EPF account can now be transferred online

Employees’ Provident Fund Organisation has now started the online transfer of your old employer EPF account to your new EPF employer account. The procedure to do so is as follows:

  • You must have an online registered account in the EPFO site.
  • You will then need to apply for the transfer of account by first visiting the online transfer claim portal.
  • Your previous employer and your present employer must be available on the EPFO database.
  • Employer must have a digital signature process of EPFO.
  • You can check your eligibility for transfer by visiting OTCP site.
  • Remember that you will not be able to edit the personal details such as your joining date or exit date.
  • If you do find any discrepancy in the details mentioned, you can edit by clicking on the tab ‘The following information is incorrect’. Once you have made the changes, print out the PDF and self-attest it and then submit it to the EPFO office through your current employer.
  • Submit for transfer once the rectifications are done.
  • You can change your date of birth but there is a restriction to attempting the change. You can do changes only 3 times.
  • If both your previous and current employers have registered digital signatures with EPFO, then you can submit the claim form with either your previous r current employer for employer attestation.
  • If your previous employer is not registered, then the transfer will take time as the process of verification data has to be done.
  • Online transfer can be done if the previous employer is registered with EPFO for digital signature.
  • Present employer registration is also mandatory for the online transfer.
  • Once the submission is done, you will have to take a printout of the same and submit with employer with self-attestation.
  • The submit claim form has to be submitted with your employer within 15 days of online submission.
  • If there has been any rejection from the employer then it will be notified after 15 days.
  • The status of claim can be viewed online.
  • The reasons for rejecting your claim can be if the claim has already been submitted previously and EPFO has not yet rejected it or you have not submitted the signed online claim transfer form within the stipulated 15 days or the records are a mismatch or if your signature is a mismatch.

What is the Right type of Mortgage Loan?

The most important decision one takes is to decide if he wants to take the mortgage loan or not. After which comes the big question, which type of mortgage loans is best suitable for you. The following are the different types of mortgage loans:

Conventional or conforming mortgage loan:

This is a fixed rate mortgage loan that is most commonly sought after. It is easier finding a lender if you want a conforming mortgage loans.it doesn’t matter if the mortgage loan is an adjustable mortgage loan or a fixed rate loan. It is found that borrowers are choosing fixed mortgage rate than other loan products. The common life term of a mortgage loan is 30 years. Here the borrower will be paying lower monthly payments. The 30 year term is available for conventional, jumbo, FHA and VA loans. Whereas a 15 year mortgage loan is the most expensive way to go and you must opt for the 15 year term only when you know you can afford to make larger monthly payments. In a 30 year term, you will be paying more interest but your monthly payment is low but in a 15 year term, you will be paying more principal and less interest.

Now 40 year term loans are also available for conventional and jumbo loans. But you will be paying more interest over time.


Apply for Mortgage Loans Online

Fixed rate mortgage loan:

Here the interest rate remains fixed throughout the lifetime of the loan. Suitable for first time homebuyers.

Variable rate mortgage loan:

The variable rate mortgage will fluctuate over time. If you are a first time homebuyer, then you will be taking a risk on the variable rate. And you must refinance it to a fixed rate at the earliest.

Adjustable rate mortgage loan:

Here the interest rate is fluctuating.

Refinance mortgage loan:

This is a popular option and it helps increase your monthly disposable income. Refinance only if you are looking for a lower interest rate on your mortgage. Stay informed on the interest rate and act fast to lock on the reduced interest rate.

Fixed rate second mortgage loan:

This is perfect for those who want to make improvements to the home, pay for the college tuition or other such large expenses. This loan is available when there is already a mortgage on the property. The interest may be higher on the second mortgage loan when compared to the first mortgage loan.

Interest only mortgage loan:

This is very effective to a very few individuals. You must consider the amount of time that you will be at home and then you take a calculated risk that the property’s price will increase by the time you decide to sell it. If your plans are changed and if you are going to be staying for a longer period in the house, then you must consider a strategy to include a new mortgage.

