[saket77]

When joining NPS, opening Tier-1 account is mandatory. Contributions made towards T-1 account is what qualify for tax deductions as per the limits.The contributions to T-1 account is mostly locked till the subscriber attains the age of 60. Though, 25% of own contributions can be withdrawn in some conditions which is called partial or conditional withdrawal.

Opening Tier-2 account is optional (& free). You can use this account just to invest with your fund manager (basically to seek ultra low expense ratio). You can withdraw funds anytime you wish. There are no lock-ins and (hence) no tax breaks for contribution to T-2 account.

Regards,
Saket

[thanixravindran]

Originally Posted by saket77

Opening Tier-2 account is optional (& free). You can use this account just to invest with your fund manager (basically to seek ultra low expense ratio). You can withdraw funds anytime you wish. There are no lock-ins and (hence) no tax breaks for contribution to T-2 account.

Regards,
Saket

Thanks a lot all of you for the answers on NPS. One additional question - What is the role or use of Tier 2 account as it just appears as another sort of (mutual) fund to invest? There are lot of funds that provides the same investment, right? Is it there to provide additional liquidity to those managing pension funds?

[saket77]

Originally Posted by thanixravindran

What is the role or use of Tier 2 account as it just appears as another sort of (mutual) fund to invest? There are lot of funds that provides the same investment, right?

True that. It’s just like a mutual fund from subscriber’s point of view. One benefit- the expense ratio is very low when compared to regular or even direct mutual funds. However, you definitely lose on the versatility of mutual funds because you can invest across different funds when investing in mutual funds which is not possible under tier 2 of NPS. Tier2 was basically a push to make NPS more successful and popular because it was viewed as a product with a long lock-in period with only tier 1 account.

[top_gear]

I have received watsapp message from ICICI Bank that they will go ahead and close my icici credit card as it is not used for a year (which is correct). Message also provides "Link" to be clicked if i want to avoid card closure. Sender looks legit from 91 86400 86400 with ICICI logo etc.

I am skeptical about message as i never received any email from icici bank about same except watsapp which i never enrolled for.

So anybody received something similar from ICICI/Any other bank as message mentions, it is as per recent RBI guidelines. Need to understand if it is fraud or legit communication to be acted upon.

[digitalnirvana]

Originally Posted by top_gear

Need to understand if it is fraud or legit communication to be acted upon.

Do not click any links. Call up customer care to confirm. Likely to be a scam.

[Fx14]

Originally Posted by top_gear

I have received watsapp message from ICICI Bank that they will go ahead and close my icici credit card as it is not used for a year (which is correct).

So anybody received something similar from ICICI/Any other bank as message mentions, it is as per recent RBI guidelines. Need to understand if it is fraud or legit communication to be acted upon.

Received similar messages via email / SMS from a couple of banks for their cards that were not used for more than a year.

Another option given is to use the card for a transaction before the next billing cycle. Did some nominal amount transactions to keep them active for the next one year.

[libranof1987]

Originally Posted by top_gear

I have received watsapp message from ICICI Bank that they will go ahead and close my icici credit card as it is not used for a year (which is correct).

Originally Posted by digitalnirvana

Do not click any links. Call up customer care to confirm. Likely to be a scam.

It is indeed a directive from RBI. Section 8 (b)

If a credit card has not been used for a period of more than one year, the process to close the card shall be initiated after intimating the cardholder. If no reply is received from the cardholder within a period of 30 days, the card account shall be closed by the card-issuer, subject to payment of all dues by the cardholder. The information regarding the closure of card account shall also accordingly be updated with the Credit Information Company/ies within a period of 30 days.

https://rbi.org.in/Scripts/BS_ViewMa....aspx?id=12300

[gupta_chd]

Originally Posted by top_gear

I have received watsapp message from ICICI Bank that they will go ahead and close my icici credit card as it is not used for a year (which is correct). Message also provides "Link" to be clicked if i want to avoid card closure. Sender looks legit from 91 86400 86400 with ICICI logo etc.

