Financial News – The NewsX

No Fee for UPI, Debit Card Loading in PayZapp, But Credit Cards to Cost More

Mon, 09 Dec 2024 05:05:44 +0000

New Delhi: HDFC Bank has announced significant changes to its PayZapp Wallet rules, which will come into effect from January 6, 2025. Users who load their PayZapp Wallet using a credit card will face increased charges, signaling a notable update for customers who rely on this feature for utility bill payments and other transactions.

Increased Charges for Credit Card Loading

Currently, users pay a 1.5% charge for loading funds into the PayZapp Wallet with a credit card. However, starting January 6, this fee will rise to 2.5% plus GST. In contrast, loading money via UPI or debit card will remain free of charge.

The bank has notified customers of this change through SMS and updated details on its official website. PayZapp Wallet, a mobile application by HDFC Bank, facilitates a variety of financial transactions, including online shopping, utility bill payments, mobile recharges, and ticket bookings.

Transfer to Bank Accounts Made Free

On a positive note, starting January 6, transferring funds from the PayZapp Wallet to a savings account will be free. Currently, such transfers incur a charge of 1% plus GST.

Previous Changes in 2024

HDFC Bank had previously revised its PayZapp Wallet policies on August 1, 2024. Before that date, there was no charge for loading funds into the wallet via credit card. From August 1, a 1.5% plus GST charge was introduced for credit card-based fund loading.

Key Takeaways for Users

Credit Card Loading Charges: Increased to 2.5% plus GST starting January 6, 2025.
UPI and Debit Card Loading: Remains free.
Wallet to Bank Transfer: Free from January 6, 2025.

These changes are likely to impact users who rely on credit cards to load their PayZapp Wallet and perform regular transactions. It’s advisable to plan accordingly to avoid incurring higher charges.

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Government Aims for Exponential Growth: GST and Income Tax Figures Projected to Reach 10 Crores in Two Years

Sat, 03 Feb 2024 03:48:37 +0000

Revenue Secretary Sanjay Malhotra said that there is full scope for increase in both GST and Income Tax and the government is moving in this direction by using technology. He believes that in the next two years the number of people filing Income Tax Returns (ITR) can touch the level of 10 crores. In the current financial year 2023-24, the number of people filing ITR has crossed the figure of eight crore.

Estimate of 13 percent increase in direct taxes

He said that in the coming financial year 2024-25, direct tax is expected to increase by 13 percent and indirect tax by 12.5 percent and accordingly, the total tax collection will increase by 11.5 percent in the next financial year. Malhotra said that currently it is being seen that there is no match between the sale of the item and the purchase of the item. Purchases are not shown as much as sales of the item are shown.

1.85 lakh crore figure in the financial year

This matching is not happening due to some legitimate and some illegitimate reasons. We will stop this. Right now many items are not under the purview of GST, we will try to bring them also. The average monthly collection of GST in the current financial year is Rs 1.68 lakh crore which may cross Rs 1.85 lakh crore in the next financial year.

On the expectation of taxpayers getting more exemption in income tax under the new income tax system, Malhotra said that only last year, tax exemption was announced under this system. It’s been just one year now. Its impact will have to be seen for some time for tax stability.

Changes can be made in import duty in the full budget

Reduction in import duty on many manufacturing related items was expected in the budget. But when asked about this not happening, the Revenue Secretary said that in the full budget to be presented in July, changes can be made in the import duty of goods as per the need. He said that just a day before the budget, we had announced reduction in import duty of mobile phone parts.

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SBI and Union Bank Increase FD Rates for Better Returns, Senior Citizens Benefit

Thu, 28 Dec 2023 05:50:19 +0000

State Bank of India (SBI) and Union Bank have hiked interest rates on fixed deposits (FDs) of less than two crore rupees by up to 0.50%. The increased rates on select tenure FDs have come into effect from December 27 for both banks. SBI stated that FDs ranging from seven days to 45 days will now yield an additional interest of 0.50%, resulting in a total of 3.50% interest. FDs ranging from 46 days to 179 days will offer an extra 0.25% interest, totaling 4.75%. The highest interest of seven percent will be provided on FDs with durations of two to three years.

This move is aimed at providing senior citizens with higher returns on their investments. Union Bank of India announced an increase of up to 0.25% on FD interest rates. According to the bank, deposits held for seven to 14 days will now accrue three percent interest. Meanwhile, deposits ranging from 121 days to 180 days will earn an interest of 4.4%, and those held for a year will yield 6.30%. The bank has further declared that its customers will receive seven percent interest on deposits held for 399 days, while FDs with tenures spanning five to ten years will yield 6.70% interest. Both SBI and Union Bank of India have confirmed that senior citizens will receive an additional 0.50% interest on FDs.

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RBI Introduces New Rules to Enhance CIBIL Score Transparency and Customer Benefits

Sun, 29 Oct 2023 03:18:33 +0000

The Reserve Bank of India (RBI) has introduced five new rules related to the Credit Information Bureau (CIBIL Score). Many complaints had arisen regarding credit scores, prompting the central bank to tighten regulations. These rules will come into effect from April 26, 2024. In April, RBI had issued a warning regarding the implementation of these rules. Here are the details about these rules:

Notification of Credit Check: RBI has mandated that all credit information companies must notify customers when their credit reports are checked by banks or NBFCs. This notification can be sent via SMS or email. This rule aims to address complaints related to credit scores.

Disclosure of Rejection Reasons: If a customer’s request is rejected, the RBI requires that the reason for rejection must be disclosed to the customer. This will help customers understand why their request was rejected. A list of reasons for rejection should be shared with all credit institutions.

Free Annual Full Credit Report: Credit information companies are required to provide customers with a free full credit report once a year. To facilitate this, credit companies should display a link on their websites, allowing customers to easily check their full credit reports. This will help customers access their CIBIL Score and complete credit history.

Notification of Defaults: Before reporting a default, banks and lending institutions must notify the customer. They should send SMS or email notifications sharing all relevant information. Additionally, banks and lending institutions should appoint nodal officers to address credit score-related issues.

Timely Resolution of Complaints: Credit information companies must resolve customer complaints within 30 days. Failure to do so will result in a daily penalty of INR 100. Banks and lending institutions have 21 days to inform the credit bureau, and credit bureaus have 9 days to resolve the complaint. If any of these deadlines are not met, penalties will be imposed.

These rules are aimed at making the credit reporting system more transparent and customer-friendly. They provide guidelines for reporting credit information and resolving disputes, ultimately benefiting consumers.

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