A leading bank with whom I have a long term assosiation charge a hefty service charge of 2% for investment into mutual funds including one sithc-over of the same AMC. I found out from other banks where they either not chage any service charge or a meagre charge of 0.1%. Iam a S/B a/c holder with the bank and they had never charged such a exhorbitant service charge before. Moreover RBI rules also clearly prohibis any entry load. Iwonder how a leading bank of repute can charge such a huge percentage from an account holder of the same bank. I personally could have reinvested the amount which I redeemed from non-performing funds as per RSM's advice and saves the Service charges and texes levied. Please advise how shuld I poceed in this matter. Thanks and rgds.
1 Answers
Entry load has been scrapped but mutual fund agents and brokers are free to charge service fees for services provided.
There is little can be done here now as amount has already been deducted. You must have read bank's terms and conditions before investment.
Read following posts to know how you can transact without any service charge or other loads:
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