Mutual Funds simplify investing by offering a diversified portfolio, strategic risk-based investments, and long-term wealth-building potential for financial empowerment.
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About Credit Card
How can I update Insurance Nominee details?
Click here to update your Nominee details
Credit Card Eligibility
Here are the eligibility criteria for getting an instant Credit Card from ICICI Bank:
Minimum Age: 21 years
Applicant Type |
Minimum Annual Income |
Salaried & Self-employed |
₹ 2,40,000 (as per ITR) |
Things to know before applying for a Credit Card
- Choose the right card
Different Credit Cards cater to different needs, so choosing the right card is essential. Consider factors such as the interest rate, annual fees, reward points, and cashback offers when selecting a card.
- Understand the billing cycle
The billing cycle is the period between two statement dates. It's essential to understand the billing cycle to avoid late payment charges and interest charges.
- Pay your bills on time
Late payments can negatively impact your credit score and result in late payment charges and interest charges.
- Avoid maxing out your credit limit
It's advisable not to use your entire credit limit. Using more than 30% of your credit limit can negatively impact your credit score.
- Keep track of your expenses
It's important to keep track of your expenses to avoid overspending and to pay your bills on time.
Tips For Secure Credit Card Usage
Use your Credit Card from reliable and trusted merchants
Set up alerts for transactions to detect any fraudulent activity
Always check your Credit Card statement for any discrepancies
Never save your card information on any websites
Use strong, unique passwords and never share your Credit Card information with anyone
Never use your Credit Card on public WiFis or unsecured transactions
In case of fraud or theft, report the same at the earliest to avail the Card Protection Plan
Credit Card Fees & Interest Rates
Are you familiar with the charges applicable on your Credit Card transactions? Let’s find out more about the six common types of Credit Card charges:
| Joining/Annual Fee | The Joining Fee is an initial cost to own the Card. It varies from bank to bank and on the type of card you apply for. It is usually followed by an Annual Charge. |
|---|---|
| Interest Charge | Interest Charges are levied on all new transactions and on outstanding dues, due to non-payment by the due date. The maximum charge is 3.75%, per month. |
| Late Payment Fee | If you are unable to pay the outstanding amount, the Bank will notify you to pay the minimum amount. In case you fail to pay the minimum amount, a late payment fee is charged. |
| Foreign Transaction Fee | Although some Credit Cards are accepted globally, you will still have to incur an extra transaction fee if you are swiping in a foreign country. It is usually around 3.50% and is charged as a percentage of the transaction amount. |
| Over-the-Limit Fee | You are assigned a credit limit based on the type of Credit Card. If you spend beyond the threshold limit, your Bank will charge an Over-the-Limit Fee which can be around 2.50% on the over-limit amount. |
| GST | The Goods and Service Tax or GST is applicable on all Credit Card transactions. Presently, the GST rate for banking and financial services is at 18%. |
Benefits of updating Mobile number and E-mail ID
To keep your Credit Card Account secure and to receive important updates, please ensure that your mobile number and e-mail ID are correctly updated.
- Receive instant alerts of any suspicious or unauthorised transactions that are carried out using your Credit Card
- Get real-time updates for all your transactions
- Updates on personalised offers, upgrades etc.
- Credit Information Companies (CICs) shall send alerts through SMS/ email when your Credit Information Report (CIR) is accessed
- Receive alerts from the Bank whenever information regarding your existing account is reported by the Bank to the Credit Information Companies (CICs)
What are the main types of Credit Cards?
The main types of Credit Cards are Platinum, Coral, Rubyx, Sapphiro and Emeralde Credit Cards. You can learn more about several other Credit Cards for travel, lifestyle, shopping and more like Amazon Pay ICICI Bank Credit Card, MakeMyTrip ICICI Bank Credit Card, Adani One ICICI Bank Credit Card and Emirates Skywards Credit Card by exploring the ICICI Bank website.
How can I apply for a Credit Card online?
You can apply for a Credit Card online by visiting the ICICI Bank website and selecting a Card that best suits your needs. Make sure to check the eligibility criteria. Fill in your details in the application form. You can also visit any ICICI Bank Branch in person, where a representative will help you throughout the process. Don't forget to have your documents like ID proof, address proof and income statements handy.
