Why my Mutual Fund is charging me Entry Load?

Why my Mutual Fund is Still Charging me 2.25% Entry Load?

I have been investing in SBI Magnum tax gain mutual fund through SIP since January 2008. Recently I have read in the news papers that, SEBI has banned the 2.5% entry load in any mutual funds. And even after this ban, the fund house is charging 2.25% entry load from me every month.

Is this Permissible? What Should I Do Now?

Well, see. No Entry loads is applicable on SIP investments registered after August 2009. Since you started your SIP in January 2008, your investment would be subject to entry load.

So What You can do is, You can simply stop further investments in this fund via SIP and start a new SIP in some other tax saving mutual fund.

Fidelity Tax Advantage, Sundaram Tax Saver & Franklin India Tax Shield are some good tax saving mutual funds.

According to me, this is the simple and best solution of your query.