What happens to the SIP instalment if the bank is closed on the SIP due date?

I want to know how my SIP instalment will be processed if the SIP due date falls on Saturday or Sunday or any other public holiday when either the market or the bank is closed.

Asked
Mridul Agrawal

SIP transactions are processed by Bombay Stock Exchange (BSE). In case there is a holiday in BSE, the SIP transaction will happen on the next day.

This basically means that the amount will get debited from investor’s bank account on the next day even if the bank is open. On the other hand, if the Bombay Stock Exchange is open and bank is closed on a particular day then the transaction will take place on that day i.e SIP amount will be deducted from investor’s bank account on that particular day.  


You can read more about SIP here : Link.

Difference between SIP and Lumpsum here : Link.

Ankit

SIP transactions are processed by Bombay Stock Exchange (BSE). In case there is a holiday in BSE, the SIP transaction will happen on the next day. This basically means that the amount will get debited from investor’s bank account on the next day even if the bank is open. On the other hand, if the Bombay Stock Exchange is open and bank is closed on a particular day then the transaction will take place on that day i.e SIP amount will be deducted from investor’s bank account on that particular day.  

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