Reverse mortgage loan

This loan is offered to those above the ages of 62 years and who already have a mortgage. This is based on the equity in the home. The loan provides you a monthly income but in turn you are reducing your equity ownership.

Bad credit mortgage loan:

This is a loan offered to those having a bad credit score. This loan will help you get a mortgage loan despite you having a bad credit score.

Compare the rates that are being offered to you by the bankers and then decide which type of mortgage loan suits your needs.

What is EPF Universal Account Number

Employee Provident Fund is the most popular investment tool for the salaried individuals. This is solely maintained by the Employees Provident Fund Organisation of India. Any company with more than 20 employees will have to register with EPFO.

Employee Provident Fund has launched a UAN (Universal Account Number) for its members where they can download the online passbook, update their profile, transfer account or even view previous details.

UAN is a unique number that is provided to the members under which you will have multiple IDs allotted by the employer that can be tracked. To avail the facility to view your profile, make changes in your profile, download online passbook or to request for a transfer, you will have to create a login by visiting the UAN homepage.


The advantages of creating a UAN login is as follows:

  • You will be able to download and print out your latest passbook. You get the passbook in a PDF format.
  • You can download and print out your UAN card.
  • You can check your member IDs under your UAN. All your member IDs allotted by your previous employer will be available in one place. This simplifies your EPF details and you can also further check if you are eligible for the transfer or not. In the future, there will be no need for further member IDs, only your UAN number is enough to track your EPF details.
  • You will be able to file and view transfer claim.
  • If there has been a wrong entry in your profile, you can update it yourself.
  • You can further update your mobile number, email ID and can also submit the documents required for Know Your Customer.

For logging in to access your EPF details you have to follow the following process:

  • Activate your UAN based registration
  • Enter your UAN mobile number and member ID
  • Get your PIN and submit it
  • Then your UAN credentials will be verified.
  • The user name will be your UAN number
  • You will then have to create a password
  • Finally you will be registered on the UAN portal

To further clarifies any queries you can contact EPFO. The helpdesk contact number is 1800 118 005 and the helpdesk email ID  is uanepf@epfindia.gov.in.


Eligibility Criteria for MUDRA Loan

This article contains information on the eligibility criteria for banks as well as final borrowers under the MUDRA Yojana loan scheme.

Banks and NBFCs

Below are listed the specific requirements for different kinds of banks, NBFCs, and other lenders Mudra Loan Eligibility for disbursing loans under the MUDRA scheme.

  1. Scheduled Commercial Banks:

All Scheduled Commercial Banks with:


Mudra Loan Eligibility Criteria

  • A minimum net worth of Rs.100 crore.
  • No less than 9% CRAR.
  • Net NPAs not exceeding 3%.
  • Continuous profit track record of at least 3 consecutive years.
  1. Regional Rural Banks:

All restructured Regional Rural Banks with:

  • Net NPA not exceeding 3%.
  • No less than 9% CRAR.
  • No accumulated losses carried forward.
  • Profitable operations for a period determined on a case to case basis.
  1. MFIs / Small Business Finance Companies / NBFCs:

Microfinance Institutions (MFIs) / Small Business Finance Companies (SBFCs) / Non-banking Financial Institutions (NBFCs) that have:

  • Record of lending loans of up to Rs.10,00,000 in value for a minimum of 3 consecutive years.
  • Been lending such loans to Own Account Enterprises.
  • Promoters / management that has at least 10 years of experience in this field.
  • A minimum reach to at least 3,000 existing borrowers (in the case of Microfinance Institutions (MFIs).
  • Established suitable processes, systems, and procedures in place to conduct the business of lending.
  • Internal accounting, risk management, MIS, cash management, internal audit processes must be established.
  • Met the minimum CRAR norms set by the RBI for the above lender categories.
  • Registered with the RBI.
  • Membership with Credit Bureau.

Recovery requirements

  • MFIs must have a “Portfolio at Risk (overdue more than 30 days)” number of less than 5%.
  • Other lenders must have a net NPA of less than 3%.

