Jupiter, a neobanking and financial services platform, has entered the investments space and is offering a no-penalty systematic investment plan (SIP), the company said on Wednesday. If the bank balance of a user is running low, the SIP mandate will automatically be skipped, according to this new feature.
Currently, without this arrangement, banks typically charge between Rs 250 and Rs 750 as penalty each time an SIP autopay command fails due to insufficient bank balance, Jupiter said. In the last 10 days, the company claims to have on-boarded about 25,000 users.
The feature is currently available only to existing mutual fund account holders. In a few weeks, new users will be able to avail themselves of this option.
Jupiter was last valued at roughly $700 million and counts Sequoia Capital, Nubank, Mirae Assets Venture and 3one4 Capital as its backers. With the latest entry, it will compete with the likes of Paytm Money and Groww which also offer direct investments into mutual funds.