I am skeptical about message as i never received any email from icici bank about same except watsapp which i never enrolled for.

So anybody received something similar from ICICI/Any other bank as message mentions, it is as per recent RBI guidelines. Need to understand if it is fraud or legit communication to be acted upon.

It is certainly a scam. No bank should ask to click on links in messages or email. They just got your history somehow that credit card is not used for an year.

[SilentEngine]

Originally Posted by gupta_chd

It is certainly a scam. No bank should ask to click on links in messages or email. They just got your history somehow that credit card is not used for an year.

Not really. I have received similar emails from Amex and Citi for different purposes where call-to-action is a link, so it appears to be a common pattern across some of the banks.

[gupta_chd]

Originally Posted by SilentEngine

Not really. I have received similar emails from Amex and Citi for different purposes where call-to-action is a link, so it appears to be a common pattern across some of the banks.

I am quite sceptical about it. Amex sends few link for promotions and all which is bit different. Why would bank send a link for non usage. They will just ask to use the card. It is a common pattern across scams. Plus I hold ICICI card for 2 decades. Never remember to have received any link.

[SilentEngine]

Originally Posted by gupta_chd

Why would bank send a link for non usage. They will just ask to use the card.

This is what i got from Amex for one of the cards which I did not use in a year. It asks either to use or to click to provide consent.

[gupta_chd]

Originally Posted by SilentEngine

This is what i got from Amex for one of the cards which I did not use in a year. It asks either to use or to click to provide consent.

Attachment 2342673

Ok great. It could be a legitimate mailer then. May be I have never received such communications incidentally but I am quite averse to links and all being a banker myself. Should be dealt with utmost care.

[alexgv]

Originally Posted by tejas08

Since you redeem points for Flights, thats 16.67% Reward rate on Fuel.

Same reward rate I get on all of the following payments every month

Electricity
Landline
Mobile (Postpaid & Prepaid)
Insurance Premium
Gas Bill
Fuel

I recently got Infinia card. I noticed that for fuel expense (with Essar bunk) there was no points accrued for Fuel. I just did only that spend on 1 day and verified. So do we get points with some particular bunk HPCL, BPCL,INdian oil ? or some other specification need to be fulfilled to get the points would be keen ti know.

[tejas08]

Originally Posted by alexgv

I recently got Infinia card. I noticed that for fuel expense (with Essar bunk) there was no points accrued for Fuel. I just did only that spend on 1 day and verified. So do we get points with some particular bunk HPCL, BPCL,INdian oil ? or some other specification need to be fulfilled to get the points would be keen ti know.

Few things to know
- Fuel Surcharge Waiver is applicable only on PSU Bunks. Shell, Essar, Reliance etc might not get Fuel Surcharge Waiver
- No Reward Points are accrued on Fuel Spends when you swipe directly at Fuel Bunk

You can bypass the second issue in two ways:
1. Buy Amazon Vouchers from HDFC Smartbuy on 5X, Load on Amazon Pay & buy HPCL Gift Card from Amazon. The problem with this is that the seller increased the delivery charges to 2% minimum
2. If you have ICICI Fastag, create an HP Pay Account and link the two. ICICI Fastag can be loaded using Amazon Pay.

Now the real hack over here is finding ways to get more than Rs. 5000 worth Amazon Vouchers on HDFC Smartbuy Portal under 5X. If you can achieve this, you achieve 16+% Reward rate on everything that I mentioned above.

Sadly, I cannot mention it on a public forum as these loopholes get closed almost immediately after coming out in the open.

However, this way, you are at least guaranteed regular reward rate and no fuel surcharge.

[Aroy]

Originally Posted by SilentEngine

This is what i got from Amex for one of the cards which I did not use in a year. It asks either to use or to click to provide consent.

Attachment 2342673

Treat such messages as scam. Better not use the link, but talk to customer service directly.

I have never got such messages from any card, even though some of them are not used for a few years.