I recently booked a flat worth ₹51 lakhs and deducted 1% TDS on that, but now the builder is demanding full payment without TDS. What am I supposed to do legally?

Hey there, car lovers and future ride owners! I've got some awesome news coming out of the auto world that you won't want to miss. The Indian government just announced some significant GST changes that will kick in on September 22, 2025, and these changes are all about making it easier for you to snag a new car or bike. This comes after the 56th GST Council Meeting, and the aim is to make many vehicles more wallet-friendly by tweaking the tax rules.

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Cars Are Going to Be Cheaper!

The new GST setup is a game changer since it simplifies things by eliminating the old 12% and 28% tax brackets. They’re rolling out new rates, where luxury items will be taxed at a 40% rate.
The best part? They’ve completely scrapped the extra compensation tax on vehicles — it’s now only applicable to tobacco products.

Small Petrol Cars (under 4 meters, up to 1200cc):

The tax used to be 29% (28% GST + 1% cess). Now, it’s a flat GST rate of 18%. That means you'll save about 11%. You could save between ₹85,000 and ₹1 lakh on a ₹10 lakh car!

Small Diesel Cars (under 4 meters, up to 1500cc):

These were taxed at 31% (28% GST + 3% cess). Now it's a solid 18% GST. You'll save 13% overall!

Larger & Luxury Vehicles:

Hybrid cars, whether they’re mid-size, large, or luxury rides, are also getting easier to manage tax-wise. Rates used to range between 43% and 50%, depending on size. Now, there's a flat rate of 40%. This change means you’ll see some hefty savings — anywhere from ₹1.4 lakh on a Creta up to ₹35-40 lakh if you're eyeing a Lamborghini Urus.

And for those of you who care about the environment, good news! The GST rate for Electric Vehicles (EVs) remains the same at just 5%.

Two-Wheelers: A Mixed Bag

The changes are a bit different for two-wheelers:

Bikes Under 350cc: The tax rate is dropping from 28% to 18%, so these will become cheaper! Bikes Above 350cc: On the flip side, larger bikes are facing a tax hike from 31% to 40%, which places them in the 'sin goods' category. Your Path to a New Ride is Looking Good!

Starting September 22, 2025, these GST reforms will lower vehicle prices by removing that extra cess and streamlining tax brackets. Small cars will see the biggest price drops, and larger vehicles won’t be as expensive either. Just keep in mind that some larger motorcycles might cost a bit more. Overall, this is great news for car buyers and the auto industry, especially for the middle class, and it should encourage more people to purchase small cars. Manufacturers will be updating their prices for popular models soon. In short, these reforms are all about making it easier for you to acquire a new vehicle!

In today's fast-paced world, smart shopping and flexible payment options are key. We're often faced with a choice between two popular methods: Buy Now, Pay Later (BNPL) and traditional credit cards. Both offer the convenience of purchasing items without immediate full payment, but they operate differently and cater to distinct financial needs. Understanding these differences is crucial for making informed financial decisions that align with your spending habits and goals.

Let's dive in and explore which option might be the best fit for your financial journey!

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What Exactly Is Buy Now, Pay Later (BNPL)? Buy Now, Pay Later (BNPL) allows purchases to be made with installment payments over time. It often features interest-free EMIs if repaid within the specified period. Transactions are treated as separate plans, aiding budgeting for individual items. BNPL is accessible without comprehensive credit checks, benefiting those with limited credit histories. Popular BNPL providers include Amazon Pay Later, Flipkart Pay Later, and others. And What About Credit Cards? Credit cards provide a revolving line of credit for purchases. Repayment options include minimum payments or paying the full balance each month. Interest charges apply if the total amount isn't cleared within the grace period. Credit checks assess eligibility; good credit scores are often required. They offer flexibility for both short-term and long-term financing and are widely accepted globally. BNPL vs. Credit Card: A Friendly Comparison

Let's explore the key differences to help you decide which option aligns best with your financial habits and goals.

Definition and Core Functionality

BNPL:

Enables purchases with payment in installments over a set timeframe. Billing can be settled using pre-approved credit.

Credit Card:

Offers a revolving line of credit for purchases. Users can repay the outstanding balance monthly. Enables buying now and paying later. BNPL includes specific plans beyond standard credit card cycles. Interest Charges and Fees

BNPL:

Offers low or zero-interest periods or interest-free EMIs for specific durations. Interest is avoided if paid within the time frame. Missing payments incur late fees and interest charges. Some providers may impose processing or membership fees. Usually, there is little to no joining fee.

