ULIP with credit card better than Mutual fund?

[Credit_Cards]

Any of the following cards give points for insurance premium?
Axis Olympus
HDFC Infinia (Plastic)
HDFC DCB (Plastic)
Amex Platinum Charge
Amex Platinum Travel

I know the Apay voucher route, but I need to pay 2L (2 x 1L) and with the above cards and supplementary on HDFC cards, I can buy only buy about 60k

Do I get points for topping up Apay through any of the above?
Any other tricks to get some extra points?

thats off topic use search option please

 

[dvader]

how does opening a FD on my mother’s name save taxes?

I meant any dependent family member who isn't working, siblings, mother, cousins etc. They will be expempt for 7 Lacs of interest income from FD. Remeber that's interest income the FD amount itself doesn't matter as long as interest income is less than tax limit.

 

[vishalgupta2]

thats off topic use search option please

Sure thing. Thanks

 

[satviksehgal]

Not sure if you are talking about the same policy. But according to HDFC Life's Click 2 wealth's proposal and according to Invest Plus plan's Illustration the XIRR is 7.41% (lesser than they claim). So in no way its better than MFs.

I didn't subtract the value of premium you would pay for 5lk Insurance as 5lk is a very less cover and a person would have to eventually take another term life insurance.
View attachment 81460

this scheme is guaranteed returns or market linked?

 

[SSV]

Its still on for few cases.

And the few cases are ??

 

[V360]

People who want to apply through ULIP and take Infinia

 

[SSV]

People who want to apply through ULIP and take Infinia

This is what I am saying they stopped , from what I hear...

 

[V360]

This is what I am saying they stopped , from what I hear...

I am still getting calls for references 🙂

 

[SSV]

I am still getting calls for references 🙂

Ask if they are still giving like before without meeting CL and / or income criteria

 

[ontherocks]

Depends on person to person

One layman knows nothing of finance just want to save money
Ulip is cool

Someone who knows little invest
In sufficient amount of fd then gold
Then market
For 2nd guy ulip is Black hole

Why would a financial literate person do an FD instead of an ULIP that qualifies for section 10(10D)? I would like to know.

 

[Vasuki]

Why would a financial literate person do an FD instead of an ULIP that qualifies for section 10(10D)? I would like to know.

Because this literate person doesn't want market risk

FD IS first saving ( you can call it as emergency fund )

Why would anyone with right mind do ulip for investment

Financially literate means knowing term life insurance and Investing should be two different things not one

 

[fradela]

Investment, Insurance and Credit Card all are different entities.

Don't couple them.

Decouple them is the best way.

Insurance: Take only Term Insurance and Health Insurance.

This is what I'm saying multiple times in this forum.

Again investment means only Equity, NO.

You should have proper asset allocation (Equity, Gold, Debt (Debt MFs, FD, PF, VPF, PPF, etc.,)

Financial literacy is more important.

Insurance: Take only Term Insurance and Health Insurance.

Emergency Funds should be multiple FDs. Whenever you need you can break one or two FDs instead of whole.

Will write one thread soon everything in detail.

 

[ontherocks]

Because this literate person doesn't want market risk

FD IS first saving ( you can call it as emergency fund )

Why would anyone with right mind do ulip for investment

Financially literate means knowing term life insurance and Investing should be two different things not one

You are spot on about the market risk factor.
If we keep that aside for a moment, and if someone has the option of locking money for 5 years or more, then ULIP and FD gives about the same returns pre tax.
With the added advantage the you get to add money in ULIP over a period of time instead putting all the money in one shot in FD on day zero. Additionally, on maturity FD is taxable as per your slab but ULIP is not (if eligible for 10 (10D)). Plus ULIP gives you some life cover which FD doesn't.
This is purely a comparison of FD vs ULIP and as an investment tool.
BTW, this is not an argument, but just a discussion.
Of course there are better investment tools and in absolute sense ULIP should never be taken as an investment tool.

 

[harshgupta940]

You are spot on about the market risk factor.
If we keep that aside for a moment, and if someone has the option of locking money for 5 years or more, then ULIP and FD gives about the same returns pre tax.
With the added advantage the you get to add money in ULIP over a period of time instead putting all the money in one shot in FD on day zero. Additionally, on maturity FD is taxable as per your slab but ULIP is not (if eligible for 10 (10D)). Plus ULIP gives you some life cover which FD doesn't.
This is purely a comparison of FD vs ULIP and as an investment tool.
BTW, this is not an argument, but just a discussion.
Of course there are better investment tools and in absolute sense ULIP should never be taken as an investment tool.

FDs will always be much better, because it solves the purpose of emergency fund as gives instant funds when needed.

 

[Vasuki]

Plus ULIP gives you some life cover which FD doesn't.

50k ulip gives max 5 lakh insurance.
7-10k gives 1 cr insurance

For tax saving , if you earn more than 20-25 lakh pa get investment advice or DYI in safe equity
I know there is less culture of market investing but any Developing country Sensex/ nifty equivalent always gives good return in a decade
It all depends on your financial acumen