Rating requirements

  • MFIs and NBFC-MFIs must have a minimum Capacity Assessment Rating of at least mfr5 (or equivalent score) by CRISIL (or equivalent body).
  • NBFCs with a total portfolio of under Rs.500 crore must have a minimum External Credit Rating of at least BB-.
  • NBFCs with a total portfolio of over Rs.500 crore must have a minimum External Credit Rating of at least BBB+.
  • NBFCs without External Credit Ratings must show evidence of at least 2 years of suitable borrowing arrangements from a Scheduled Commercial Bank.


Listed below are the eligibility requirements for borrowers under the MUDRA loan scheme.

The MUDRA financing option will be available to all non-farm enterprises who fall under the Micro-enterprises and Small-enterprises segments, who are engaged in income generating activities, or manufacturing and trading services and who require credit of up to Rs.10,00,000.

The Who and What of Trade Finance

The world is no longer a mix of isolated countries, as modern advancements and connectivity have made it into a global village, where people can traverse the length and breadth of our beautiful planet. Trade was perhaps the biggest factor which helped improve global connectivity, bringing people into contact with new cultures and traditions. A major part of trade today, is finance, making trade finance a key term which influences the way our world functions.

Trade Finance – What is it?

The single biggest factor which impacts trade is money, and lack of finances would result in a trade which accomplishes nothing. Trade typically involves exchange of goods or services between two people, the seller and the buyer. Trade finance is a banking term which essentially describes the financial relationship which exists between the parties concerned in a particular trade activity.

Example – Mr. Ram is a fruit exporter from India who mainly exports his produce to Australia. The importer in Australia is Mr. Lee, who has been purchasing these fruits for the last 6 months. Now, since there is no history associated between these two, it is unlikely that either of them will let go of the fruits or the money until a financial agreement is reached. Towards this end, Mr. Lee’s bank provides a letter of credit to Mr. Ram, stating that payment will be initiated as soon as the fruits land in Mr. Lee’s possession, thereby financing trade. Conversely, Mr. Ram could take a loan from his bank to finance this export based on the letter from Mr. Lee.

Trade Finance – Who provides it?

Trade is a lucrative profession, helping the economy of a country grow to new heights. Now, not all countries are equally blessed with natural resources or commodities, making trade the only way for them to enjoy certain products. Trade finance offers a chance for a number of entities to indirectly participate in this growth, helping them ride the global wave towards success. Estimates indicate that billions of dollars’ worth of trade takes place on a daily basis, offering a great opportunity for enterprising organizations.

Some of the major providers of trade finance are mentioned below.

  • Banks – Banks are, without doubt the most preferred destination for people involved in trade. Almost all major banks offer this service, albeit at a slight cost, but their reputation and quality have ensured that people still come to them for financial support.
  • Trade houses – There are a number of organizations which finance trade and while they might charge more than banks, it is also possible to avail funds easily.
  • Government agencies – A number of countries have government backed agencies to help finance trade.
  • Suppliers – Sometimes the supplier can choose to offer a line of credit to the seller, thereby assisting in trade.
  • Buyers – If a strong relationship exists between a seller and a buyer it is possible to get financial assistance based on word of mouth.

Trade Finance

Trade Finance – Who use it?

The world exists on the “Give and Take” formula, and for every service provider we have a corresponding user. The major users of trade finance include individuals who are directly involved in trade, for whom this finance means the difference between success and failure. Some of the common users of trade finance are mentioned below.

  • Goods manufacturers – Manufacturing is a lucrative industry which essentially survives on credit. Manufacturers rely on trade finance to get the raw material for their business.
  • Importers – An importer deals with a large quantity of products, and relies on delivery of the product to make any money.
  • Producers – Producers also rely on trade finance to meet their daily requirements.
  • Exporters – Exporters rely on trade finance to get an assurance that the goods they send will be paid for, thereby helping them sustain their business.