Credit Card:

Interest charges apply to unpaid balances after the grace period (30 to 50 days). Credit cards in India have high APRs, ranging from 24% to 49%. Additional fees may include annual, joining, cash advance, and late payment charges.

3.###### Credit Checks and Accessibility

BNPL:

Providers often skip traditional credit checks for approval. It is accessible to those with limited or no credit history. Approval typically relies on "soft checks" instead of credit scores. Most financial institutions offer BNPL to salaried individuals over 18. Basic KYC documents, such as PAN and Aadhaar, are usually required.

Credit Card:

Issuers conduct credit checks to evaluate creditworthiness. Good credit scores (e.g., over 750) are often required. Positive financial health is necessary for qualification. Repayment Flexibility and Budgeting

BNPL:

Transactions function as separate installment plans with fixed payment schedules. This approach aids in budgeting and managing payments for specific purchases. Repayment tenures typically vary from 15 days to 24 months.

Credit Card:

Provides a revolving credit line. Allows for minimum or full balance payments monthly. Flexible for both short-term and long-term financing. Suitable for various expenses and emergencies. Purchases can be converted into EMIs, possibly incurring interest charges. Usability and Acceptance

BNPL:

Services are tailored for specific partner merchants or platforms. This restricts usage to select outlets only. The Bajaj Finserv Insta EMI Card has 1.5 lakh partner stores in India.

Credit Card:

Widely accepted for online and in-store purchases. Usable globally across various retailers. Credit Limit

BNPL:

Initial limits for Simpl applications range from ₹500 to ₹1,500. Amounts are typically lower or capped.

Credit Card:

Credit limits vary based on individual creditworthiness. Higher credit limits are typically available for those with better credit scores. Impact on Credit Scores

BNPL:

BNPL services like Bajaj Finserv Insta EMI Card may not directly affect credit scores. Providers usually don't report payment history to credit bureaus in India. Defaulting on or missing payments could indirectly impact credit scores if reported.

Credit Card:

Responsible credit usage positively affects your credit score. Timely EMI payments are crucial for good credit management. Building a good credit history enhances the chances of loan approval. Effective credit card usage is key for obtaining future financial products. Consumer Protection

BNPL:

The BNPL industry is relatively new and less regulated. There is limited consumer protection compared to credit cards. Potential risks include over-indebtedness. The RBI is scrutinizing BNPL for these risks.

Credit Card:

Provides enhanced consumer protections. Ensures zero liability for unauthorized transactions. Rewards and Benefits

BNPL:

Typically lacks rewards points. No cashback incentives. Does not provide travel benefits.

Credit Card:

Credit cards offer various rewards such as cashback, points, miles, and discounts. Some also include insurance benefits. Example: The Fibe Axis Bank Credit Card offers cashback and lounge access. Debt Risk and Impulse Purchases

BNPL:

Splitting payments is convenient but can encourage overspending. Impulse purchases may increase due to the ease of payment. Responsible use is essential to avoid financial strain.

Credit Card:

Credit cards offer convenience but can lead to overspending. Not paying balances in full may result in debt accumulation. This situation can create a "debt trap" for users. Financial Flexibility for Large Purchases BNPL has restricted flexibility for substantial purchases. Credit cards offer a versatile line of credit for diverse expenses and emergencies. What Should You Choose?

The choice ultimately depends on your individual financial needs, spending habits, and credit situation.

Choose BNPL if:
• You prefer interest-free options for specific purchases.
• You have limited or no credit history and are looking for accessible payment solutions.
• You want to enjoy budget-friendly installment plans for select transactions.
• The BNPL service offers attractive deals and discounts at your preferred partner merchants.
• You plan to make smaller, frequent purchases with predictable payments.

Choose a Credit Card if:
• You seek a flexible credit line for diverse purchases and transactions.
• You prioritize building or improving your credit history with responsible management.
• You value the convenience of widely accepted payment methods, both online and offline.
• You aim to benefit from rewards, cashback, and credit card perks.
• You require a versatile tool for various expenses and emergencies.

Important Considerations for Smart Financial Planning

Regardless of your choice, remember that responsible usage is paramount. Overusing either facility can be detrimental to your finances.

Plan your budget and assess your repayment ability before making purchases. Understand all terms, fees, and penalties associated with the services you choose. Consider hybrid products like the Bajaj Finserv Insta EMI Card for flexible financing options.

In conclusion, both Buy Now, Pay Later and credit cards help manage purchases effectively. BNPL is convenient and low-cost for specific purchases, making it beneficial for building credit. Credit cards provide more financial flexibility and can strengthen your credit history if used wisely. Evaluating your financial needs and discipline will guide your decision.

