Many people don't know that they can stop their SIP anytime. There is no penalty charge for SIP stoping or cancelling your investment. SIPs can be paused for a specific period of time.
It is very easy to stop your SIP. The user needs to download SIP Cancellation Form and the SIP Pause form must be filled out by the investor.
The investor needs to submit it to particular Mutual Fund Company or your Distributor/Broker of mutual funds or the Registrar of that Mutual Fund. The form can be downloaded from the mutual fund website.
Steps to follow:
1. Download SIP Cancellation Form from the website and print it on A4 Page.
The start date and end date of the pause must be clearly mentioned in the form. The form asks for details of the existing SIP, investor's name and folio number. After filling the following details you need to sign it, all unit holders are required to sign the SIP Pause form.
You need to fill up the following details:
- Applicants Name
- Pan Nos
- Folio No.
- SIP Period: Start Date and End Date
- SIP Amount
- Bank details of ECS deducted
3. After signing the document submit this SIP Cancellation Form to Mutual Fund House or Registrar of the fund or your Distributor / Broker / Advisor/Consultant Agent.
4. The applicant can also track his or application. To track the status of your SIP Cancellation application form, you need to keep a copy of SIP Cancellation Form and the Acknowledgement Slip.
5. After submitting your request it takes approximately 30 days to Stop SIP ECS.