Why should I apply for an ICICI Bank Credit Card?
The top reasons to apply for an ICICI Bank Credit Card are:
- A wide variety of Credit Cards are available from ICICI Bank to suit your lifestyle
- Get exclusive deals and discounts on a variety of products and services throughout the year
- Take advantage of discounts, reward points and exclusive savings on dining, shopping, travel and more
- Be assured that all your transactions are secure, including everyday spends, online purchases, bill payments and more
How can I increase the credit limit using the iMobile?
You can increase your credit limit on the iMobile by navigating to the ‘Credit Card’ section for the limit increase option. In case of any queries, feel free to reach out to the Customer Care team at 1800 1080.
What is minimum due on a Credit Card?
The minimum due is the smallest amount you need to pay by the due date to avoid late payment fees. It is calculated at around 5% of your total outstanding balance, plus any EMI instalments, interest, fees or overdue amounts.
Will paying the minimum due amount save me from a penalty?
Yes. Paying only the minimum due amount will avoid penalties. However, it will lead to interest charges on the remaining balance.
How to use a Credit Card from ICICI Bank for in-store purchase?
To use your ICICI Bank Credit Card for in-store purchases, just swipe or tap your Card on the Card machine and enter your PIN.
Note: Always keep your Card secure and monitor transactions regularly.
How can I pay the bill for my ICICI Bank Credit Card?
You can pay your ICICI Bank Credit Card bill in multiple ways, including Internet Banking, the iMobile, Auto Debit, NEFT, UPI or by visiting any ICICI Bank Branch or ICICI Bank ATM.
How can I know the due date of my ICICI Bank Credit Card?
You can find the due date of your ICICI Bank Credit Card on your monthly statement, in the iMobile, through Internet Banking or by contacting Customer Care at 1800 1080.
What is the lowest Credit Card limit?
The lowest limit on a Credit Card varies depending on the card issuer. You need to contact the ICICI Bank Customer Service on 1800 1080 to know more.
How can I see my Credit Card number online?
To find your ICICI Bank Credit Card number online, log in to iMobile or Internet Banking and view your details.
How can I redeem my Credit Card Reward Points?
You can experience seamless redemption of Rewards Points with ICICI Bank. First, log in to ICICI Bank Internet Banking or iMobile. In the rewards section, you can redeem your ICICI Bank Reward Points across multiple categories such as Electronics, Lifestyle, Luxury, Shopping & Travel.
Blogs and Videos
How do I apply for Instant Credit Card on iMobile app?
How do I apply for Instant Credit Card on Netbanking?
Credit Card Services on ICICI Internet Banking
Take a word from our Customers
-
S4.2
Sharad Kapoor
ICICI Bank's Coral Credit Card has been my financial companion for years. The rewards program offers great value, and the discount.
-
R4.5
Rishab Jain
I can't say enough good things about ICICI Bank's Amazon Pay Credit Card. The cashback rewards on Amazon purchase.
-
A5
Apratim Singh
I have been using ICICI Credit cards ever since I started earning more than 10 years ago. Over the years they have helped me fulfill the dreams of my family by always being there when I needed financial assistance.
Kudos to the ICICI team for keeping true to their tagline"Khayal apka".