Take a Home Improvement Loan this Festive Season

Festival times are the times when you want to renovate your house and make other necessary changes. You want to make improvements to your house but don’t have enough fund for it, then you can opt for home improvement loans to renovate, remodel, paint or fix the repairs of your house to construct another floor.

Home improvement loans are specifically given to renovate a house. The loan is given to the person under whose name the property is in. the maximum tenure of the loan is 15 years and the current interest rates range from 9.5 to 10% per year. The interest rate depends on the amount of loan needed, the lender and it is based on the eligibility criteria of the person applying for the loan.

Most lenders fund close to 80% of the amount required towards the renovation or extension of the house. The higher the amount you require, lower the amount that will be funded. If you are applying for a home improvement loan at HDFC, and the loan request is up to Rs.20 lakhs, you will get a funding of up to 90% of the amount you require. If the amount that you require is between Rs.20 lakh to Rs.75 lakh, then the bank will fund up to 80% of the amount that you require. If you need funding of over Rs.75 lakh, then you will get funding up to 75% of the amount. But if you have already taken a home loan from HDFC, and you want to make improvements on the property, then the loan amount that is sanction is up to 100% of the amount that you require provided that the cost of the repairs or renovation is not more than 80% of the property’s market value.

The processing fee for the home improvement loan ranges from 0.5% to 1% of the loan amount. You can avail tax exemption under Section 24(b) of the Income Tax Act, 1961. The owner and the co-owner will be eligible for tax deduction on the interest paid. The exemption limit is Rs.2 lakh. The Reserve Bank of India forbids banks from imposing prepayment penalty on the home improvement loan.


Apply for Home Renovation Loan

The procedure is quicker if you approach the bank where you have an existing home loan, as all the required documents will be with the lender. But you need to know that the property will act as a collateral for this loan.

While applying for the home improvement loan, you will be required to submit your income certificate, property documents and also an Architect’s certificate is taken that includes the details of the work that is to be carried out. The home improvement loan amount disbursement is faster for salaried borrowers than it is for those who are self-employed.

You don’t have to wait till you have collected funds to renovate your home. Take the home improvement loan and fix the house the way you want it.

Ways to Fund Your Start-up Business

In case you are thinking of starting up a new business venture, it is essential to research on different ways of funding. Before you approach a bank, financial institution or any other source for finance, have a concrete plan of what your business is going to be. This will pave way for getting funds for your venture. A lack of plan and funds can make a possible business go unsuccessful. Here are some sources from where you can get funds to finance your business:

  • Local Bank

Usually local banks in the city are the first go-to when it comes to getting a loan to fund a start-up. Every bank has its set of rules when it comes to lending a sum for any business. The bank may need to verify a few details such as your business plan, proposed income, assets you are planning to invest in, your credit score, etc. before offering the loan. You may not get a large business loan if you have a bad credit history. Hence, before approaching any bank for funds, clear your dues and maintain a good credit score.

  • Small Business Association

You can also avail funds for your start up from SBA. If you maintain a good credit score and are backed up by the SBA, then it will be easier for you to avail finance from any bank. A guaranteed bank note from SBA can help you get small business loans from banks, SBA 504 loan program can be availed for the land or equipment of your business.


Ways to fund your start-up business

  • Angel Investors

Angel investors are nothing but private investors who invest their money in new ventures. Though they prefer investing in a large business, there are a few who willingly fund start-ups and smaller businesses. So if your business idea is truly promising, then you can be funded by an angel investor.

  • Credit Cards

You can apply for credit cards in order to fund your new venture, however, there are risks involved if you aren’t sure of your venture’s earnings. In case your business’s income is lesser than the monthly credit card payment, you could get into a debt. Hence, it is necessary to weigh all possible options if you are planning to obtain credit cards.

  • Family and Friends

You can also approach your friends and family to help you with your start-up venture. However, ensure that both the parties sign up notarized contracts, just for security.

A concrete plan and reliable contacts will help you gain the much-needed funding for your business.