NSC and KVP take the demat route

NSC and KVP take the demat route

photo by aubergene

National Savings Certificate (NSC) and Kisan Vikas Patra (KVP) are the two of the most commonest investment instruments in India. Well, if you have invested in these and you’re based out of Mumbai, you’re in for some good news.

The postal department has been running a pilot project in Mumbai to electronically credit NSC and KVP details in an investor’s demat account — just like shares — instead of issuing the usual physical certificates. Thirty five major post offices in the region (Mumbai, Thane and Navi Mumbai) are authorised to offer NSCs and KVPs in demat form. Now post offices in Mumbai are urging investors to opt for NSCs and KVPs to choose the demat option during the application process.

There are many advantages of getting them credits in the demat form. One, it ensures that investors don’t lose sleep over protecting the paper certificate form damages i.e. bad weather, theft, mutilation. All that the post office has to do is inform the National Securities Depository Limited (NSDL) which creates a demat account and displays online the investment amount, the maturity value and date.

Needless to say, the demat form makes visits to the post offices totally redundant, saving you a lot of time. At present it takes ‘at least’ 10 days to issues the NSC / KVP certificate if the investor has paid by cheque. The postal department may soon extend this facility to other metros.

This initiative by the postal department is commendable. As they say, better late than never :)

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Author: Austin Comments: 2 comments Date: 2 Sep 2008
Categories: Investing Tags: , , , ,

There are 2 comments. Leave a comment!

  • ¬ lowerautoinsurance » Blog Archive » NSC and KVP take the demat route
    #178 September 2nd, 2008 at 11:09 am

    [...] National Savings Certificate (NSC) and Kisan Vikas Patra (KVP) are the two of the most commonest investment instruments in India. Well, if you have invested in these and you’re based out of Mumbai, you’re in for some good news. … Original Austin [...]

  • ¬ virendra yadav
    #6878 July 12th, 2010 at 12:23 pm

    i will purchaged n.s.c. in few days

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