Filter
By Categories
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Outstanding Luxury Rewards
Emeralde Private Metal Credit Card
-
Unparalleled Privileges for a Life of Luxury
Times Black Credit Card
-
Luxurious Lifestyle
Emeralde Credit Card
-
-
Premium Lifestyle Offers
Sapphiro Credit Card
-
High-End Lifestyle Perks
Rubyx Credit Card
-
Everyday or On-The-Go Spends
Coral Credit Card
-
Rewards on Everyday Spends
Platinum Chip Credit Card
-
Top-Notch Airport Experience
Adani One Signature Credit Card
-
Premium Travel & Stay Perks
Adani One Platinum Credit Card
-
Travel Enthusiasts Seeking Value and Flexibility
MakeMyTrip Credit Card
-
High-End Flying Perks
Emirates Emeralde Credit Card
-
Luxury Travel and Lifestyle
Emirates Sapphiro Credit Card
-
Frequent Flyers
Emirates Skywards Rubyx Credit Card
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Unmatched Savings on Fuel
HPCL Super Saver Credit Card
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Automobile Associated Benefits
HPCL Coral Credit Card
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Custom Design Credit Card
Expression Credit Card
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Rewards on Amazon Purchases
Amazon Pay Credit Card
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Football Enthusiasts
Manchester United Signature Credit Card
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Football Enthusiasts
Manchester United Platinum Credit Card
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Frequent Holiday Goers
MakeMyTrip Signature Credit Card
-
Attractive MakeMyTrip Benefits
MakeMyTrip Platinum Credit Card
-
Cricket Enthusiasts
Chennai Super Kings Credit Card
-
Ideal for Indian Defence & Paramilitary Personnel
Parakram Select Credit Card
-
Defence Personnel
Parakram Credit Card
-
Outstanding Luxury Rewards
Emeralde Private Metal Credit Card
-
Unparalleled Privileges for a Life of Luxury
Times Black Credit Card
-
Luxurious Lifestyle
Emeralde Credit Card
-
Premium Lifestyle Offers
Sapphiro Credit Card
-
High-End Lifestyle Perks
Rubyx Credit Card
-
Everyday or On-The-Go Spends
Coral Credit Card
-
Rewards on Everyday Spends
Platinum Chip Credit Card
-
Rewards on Amazon Purchases
Amazon Pay Credit Card
-
Top-Notch Airport Experience
Adani One Signature Credit Card
-
Premium Travel & Stay Perks
Adani One Platinum Credit Card
-
Travel Enthusiasts Seeking Value and Flexibility
MakeMyTrip Credit Card
-
High-End Flying Perks
Emirates Emeralde Credit Card
-
Luxury Travel and Lifestyle
Emirates Sapphiro Credit Card
-
Frequent Flyers
Emirates Skywards Rubyx Credit Card
-
Frequent Holiday Goers
MakeMyTrip Signature Credit Card
-
Attractive MakeMyTrip Benefits
MakeMyTrip Platinum Credit Card
-
Outstanding Luxury Rewards
Emeralde Private Metal Credit Card
-
Unparalleled Privileges for a Life of Luxury
Times Black Credit Card
-
Luxurious Lifestyle
Emeralde Credit Card
-
Premium Lifestyle Offers
Sapphiro Credit Card
-
High-End Lifestyle Perks
Rubyx Credit Card
-
Everyday or On-The-Go Spends
Coral Credit Card
-
Top-Notch Airport Experience
Adani One Signature Credit Card
-
Premium Travel & Stay Perks
Adani One Platinum Credit Card
-
Travel Enthusiasts Seeking Value and Flexibility
MakeMyTrip Credit Card
-
High-End Flying Perks
Emirates Emeralde Credit Card
-
Luxury Travel and Lifestyle
Emirates Sapphiro Credit Card
-
Frequent Flyers
Emirates Skywards Rubyx Credit Card
-
Frequent Holiday Goers
MakeMyTrip Signature Credit Card
-
Attractive MakeMyTrip Benefits
MakeMyTrip Platinum Credit Card
-
Ideal for Indian Defence & Paramilitary Personnel
Parakram Select Credit Card
-
Defence Personnel
Parakram Credit Card
-
- Investments in stocks
- High long-term returns
- Compound Interest Advantage
- Tax benefits
-
BEST FOR
Comprehensive business banking solutions
Gold Business Debit Card | Built-in Trade Pricing
- Investments in stocks
- High long-term returns
- Compound Interest Advantage
- Tax benefits
About Credit Card
How can I update Insurance Nominee details?
Click here to update your Nominee details
Credit Card Eligibility
Here are the eligibility criteria for getting an instant Credit Card from ICICI Bank:
Minimum Age: 21 years
Applicant Type |
Minimum Annual Income |
Salaried & Self-employed |
₹ 2,40,000 (as per ITR) |
Things to know before applying for a Credit Card
- Choose the right card
Different Credit Cards cater to different needs, so choosing the right card is essential. Consider factors such as the interest rate, annual fees, reward points, and cashback offers when selecting a card.
