Maximum Charges have been specified as below: (i)  RTGS  – Rs. 1 to 5 lakh             – not exceeding Rs. 25 per transaction – Rs. 5 lakh and above   ...

My Feedback on Variable Load in MF

In continuation with my previous post on SEBI’s proposal for introducing Variable Entry Load in Mutual Funds, I sent in my response by email on the last day (6th of March). The response is as below: ================ I personally welcome the proposal of having Variable Entry Load in MF. This will bring in a rationalisation ...

RIL – RPL Merger. Why is nobody questioning it?

When Satyam-Maytas happened, everybody on the street was on their feet crying foul. But the same people are now silent spectators to the merger of Reliance Petroleum (RPL) with Reliance Industries (RIL). What has caused this difference in attitude towards to similiar events – both are trying to merger with promoter held companies with the ...

Mutual Funds – Variable Entry Load – Opportunity for Investors

SEBI has issued a Proposal on 13th Feb’09 for Variable Entry Load for investments in Mutual Funds made through Distributors. This is good step forward for investors who use Distributor’s service to the minimal. They can henceforth pay less by bargaining on the Entry Load. This will be good for both investors and Distributors. For ...

Life Insurance – Protection or Profiteering?

Off Late I have been looking to a Life Insurance Policy for myself. I suddenly had a realisation that I am under Insured going by the Market Standards of Insurance Coverage, so I looked to take an insurance policy. The first hurdle I faced was the numerous policies available in the market, most of which ...

Safer Online Credit Card Transactions in India

RBI has issued a new directive on 18th Feb’09 mandating Banks and Credit Card Companies to put in place an additional authetication/validation for all “card not present” transactions from 1st Aug’09. Further “online alerts” must be provided to the customer for all “card not present” transactions of value of Rs.5,000/- and above. This is a ...

Refund of Wrong Debits in ATM

At some point of time or other, most of us would have had a bad experience at the ATM when the amount we key-in does not come but is debited from the A/c. In most cases, the reversal happens in the next few days and we anxiously wait for the reversal after following up with ...

Transaction Fee on Credit Cards

In today’s (12/Feb/2009) BUSINESS LINE Newspaper, I read an article on Surcharges on Credit Card. I was surprised to read that Charging Extra by the merchant is a voilation of the rules and agreement for acceptance of Card. (I have been all along think this was legal). Read more here (Business Line Website) This means ...