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Important update regarding Paytm Money’s BSE StAR Integration for Direct Mutual Fund Scheme Investors7 min read

January 10, 2023

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Important update regarding Paytm Money’s BSE StAR Integration for Direct Mutual Fund Scheme Investors7 min read

To continue your Direct Mutual Fund investments on Paytm Money, it was necessary for you to complete your KYC and to register as a broking client by 15th November 2022.

As this deadline was missed, Paytm Money has reached an understanding with BSE to transfer your account to them. This means, you will become a customer of BSE StAR MF. 

Thank you for being a valued member of Paytm Money.

As you were informed through our previous communications regarding the migration of our Direct Mutual Fund platform to BSE StAR, it was necessary for you to complete a few regulatory formalities to continue making fresh investments in Direct Mutual Funds and redemptions of the same on the Paytm Money platform. The last date to complete the regulatory formalities was 15 November, 2022. Please refer to our email communication dated 26 June 2022, reminders on 7th July 2022, 13th July 2022, and an extension email dated 31 October, 2022. In case you missed the reminders, here’s a summary of these communications on our blog.

As the required formalities of completing your KYC and opening a Demat account were not completed, we will be making you a direct client of BSE. 

Again, a huge thank you for being a part of our Paytm Money community.

What does it mean for you to become BSE’s direct client? 

What will change for you?

  • Fresh investments only in existing folios will be permitted on Paytm Money.
  • No fresh investment can be made in schemes in which you have not invested earlier via Paytm Money.
  • In case of redemptions, you will get a BSE StAR MF page link on your mobile number & email registered with RTA (CAMS & KFintech) after placing a redemption request on Paytm money app. You need to follow the process of authentication (via OTP) to complete the redemption process before the cut – off time. Alternatively, you can redeem units directly from RTAs (CAMS & KFintech) or respective AMC as per your convenience. 
  • Your portfolio on Paytm Money will only reflect transactions made via Paytm Money.
  • The distributor code associated with your investments will become the code of BSE
  • The mandate provided in favor of Paytm Money Limited will be assigned to Indian Clearing Corporation Ltd (ICCL),  the clearing corporation set up by BSE

What will remain the same for you?

  • Your existing SIPs shall continue without any interruption on Paytm Money

 

When will you become BSE’s direct client? 

We have initiated this transition and it will be done in phases.

 

Can you complete regulatory requirements now and continue enjoying full benefits of Paytm Money? 

Yes you can. 

Please complete your registration & open a free Demat account as a Broking client of Paytm Money Limited. It will take 7 working days to activate your fresh investment once you are migrated to BSE StAR Mutual Fund platform as a Paytm Money user.

Your Demat Account will be completely FREE. You would even receive a welcome offer of Free Brokerage Credit up to ₹500 once you open your account.

If you need any support along the way, you can write to us at priority.kyc@paytmmoney.com.

In case you need more information on this matter, you can check out this blog

Your best interests are always our top priority. We look forward to having a long and fruitful investment journey with you!

 

FAQs 

1. What does this transition mean for me?

What will change?

  • Fresh investments only in existing folios will be permitted on Paytm Money.
  • No fresh investment can be made in schemes in which you have not invested earlier via Paytm Money.
  • In case of redemptions, you will get a BSE StAR MF page link on your mobile number & email registered with RTA (CAMS & KFintech) after placing a redemption request on Paytm money app. You need to follow the process of authentication (via OTP) to complete the redemption process before the cut – off time. Alternatively, you can redeem units directly from RTAs (CAMS & KFintech) or respective AMC as per your convenience. 
  • Your portfolio on Paytm Money will only reflect transactions made via Paytm Money.
  • The distributor code associated with your investments will become the code of BSE
  • The mandate provided in favor of Paytm Money Limited will be assigned to Indian Clearing Corporation Ltd (ICCL),  the clearing corporation set up by BSE

What will remain the same?

  • Your existing SIPs shall continue without any interruption on Paytm Money

 

2. Will I stop being a Paytm Money customer?

      • Yes, you will be BSE’s direct client.
      • Your existing SIPs shall continue without any interruption.
      • Fresh investment only in existing folios will be permitted on Paytm money app.
      • No fresh investment can be made in schemes in which you have not invested earlier via Paytm money
      • In case of redemptions, you will get a BSE StAR MF page link on your mobile number & email registered with RTA (CAMS & KFintech) after placing a redemption request on Paytm money app. You need to follow the process of authentication (via OTP) to complete the redemption process before the cut – off time. Alternatively, you can redeem units directly from RTAs (CAMS & KFintech) or respective AMC as per your convenience.
      • Your portfolio on Paytm Money will only reflect transactions made via Paytm Money.

3. How will I redeem my units?

    • In case of redemptions, you will get a BSE StAR MF page link on your mobile number & email registered with RTA (CAMS & KFintech) after placing a redemption request on Paytm money app. You need to follow the process of authentication (via OTP) to complete the redemption process before the cut – off time. Alternatively, you can redeem units directly from RTAs (CAMS & KFintech) or respective AMC as per your convenience.

4. How can I reach out to customer support in case of a query?

    • You can continue to use PML help & support, contact us at priority.kyc@paytmmoney.com
    • We will still help you resolve your queries & coordinate with BSE StAR MF team where ever required.

5. Will this impact my existing investments/folios?

    • No, Your existing SIPs will continue as it is.
    • You will be able to make new investments in your existing folios

6. Will my portfolio be updated?

    • Only transactions done via Paytm money app will be taken into consideration for your portfolio.

7. What about my future investments?

    • You will be able to make investments in your existing folios and your existing SIPs will run smoothly.
    • No fresh investment can be made in schemes in which you have not invested earlier via Paytm money

8. What if I don’t want to be a BSE StAR customer?

9. Do I need to update my broking registration to continue trading with Paytm Money?

    • Yes, to enable fresh investment can be made in schemes in which you have not invested earlier via Paytm Money you will need to update your broking registration which means completing KYC and opening a FREE Demat Account. This process is easy and completely digital. 

10. Will I be charged if I open a Demat account now?

    • No. Demat account opening is completely free, and you will not be charged at any point during this process of account upgrade on Paytm Money. You will only be charged once you choose to add funds to your Demat account to place a trade. All the trading-related charges detailed on this blog will only apply once you choose to trade from your Demat account.

11. Does this mean a Demat account will be created for me?

    • Yes, you have to register for a Demat account, completely FREE. Click here to do it now

12. How do I opt-out of this process?

    • As the integration process has no impact on your current Direct Mutual Fund investments, we urge you not to lose out on the financial growth that you have achieved with your diligence by investing with us. In case you would still prefer to opt-out, you can place a redemption request for your investments on our platform, which will be processed in 3 trading days.  Alternatively, you can redeem the same from AMC or RTA directly.

13. What will happen once I complete the regulatory KYC formalities & open a Demat account?

You will be transferred back to Paytm Money as their client in 7 working days, which means your mutual fund transactions will be processed via Paytm money’s broking code (INZ000240532) and you will be able to invest in new schemes.