- Understand the billing cycle
The billing cycle is the period between two statement dates. It's essential to understand the billing cycle to avoid late payment charges and interest charges.
- Pay your bills on time
Late payments can negatively impact your credit score and result in late payment charges and interest charges.
- Avoid maxing out your credit limit
It's advisable not to use your entire credit limit. Using more than 30% of your credit limit can negatively impact your credit score.
- Keep track of your expenses
It's important to keep track of your expenses to avoid overspending and to pay your bills on time.
Tips For Secure Credit Card Usage
Use your Credit Card from reliable and trusted merchants
Set up alerts for transactions to detect any fraudulent activity
Always check your Credit Card statement for any discrepancies
Never save your card information on any websites
Use strong, unique passwords and never share your Credit Card information with anyone
Never use your Credit Card on public WiFis or unsecured transactions
In case of fraud or theft, report the same at the earliest to avail the Card Protection Plan
Credit Card Fees & Interest Rates
Are you familiar with the charges applicable on your Credit Card transactions? Let’s find out more about the six common types of Credit Card charges:
| Joining/Annual Fee | The Joining Fee is an initial cost to own the Card. It varies from bank to bank and on the type of card you apply for. It is usually followed by an Annual Charge. |
|---|---|
| Interest Charge | Interest Charges are levied on all new transactions and on outstanding dues, due to non-payment by the due date. The maximum charge is 3.75%, per month. |
| Late Payment Fee | If you are unable to pay the outstanding amount, the Bank will notify you to pay the minimum amount. In case you fail to pay the minimum amount, a late payment fee is charged. |
| Foreign Transaction Fee | Although some Credit Cards are accepted globally, you will still have to incur an extra transaction fee if you are swiping in a foreign country. It is usually around 3.50% and is charged as a percentage of the transaction amount. |
| Over-the-Limit Fee | You are assigned a credit limit based on the type of Credit Card. If you spend beyond the threshold limit, your Bank will charge an Over-the-Limit Fee which can be around 2.50% on the over-limit amount. |
| GST | The Goods and Service Tax or GST is applicable on all Credit Card transactions. Presently, the GST rate for banking and financial services is at 18%. |
Benefits of updating Mobile number and E-mail ID
To keep your Credit Card Account secure and to receive important updates, please ensure that your mobile number and e-mail ID are correctly updated.
- Receive instant alerts of any suspicious or unauthorised transactions that are carried out using your Credit Card
- Get real-time updates for all your transactions
- Updates on personalised offers, upgrades etc.
- Credit Information Companies (CICs) shall send alerts through SMS/ email when your Credit Information Report (CIR) is accessed
- Receive alerts from the Bank whenever information regarding your existing account is reported by the Bank to the Credit Information Companies (CICs)
What are the main types of Credit Cards?
The main types of Credit Cards are Platinum, Coral, Rubyx, Sapphiro and Emeralde Credit Cards. You can learn more about several other Credit Cards for travel, lifestyle, shopping and more like Amazon Pay ICICI Bank Credit Card, MakeMyTrip ICICI Bank Credit Card, Adani One ICICI Bank Credit Card and Emirates Skywards Credit Card by exploring the ICICI Bank website.
How can I apply for a Credit Card online?
You can apply for a Credit Card online by visiting the ICICI Bank website and selecting a Card that best suits your needs. Make sure to check the eligibility criteria. Fill in your details in the application form. You can also visit any ICICI Bank Branch in person, where a representative will help you throughout the process. Don't forget to have your documents like ID proof, address proof and income statements handy.
Why should I apply for an ICICI Bank Credit Card?
The top reasons to apply for an ICICI Bank Credit Card are:
- A wide variety of Credit Cards are available from ICICI Bank to suit your lifestyle
- Get exclusive deals and discounts on a variety of products and services throughout the year
- Take advantage of discounts, reward points and exclusive savings on dining, shopping, travel and more
- Be assured that all your transactions are secure, including everyday spends, online purchases, bill payments and more
How can I increase the credit limit using the iMobile?
