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How to Redeem Mutual Funds Online 2026

Mutual Fund Redemption - sell units online. T+1 to T+3 settlement. Tax considerations apply.

📁 Banking ⏱️ 15-30 mins 💰 Free Most Funds

About This Guide

Mutual fund redemption - sell units to AMC/exchange for cash. Online via AMC website, broker app (Groww/Coin), or Karvy/CAMS. Liquid funds: same-day. Equity: T+3 (3 business days). Debt: T+1 to T+2. Capital gains tax applies (LTCG/STCG). Exit load possible (within 1 year typically).

Eligibility Criteria

Mutual fund investor
Active KYC
Bank account linked
PAN-Aadhaar linked
Folio number known

Documents Required

Keep these documents ready before starting application. Missing documents = delayed approval.

Folio Number / PAN
Bank account (linked)
PAN
Aadhaar
Online login (broker/AMC)

Step-by-Step Application Process

Follow these steps in order. Each step is critical - skip none.

Broker app (Groww/Coin) OR AMC website.

Holdings View

See all funds.

Choose Fund

To redeem.

Redemption Type

A) Full redemption B) Partial (specify amount/units).

Submit

OTP confirmation.

Settlement

Liquid: same-day. Equity: T+3. Debt: T+1.

Bank Credit

Auto via NEFT/IMPS.

Tax Implications

STCG/LTCG calculated.

Exit Load

If within exit period (typically 1 year).

Statement Updated

Reflect redemption.

Key Benefits

Online convenience
Same-day liquid funds
Multiple redemption methods
Auto-bank credit
Free at most platforms
Track all funds
Tax statements available
Quick access

What Happens After Application?

1-3 days for bank credit.

Frequently Asked Questions

Tax on redemption?

Equity: STCG (<1y) 15%, LTCG (>1y) 10% above ₹1L. Debt: STCG slab rate, LTCG 20% with indexation.

Exit load?

Typically 1% if redeemed within 1 year. Some funds 0% (open-ended liquid).