siphow-to

Can i pay mutual fund SIP through credit card?

When I make payment through Groww, I do not see credit card option. How can I do payment with the credit card?

Asked
Groww

No. you cannot invest in mutual funds through credit card. Currently regulations do not allow you to do so. Considering the high interest rates on credit cards, it is also not advisable to invest in mutual funds through credit card.

Vikas

You can then take loan against your mutual fund investments. You use the loan amount to part repay credit card debt. So, you see the problem.


Btw, Credit card debt is evil. At 3% per month, this is about ~42% per annum. I have even taken late processing fees and service tax into account. No investment instrument can give you these kind of returns. So, even if it was allowed, it makes little sense to invest in MFs by paying from credit card.

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