You can increase your credit limit on the iMobile by navigating to the ‘Credit Card’ section for the limit increase option. In case of any queries, feel free to reach out to the Customer Care team at 1800 1080.
What is minimum due on a Credit Card?
The minimum due is the smallest amount you need to pay by the due date to avoid late payment fees. It is calculated at around 5% of your total outstanding balance, plus any EMI instalments, interest, fees or overdue amounts.
Will paying the minimum due amount save me from a penalty?
Yes. Paying only the minimum due amount will avoid penalties. However, it will lead to interest charges on the remaining balance.
How to use a Credit Card from ICICI Bank for in-store purchase?
To use your ICICI Bank Credit Card for in-store purchases, just swipe or tap your Card on the Card machine and enter your PIN.
Note: Always keep your Card secure and monitor transactions regularly.
How can I pay the bill for my ICICI Bank Credit Card?
You can pay your ICICI Bank Credit Card bill in multiple ways, including Internet Banking, the iMobile, Auto Debit, NEFT, UPI or by visiting any ICICI Bank Branch or ICICI Bank ATM.
How can I know the due date of my ICICI Bank Credit Card?
You can find the due date of your ICICI Bank Credit Card on your monthly statement, in the iMobile, through Internet Banking or by contacting Customer Care at 1800 1080.
What is the lowest Credit Card limit?
The lowest limit on a Credit Card varies depending on the card issuer. You need to contact the ICICI Bank Customer Service on 1800 1080 to know more.
How can I see my Credit Card number online?
To find your ICICI Bank Credit Card number online, log in to iMobile or Internet Banking and view your details.
How can I redeem my Credit Card Reward Points?
You can experience seamless redemption of Rewards Points with ICICI Bank. First, log in to ICICI Bank Internet Banking or iMobile. In the rewards section, you can redeem your ICICI Bank Reward Points across multiple categories such as Electronics, Lifestyle, Luxury, Shopping & Travel.
Blogs and Videos
How do I apply for Instant Credit Card on iMobile app?
How do I apply for Instant Credit Card on Netbanking?
Credit Card Services on ICICI Internet Banking
Take a word from our Customers
-
S4.2
Sharad Kapoor
ICICI Bank's Coral Credit Card has been my financial companion for years. The rewards program offers great value, and the discount.
-
R4.5
Rishab Jain
I can't say enough good things about ICICI Bank's Amazon Pay Credit Card. The cashback rewards on Amazon purchase.
-
A5
Apratim Singh
I have been using ICICI Credit cards ever since I started earning more than 10 years ago. Over the years they have helped me fulfill the dreams of my family by always being there when I needed financial assistance.
Kudos to the ICICI team for keeping true to their tagline"Khayal apka".
Filter
By Categories
-
Outstanding Luxury Rewards
Emeralde Private Metal Credit Card
-
Unparalleled Privileges for a Life of Luxury
Times Black Credit Card
-
Luxurious Lifestyle
Emeralde Credit Card
-
-
Premium Lifestyle Offers
Sapphiro Credit Card
-
High-End Lifestyle Perks
Rubyx Credit Card
-
Everyday or On-The-Go Spends
Coral Credit Card
-
Rewards on Everyday Spends
Platinum Chip Credit Card
-
Top-Notch Airport Experience
Adani One Signature Credit Card
-
Premium Travel & Stay Perks
Adani One Platinum Credit Card
-
Travel Enthusiasts Seeking Value and Flexibility
MakeMyTrip Credit Card
-
High-End Flying Perks
Emirates Emeralde Credit Card
-
Luxury Travel and Lifestyle
Emirates Sapphiro Credit Card
-
Frequent Flyers
Emirates Skywards Rubyx Credit Card
-
Unmatched Savings on Fuel
HPCL Super Saver Credit Card
-
Automobile Associated Benefits
