Aditya Birla Sun Life Mutual Fund

Your Handguide to the E-OTM

Jan 20, 2020
6 mins | Views 19643

E-OTM is a feature that can smoothly help you invest in mutual funds by automating regular investments. Here's an FAQ that answers all your doubts taking you a step closer to your investment goals.

  1. I have created an e-OTM limit for INR 20,000 per month, does this mean my account will be debited by this amount without my knowledge?

    No. E-OTMs are completely safe as it is transacted between your bank and your AMC. The e-OTM limit is specified to allow you to transact seamlessly without any other formalities till that limit. However, any investment that you wish to make through the e-OTM will be authorised by you through an OTP based process.

  2. I have ongoing SIPs for which I have not submitted any e-OTM. Can I request for e-OTM even for ongoing SIPs?

    Yes. You can register online for e-OTM. Once verified by the bank, subsequent SIPs can be cleared through e-OTM.

  3. I have multiple SIPs being transacted each month. Can I register all through the same e-OTM?

    Yes, so long as these SIPs are for the same folio through a single AMC. Separate e-OTMs will need to be registered for SIPs transacted through different folios or different AMCs.

  4. I had specified an e-OTM limit of INR 10,000 per month. Can I increase this amount to INR 15,000 per month?

    You can increase your e-OTM limit. However, this would need to be done by submitting a fresh e-OTM application. It is thus advisable that you set a reasonably high e-OTM limit when registering for it.

  5. I have set up an e-OTM for paying for my SIP of INR 5,000 each month. I no longer wish to continue with this SIP with this AMC, can I cancel the registered e-OTM?

    E-OTM is valid for the time specified by you or for an infinite period till cancelled by you. Just as the e-OTM is registered online, the same can also be cancelled online through the portal of the AMC or the bank.

  6. I have a monthly SIP of INR 10,000 per month being transacted through my e-OTM. I want to now make an additional lumpsum investment of INR 30,000. Can I make it through the same e-OTM?

    Yes, the same e-OTM can be used for both SIP and lumpsum investments. This is provided the investment is for the same folio with the same AMC and within the monetary limit set up in your e-OTM.

  7. I have already registered an e-OTM with my bank. However, I plan to change my bank. Will my e-OTM still be valid?

    In this case you need to cancel your old e-OTM and register a fresh e-OTM with your new bank. Please note that this is possible only if your new bank is also a participating bank for e-OTM facility.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

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