In India, two popular and powerful vehicles often catch the eye: Exchange-Traded Funds (ETFs) and Mutual Funds. Both offer fantastic ways to diversify your portfolio, but they come with their own unique flavors. So, which one is the right pick for you? Let's break it down and help you make an informed decision!

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The Basics: What Are We Talking About?

At their core, both ETFs and mutual funds are investment vehicles that pool money from many investors to buy a diversified portfolio of securities like stocks, bonds, or other assets. They offer diversification and professional management, making them low-cost ways to invest in the stock market.

Mutual Funds

Mutual fund transactions occur directly through the fund house. Buying or selling happens once daily. Transactions are based on the fund's Net Asset Value (NAV).

Exchange-Traded Funds (ETFs)

ETFs are traded on stock exchanges like individual stocks. Their prices change throughout the day. Price fluctuations depend on market supply and demand. Which is Better for YOU?

The "better" choice truly boils down to your individual investment goals, risk tolerance, and personal preferences.

ETF vs. Mutual Fund: A Friendly Showdown!
While both are excellent tools for wealth creation, some key differences can significantly impact your investment experience.

Trading Flexibility & Liquidity

a. ETFs:

ETFs can be bought and sold throughout the trading day. Similar to stocks, they provide flexibility in trading. Investors can easily react to market movements. Strategic investors can take advantage of price dips.

b. Mutual Funds:

Transactions occur daily at the closing NAV. Suitable for long-term investors. There is no concern for intraday price fluctuations. Money given in the morning is processed after the market closes. The next day's NAV may be used for transactions. Cost Structure & Management Style

a. ETFs:

ETFs have lower expense ratios due to passive management. Passive management requires less research and fewer trades. This results in reduced operational costs for ETFs. ETFs might still incur trading fees despite having lower expenses.

b. Mutual Funds:

Active management requires fund managers and research teams. This leads to increased management fees and expense ratios. Minimum Investment

a. ETFs:

Investments are easily accessible to individuals. You can start with small amounts. Sometimes, only one unit or share is needed. This process is similar to buying a stock.

b. Mutual Funds:

A higher minimum investment is required. It often starts around ₹500. Tax Efficiency

a. ETFs:

Tax-efficient investment options. Utilize "in-kind" creation/redemption mechanisms. Internal trading usually avoids triggering capital gains. Investors are typically taxed only upon selling units.

b. Mutual Funds:

Fund managers selling securities can trigger capital gains taxes for investors. Investors face tax implications despite not selling their own units. This situation may result in less tax efficiency for the fund. Investment Planning Tools

a. ETFs:

No native automated SIP feature like mutual funds. Manual login is required to place monthly orders. Some brokers provide "Good-Till-Triggered" (GTT) orders as a workaround.

b. Mutual Funds:

A Systematic Investment Plan (SIP) enables automatic regular investments. It encourages disciplined, long-term wealth accumulation. It benefits from rupee cost averaging. Demat Account Requirement

a. ETFs:

Trading on a stock exchange requires a Demat and trading account. It is necessary for buying or selling stocks.

b. Mutual Funds:

A Demat account is not always required for mutual fund investments. You can invest directly through the Asset Management Company (AMC). Online platforms also allow direct investments in mutual funds. Some mutual fund platforms may recommend having a Demat account. Exit Load

a. ETFs:

ETFs typically do not impose exit loads. Exit loads are fees incurred when redeeming investments. Investors can redeem ETFs without additional charges. This feature makes ETFs more attractive for trading. The absence of an exit load allows for flexible investment strategies.

b. Mutual Funds:

Mutual funds, particularly equity-linked ones, may impose an exit load. Exit loads typically range from 0.5% to 2%. These fees apply if investments are redeemed within a specified period, usually one or two years. Loan Against Investment

a. ETFs:

Loans against facilities are not available for ETFs. Specific restrictions apply to this financial service. There are no current options for ETF-based loans.

b. Mutual Funds:

Loans against mutual fund investments (LAMF) allow borrowing using funds as collateral. There is no need to sell mutual funds to access cash. This provides a solution for financial needs without liquidation. Typically, it features fixed interest rates and quicker documentation. It is beneficial for individuals with low credit scores. Choose ETFs if You are a cost-conscious investor focused on low fees and long-term passive investing. You are comfortable with trading, using a Demat account, and navigating trading interfaces. You desire intraday flexibility to buy or sell at specific price points in response to market changes. You prioritize tax efficiency to minimize capital gains tax liability. Choose Mutual Funds if You favor a hassle-free, automated investment strategy via SIPs. You prefer professional management for stock selection and market timing. As a new investor, you find simplicity and accessibility appealing. The LAMF feature offers a potential safety net for loans against investments. The Hybrid Approach Savvy investors often diversify their portfolios using multiple investment vehicles. Mutual funds are used for long-term investments through SIPs for discipline. ETFs provide tactical opportunities and cost-effective sector exposure. Gold ETFs have historically outperformed the Nifty 50 at times. Gold serves as a safe asset for diversification, especially for aging investors. Expert Insights to Keep in Mind Evaluate funds based on 3-5 years of historical returns, not just one year. Consistency over time indicates a fund's true quality. Risk depends on underlying assets and investment strategy, not just the type of fund. ETFs may experience tracking errors, which are slight deviations from their index. Follow the "100 minus your age" rule for asset allocation. Younger investors should allocate more to growth assets; older investors should prioritize safety. Wrapping It Up

Ultimately, both ETFs and mutual funds are powerful tools for building wealth. The key is to choose the option (or combination!) that aligns perfectly with your financial temperament, investment horizon, and specific goals. Don't hesitate to consult a financial advisor to tailor a strategy that's just right for you. Happy investing!

GST 2.0 is on the way in India, bringing exciting changes to the Goods and Services Tax. The government is implementing adjustments aimed at providing relief to citizens.

Here's the scoop: We used to have just two GST rates — 5% and 18%. But now we're leveling up to four rates: 0%, 5%, 18%, and a brand-new 40%.

This all kicks off on September 22nd, and it might change the prices of everything we buy, from groceries to cars.

Breaking Down the New GST Rates

Here’s how it looked before with our GST rates: 5%, 12%, 18%, and 28%. Now it’s much simpler:

0% GST: This applies to essential items such as lifesaving medicines, health insurance, school supplies, and basic food items like bread and roti.

5% GST: This covers a variety of goods that were previously taxed at 12% or 18%. It’s just slightly more than the essentials.

18% GST: This is now the standard rate for most items, combining products that used to be taxed at 12% and 28%.

40% Special Tax: This new high rate applies to luxury items and products that the government deems are not beneficial for us.

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More Money Left in Your Pocket!

The whole idea behind this is to save you some cash!

Health & Wellness
Life and health insurance premiums are now at 0% GST — awesome, right? Medical-grade oxygen and diagnostic kits are dropping to 5%, and lifesaving drugs will remain at 0%. Those fancy glasses and contact lenses? They were taxed at 28%, but now it's just 5%.

Everyday Essentials
Items like hair oil, shampoo, soap, and toothpaste now have only 5% GST. Even shaving cream and kitchen tools will cost a bit less. Good news for the kids — bicycles are getting a tax break! Dairy products like butter and ghee might be taxed at 5% or even 0%. Instant noodles and bottled water will also be 5% or less.

Cars and Bikes
For smaller cars and bikes, GST is now just 18%. Electric vehicles still enjoy a low rate of 5%. But bigger SUVs and luxury cars? They’ll carry a 40% tax, down from 43-50%, making it a bit easier on the wallet.

Home & Building
Cement is now at 18%, down from 28%. Marble and bricks are dropping from 12% to 5%. If you're thinking of building a house, now is a great time!

Electronics & Gadgets
Items like air conditioners, TVs, fridges, and washing machines, which were seen as luxuries, now have a lower GST of 18%.

Fun & Leisure
Staying at a hotel costing under ₹7,500 will now only be taxed at 5%, instead of 12%. Dine at a five-star hotel, and you'll pay an 18% tax instead of 28%. Beauty services, gyms, and health clubs are now subject to just 5% GST. And hey, movie tickets are dropping to 5% from 12%! Plus, educational items for kids are now tax-free at 0% GST!

What's the Deal with the 40% Tax?

While many things are getting cheaper, some items will see a price hike. The 40% tax is aimed at luxury and "sin goods" that the government considers excessive or harmful.

Here’s a heads-up on what might cost more:

Super fancy items like yachts and private jets will be hit with that 40% GST. Larger cars and motorcycles will feel the sting too. Tobacco products, such as cigarettes and chewing tobacco, will also carry that 40% tag. Sugary drinks and sodas will see a price increase because of the 40% tax. GST on coal is going up from 5% to 18%. Some fun events, like IPL matches, will now also have a 40% GST. Wider Impact

These changes aren't just about our shopping — they could really shake things up in the economy and stock market too:

The government slashing taxes on essentials aims to boost spending, which could help the economy grow. Lower GST on items like TVs and cars might help businesses thrive. However, the government could lose around ₹48,000 crore to ₹2 lakh crore in revenue for a while. The hope is that as people start spending more, they can quickly make up for the loss. What This Means for Businesses Industries like FMCG, insurance, and small vehicles expect better profits. Insurance sector benefits from 0% GST. "Sin" category industries face challenges due to 40% tax. Uncertainty exists about whether lower GST rates will lower prices for consumers. Some prices may remain unchanged, benefiting manufacturers. Electronics might see actual price drops with different GST rates. Overall, Good Vibes Ahead!