HPCL Coral Credit Card
-
Custom Design Credit Card
Expression Credit Card
-
Rewards on Amazon Purchases
Amazon Pay Credit Card
-
Football Enthusiasts
Manchester United Signature Credit Card
-
Football Enthusiasts
Manchester United Platinum Credit Card
-
Frequent Holiday Goers
MakeMyTrip Signature Credit Card
-
Attractive MakeMyTrip Benefits
MakeMyTrip Platinum Credit Card
-
Cricket Enthusiasts
Chennai Super Kings Credit Card
-
Ideal for Indian Defence & Paramilitary Personnel
Parakram Select Credit Card
-
Defence Personnel
Parakram Credit Card
-
Outstanding Luxury Rewards
Emeralde Private Metal Credit Card
-
Unparalleled Privileges for a Life of Luxury
Times Black Credit Card
-
Luxurious Lifestyle
Emeralde Credit Card
-
Premium Lifestyle Offers
Sapphiro Credit Card
-
High-End Lifestyle Perks
Rubyx Credit Card
-
Everyday or On-The-Go Spends
Coral Credit Card
-
Rewards on Everyday Spends
Platinum Chip Credit Card
-
Rewards on Amazon Purchases
Amazon Pay Credit Card
-
Top-Notch Airport Experience
Adani One Signature Credit Card
-
Premium Travel & Stay Perks
Adani One Platinum Credit Card
-
Travel Enthusiasts Seeking Value and Flexibility
MakeMyTrip Credit Card
-
High-End Flying Perks
Emirates Emeralde Credit Card
-
Luxury Travel and Lifestyle
Emirates Sapphiro Credit Card
-
Frequent Flyers
Emirates Skywards Rubyx Credit Card
-
Frequent Holiday Goers
MakeMyTrip Signature Credit Card
-
Attractive MakeMyTrip Benefits
MakeMyTrip Platinum Credit Card
-
Outstanding Luxury Rewards
Emeralde Private Metal Credit Card
-
Unparalleled Privileges for a Life of Luxury
Times Black Credit Card
-
Luxurious Lifestyle
Emeralde Credit Card
-
Premium Lifestyle Offers
Sapphiro Credit Card
-
High-End Lifestyle Perks
Rubyx Credit Card
-
Everyday or On-The-Go Spends
Coral Credit Card
-
Top-Notch Airport Experience
Adani One Signature Credit Card
-
Premium Travel & Stay Perks
Adani One Platinum Credit Card
-
Travel Enthusiasts Seeking Value and Flexibility
MakeMyTrip Credit Card
-
High-End Flying Perks
Emirates Emeralde Credit Card
-
Luxury Travel and Lifestyle
Emirates Sapphiro Credit Card
-
Frequent Flyers
Emirates Skywards Rubyx Credit Card
-
Frequent Holiday Goers
MakeMyTrip Signature Credit Card
-
Attractive MakeMyTrip Benefits
MakeMyTrip Platinum Credit Card
-
Ideal for Indian Defence & Paramilitary Personnel
Parakram Select Credit Card
-
Defence Personnel
Parakram Credit Card
Mutual Funds as per your needs!
Filter Button
By Categories
-
Equity
Mutual Funds
Long-term growth and wealth creation
- Investments in stocks
- High long-term returns
- Compound Interest Advantage
- Tax benefits
-
Debt
Mutual Funds
Low risk, stable and consistent income
- Investment in bonds & securities
- Steady and moderate returns
- Mild to moderate risk
- Good for preserving capital
-
Hybrid
Mutual Funds
Balanced growth and reduced volatility
- Invests in multiple asset classes.
- Steady, moderate returns
- Reduces risk with diversification
- Potential for Steady Growth
Important Things to Know
-
Identify Investment Goals:
Define whether you seek growth, income, or tax savings
-
Time Horizon:
Match fund type with your investment duration (short, medium, or long term)
-
Risk Tolerance:
Choose funds aligned with your comfort level towards market risk
-
Fund Performance & Ratings:
Evaluate past performance, expense ratio, and ratings from agencies like CRISIL or Morningstar
How to Invest?
-
Login ICICI Bank Netbanking>Investment & Insurance>Mutual Fund
-
Select top categories
-
Choose the scheme & Invest
-
Login iMobile>Invest>Mutual Fund
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Select top categories
-
Choose the scheme & Invest
Explore
About the product
What are Mutual Funds?
