DSP BlackRock Mutual Fund offers it's investors, a facility to register multiple bank accounts by providing necessary documents. Investors can then specify any of the registered bank accounts to receive redemption / dividend proceeds.
- As per current regulations, every investor must register a bank account with the mutual fund, which will be used for payment of redemption and dividend proceeds, if any.
- Currently, investors register one bank account while investing with the fund. However, when the investor wishes to redeem and seeks redemption proceeds to be transferred in a new bank account, the investor provides a "change of bank account" request along with redemption proceeds.
- Such simultaneous request raises the risk of fraudulent transactions. Further, there is risk of redemption proceeds being transferred to an incorrect account because of an error in capturing new bank account details alongwith redemption.
Hence, the fund has launched the facility of multiple bank accounts registration.
Unit holder(s) are strongly advised to register their various bank accounts well in advance and continuously update the bank accounts details with the mutual fund and specify any one of registered bank account for payment of redemption proceeds. If any of the registered bank accounts are closed/ altered, please intimate such change with an instruction to delete/alter it using the designated form.
Alert: Consequent to introduction of "Multiple Bank Accounts Facility", the existing facility of redemption with change of bank mandate is discontinued by the fund.
New bank accounts can only be registered using the designated "Bank Accounts Registration Form" or “Change of Bank Mandate Form”
Investors should note that any new bank account mentioned with redemption request will not be registered and redemption proceeds will be sent to existing registered bank account only.
Registered bank accounts may also be used for verification of pay-ins (i.e. receiving of subscription funds) to ensure that a third party payment is not used for mutual fund subscription.