RBI guidelines for Gold Monetisation Scheme

The Reserve Bank of India (RBI) on Thursday issued directions for banks on implementation of the Gold Monetisation Scheme approved by the government.

  

• In gold monetisation scheme, customers can deposit their gold and earn interest on it. 

• Banks can accept a minimum of 30 grams of the precious metal of 995 fineness in the form of a bar, coin or jewellery under the scheme. There is no upper limit on the amount of gold deposit.  

• All scheduled commercial banks have been allowed to offer this scheme. The designated banks are free to fix the interest rates on these deposits.

Tax Benefits of Life and Health Insurance Policies in India

Insurance policies whether it is Life Insurance or Health Insurance, not only safeguard your life and health but also give you tax benefits for the premium paid and maturity amount received. The first step of a financial planning start with getting yourself adequately insured.

Life Insurance Policy is a traditional plan which includes term plans, ULIPS (unit linked insurance plans), money back and whole life cover plan. All the above plans are combination of investment as well as insurance except term plan which gives you pure insurance. 

NTPC Tax Free Bonds 2015- return upto 7.62% per annum

National Thermal Power Corporation (NTPC), the largest power generation company of the India is issuing its tax-free bonds which would fetch returns up to 7.62% per annum. There are three types of bonds on offer—10-year maturity with coupon of 7.36%, 15-year maturity with 7.53% interest and 20-year maturity with 7.62% interest. The issue will start on 23^rd September and would remain open for 7 days till 30^th September. Tax-free bonds offer a long-term investment option along with regular tax-free annual income.

Features of NTPC Tax Free Bonds

1. Issue starts from September 23rd and would end on 30th, 2015 but can be pre-closed on full subscription.
2. NTPC Tax-Free Bonds are rated AAA by CRISIL, ICRA and CARE.
3. Annual Coupon Rates for Retail Investors are 7.36% for 10 Years, 7.53% for 15 Years and 7.62% for 20 Years.

Details about Term Life Insurance Policy

Term life insurance is life insurance that provides protection at a fixed rate of payments for a specific period of time, the relevant term and pays benefit only if you die during that period of time. If the life insured dies during the term, the death benefit will be paid to the beneficiary. 

One of the biggest advantages of term insurance is its lower premium as compared to endowment insurance because term insurance does not acquire any cash value and at the end of term, policy will not have any value. In term insurance you are paying for death benefit, if you die during the term then benefit will be paid to the beneficiary.

Term insurance is a good option for young people with high level of protection of life with low premium. In this way they can ensure family’s financial independence in the event of your unfortunate demise or critical illness. One thing must remember while taking term insurance that term insurance should be taken as early as possible and have long period of time or term.  So that you have to pay lower premium. If you take short period of time or term and after end of that term, you choose to take term insurance again then you have to pay more premium as compared to previous for similar amount of coverage. 

Read LIC Term Insurance plan Anmol Jeevan II

LIC Term Plan - Anmol Jeevan II

LIC’s Anmol Jeevan - II is a protection plan which provides financial protection to the insured’s family in case of his/her unfortunate demise.

Eligibility Conditions:-

Minimum Sum Assured          :   Rs. 6,00,000

Maximum Sum Assured         :   Rs. 24,00,000

(The Sum Assured shall be in multiples of Rs. 1, 00,000/-)

Minimum age at entry             :  18 years (completed)

Maximum age at entry            :  55 years (nearest birthday)

Maximum cover ceasing age             :  65 years (nearest birthday)

Minimum policy term              :  5 years

Maximum policy term            :  25 years