Mutual Funds pool money from multiple investors and get you a portfolio of diversified investments. Instead of owning individual stocks or bonds, investors of mutual funds, have shares in the fund, gaining exposure to different kinds of investments, without any direct management.
What are the Advantages of Investing in Mutual Funds?
- Diversification: Spreads investment risk across various asset classes and sectors.
- Professional Management: Managed by experienced fund managers who make informed investment decisions.
- Liquidity: Most funds (especially open-ended) allow easy entry and exit.
- Tax Benefits: ELSS (Equity Linked Savings Schemes) offer tax deductions up to ₹1.5 lakh under Section 80C with a 3-year lock-in period.
- Affordability: Investors can start with amounts as low as ₹500 via SIPs.
FAQs
How are returns earned in Mutual Funds?
Mutual Fund returns are calculated by computing appreciation in the value of your investments over a period as compared to the initial investment. The Net Asset Value of Mutual Fund indicates its price and is used in calculating returns for your Mutual Fund investments. Using a MF Calculator, you can easily calculate the returns on your mutual fund investment
Are Mutual Funds taxable?
By investing in Mutual Funds, an investor can earn returns in the form of capital gains and dividend** income, which are taxable in the hands of the investor.
- A capital gain / loss arises when an investor sells any number of units of Mutual Funds
- An investor receives a dividend in proportion to the number of units held at the time of announcement of dividend, which is distributed by companies to investors when they earn a surplus.
Tax on Capital Gains Received from Mutual Funds:
The tax on capital gains depends on the period of holding (short-term or long-term) and the type of capital asset.
- In the case of Equity Mutual Funds, an investment tenure of less than 1 year (12 months) is a short-term investment. Any investment of over one year is a long-term investment
- In case of Debt and Hybrid Mutual Funds, an investment tenure of up to 2 years (24 months) is a short-term investment and any investment of over 2 years (24 months) is considered as long-term.
| Equity Mutual Funds / Equity Index Fund / Equity ETF / Equity FoF / BAF / Equity Savings / Arbitrage / Aggressive Hybrid* |
Redemption up to Jul 22, 2024 (Pre-Budget) | Redemption on or after Jul 23, 2024 (Post-Budget) | ||
| STCG | LTCG | STCG | LTCG | |
| Period of Holdings (Months) | <12 | >12 | <12 | >12 |
| Type of Gain | Short-Term | Long-Term | Short-Term | Long-Term |
| Taxation Rate | 15% | 10% (on gains above ₹1 lakh) | 20% | 12.50% (on gains above ₹1.25 lakh) |
*STT is applicable on these funds as >= 65% is invested in domestic equity shares BAF is considered here as in most cases BAF schemes maintain gross exposure of % or more to equity and equity related instruments.
| Debt Oriented Fund | Investment prior to Apr 1, 2023 & redemption up to Jul 22, 2024 (Pre-Budget) | Investment prior to Apr 1, 2023 & redemption on or after Jul 23, 2024 (Post-Budget) | ||
| STCG | LTCG | STCG | LTCG | |
| Period of Holdings (Months) | <36 | >36 | <24 | >24 |
| Type of Gain | Short-Term | Long-Term | Short-Term | Long-Term |
| Rate of Tax | As per slab rate | <20>% with indexation | As per slab rate | <12.50>% with no indexation |
| Debt Oriented Fund | Investment after <Apr 1, 2023> & redemption up to <Jul 22, 2024> (Pre-Budget) | Investment after <Apr 1, 2023> & redemption on or after <Jul 23, 2024> (Post-Budget) | ||
| STCG | LTCG | STCG | LTCG | |
| Period of Holdings (Months) | NA | NA | NA | NA |
| Type of Gain | Short-Term | NA | Short-Term | NA |
| Rate of Tax | As per slab rate | NA | As per slab rate | NA |
| Gold ETFs /Silver ETFs / FoF / Multi-Asset Allocation, International FoFs, Hybrid Mutual Fund with <= 35% Investment in equity Instruments | Investment prior to Apr 1, 2023 & redemption after Jul 23, 2024 | Investment after Apr 1, 2023 & redemption after Jul 23, 2024 (till Mar 31, 2025) | Investment after Apr 1, 2023 & redemption on or after Apr 01, 2025 | |||
| STCG | LTCG | STCG | LTCG | STCG | LTCG | |
| Period of Holdings | <12 | >12 | NA | NA | <12 | >12 |
| Type of Gain | Short-term | Long-term | Short-term | NA | Short-term | Long-term |
| Rate of Tax | As per slab rate | 12.50% | As per slab rate | NA | As per slab rate | 12.50% |
Debt Oriented Fund (>= 65% in SEBI Regulated Debt and Money Market Instruments)
Key abbreviations:
(STCG – Short Term Capital Gains, LTCG – Long Term Capital Gains, ETF – Exchange Traded Fund, FoF – Fund of Funds, BAF – Balanced Advantage Fund, STT – Securities Transaction Tax)
**Tax on Dividend Income received from Mutual Funds:
- From Apr 1, 2020, Mutual Fund dividends are taxable in the hands of investors. The dividend income is taxable under the head ‘income from other sources’ at the applicable income tax slab rate for the financial year
- Income Distribution-cum-Capital Withdrawal (IDCW) is a term used by Securities and Exchange Board of India (SEBI) to replace dividend option in Mutual Fund.
Disclaimer: The Union Budget 2024 has introduced significant changes to the taxation of Mutual Funds, aiming to simplify the tax structure and provide clarity for investors. These changes impact various types of Mutual Funds differently, altering how they are taxed over both the short and long term. Investors can learn how Mutual Funds are taxed if they are concerned that their returns from Mutual Funds will be reduced after paying taxes.
What is SIP in Mutual Funds?
SIP stands for Systematic Investment Plan. It is a method of investing in Mutual Funds (MFs) and involves regularly investing a fixed amount at predetermined intervals, generally monthly. SIPs are popular for letting investors invest in a disciplined manner and they also offer the chance to generate long-term wealth.
Is Mutual Fund Investment Profitable?
Mutual funds can be profitable investments, but success also depends on selecting the appropriate fund and maintaining a long-term perspective. However, profitability is influenced by factors like fund management and market conditions. It's important to understand that mutual funds are susceptible to market fluctuations, meaning their value may decline if underlying assets falter. Using a mutual fund calculator can help in monitoring the progress of the fund.
How can I check my Mutual Fund status?
You can check your status through ICICI Bank digital platforms as below:
- iMobile app: log in to the app, move to the ‘Invest’ section and select ‘Mutual Funds’. Click on ‘My SIPs’ to view your portfolio details.
- Net Banking: Login, locate the ‘Investments and Insurance’ section and click the ‘Buy Mutual Funds’ section to check the status. You can also request a Consolidated Account Statement (CAS).
What are the Types of Mutual Fund Investments?
Based on Asset Class:
| Type | Description |
| Equity Funds | Invest mainly in shares of companies for long-term capital growth. |
| Debt Funds | Invest in bonds and fixed-income instruments, ideal for stable returns. |
| Money Market Funds | Invest in short-term, low-risk instruments like Treasury Bills. |
| Hybrid Funds | Combine equities and debt for balanced growth and stability. |
Based on Investment Goals:
| Type | Description |
| Growth Funds | Target capital appreciation through equity investments. |
| Income Funds | Aim to provide regular income via interest or dividends. |
| Liquid Funds | Focus on capital preservation and quick access to funds. |
| Tax Saving Funds | ELSS schemes with tax benefits under Section 80C. |
Based on Structure:
| Type | Description |
| Open-ended Funds | Allow investors to buy/sell units any time. |
| Closed-ended Funds | Fixed maturity period; units trade on stock exchanges. |
| Interval Funds | Open for purchase/sale at specific intervals only. |
Based on Risk: Specialised Mutual Funds:
| Risk Category | Description |
| Very Low-Risk Funds | Invest in instruments like T-bills for capital preservation. |
| Low-Risk Funds | Slightly higher returns with stable instruments. |
| Medium Risk Funds | Mix of equity and debt for balanced returns. |
| High-Risk Funds | Invest in equities for high returns with higher volatility. |