In a nutshell, these GST 2.0 changes look really promising for all of us in India, as they’re cutting costs on everyday items. The tax system is becoming easier to understand and is focusing more on health and education, which should give the economy a nice little boost. We’ll just have to keep an eye out to see how manufacturers adjust their prices. That 40% tax is aimed at specific products, so let’s wait and see how it all plays out!

India's healthcare system shows that emergencies can quickly use up savings. Surgical costs vary a lot, with brain surgery costing around ₹4 lakh and liver transplants going up to ₹25 lakh. Many people face serious health problems, including 1.5 crore cancer patients and 9 crore people with heart disease.

Public health services have long wait times for procedures like MRIs. There are very few hospital beds available, only 0.5 for every 1,000 people. Health insurance is important for protecting your money from unexpected medical costs. It’s not just a cost; it’s a necessary investment in your health. Decoding Health Insurance: Traps to Avoid

Choosing the right policy can be tricky. Be careful of common traps that insurers use to offer lower initial premiums:

Lower yearly premiums can lead to higher co-pays. For example, if you have a ₹5 lakh hospital bill, you might need to pay ₹1 lakh out of your own pocket.

If your insurance policy limits room rent to ₹5,000 per day but you choose a room that costs ₹7,000, you'll have to pay the extra ₹2,000 yourself. This could also raise the costs of other hospital services based on the higher room rate.

Some insurance policies may have low costs but limit claims for certain diseases. For instance, a ₹5 lakh plan might only cover ₹1 lakh for heart issues. This means you could face high out-of-pocket expenses for heart surgery that costs ₹3-5 lakh. Always check the details to avoid unexpected costs.

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What to Look For in a Smart Policy
When choosing a plan, make sure it has these important features:

Pre and Post-Hospitalization Cover: This helps with costs before and after you stay in the hospital. Restoration Benefit: This is important for family plans; it restores coverage after one person makes a claim, so others can still use it. Day Care Treatments: This covers procedures that don’t need an overnight stay in the hospital, like dialysis or chemotherapy. Making the Smart Choice

Here are the top 5 insurers in India for 2025:

HDFC Ergo Health Insurance

HDFC Ergo is one of the biggest general insurance companies in India, and a large part of its business is in health insurance.

HDFC Ergo has over 32 million happy customers. This number includes all types of insurance. They offer motor, home, and health insurance. The report shows their strong market presence.

ICICI Lombard

ICICI Lombard is a top private general insurance company in India that focuses on using technology to provide better solutions.

ICICI Lombard issued more than 21.7 million policies. The company settled 1.6 million claims. This shows a strong performance in the insurance market. ICICI Lombard has a large presence in India.

Tata AIG

Tata AIG is a partnership between the Tata Group and American International Group (AIG). It is known for its wide range of health insurance products that can be customized.

Tata AIG has a strong customer base. It offers a variety of products, including super top-up plans. The company is a leading player in the private sector. Tata AIG is recognized for its innovative features. These include riders for mental wellness and outpatient care.

Niva Bupa

Niva Bupa (formerly Max Bupa) is a health insurance company that operates on its own. This allows it to focus only on health products.

The Council of Insurance Ombudsman (CIO) report covers the financial year 2023-24. Niva Bupa received 2,511 complaints, which is a high number among private insurers. Star Health had more complaints than Niva Bupa. Niva Bupa had 17 complaints for every lakh policyholders in 2023-24. This shows how well they handle customer service and claims.

Care Health Insurance

Care Health Insurance is a well-known standalone health insurer recognized for its comprehensive plans and focus on family health.

Care Health Insurance also received 2,511 complaints in the financial year 2023-24. This amounts to 16 complaints for every lakh policyholders. The complaint rate helps measure customer satisfaction. When choosing health insurance options, always check:

• Claim Settlement Ratio: A higher ratio (for example, HDFC Ergo at 99%) shows better reliability.
• Network Hospitals: Make sure your preferred hospitals are part of their network.
• Trust and Support: Look for platforms like Ditto (backed by Zerodha) for unbiased, spam-free advice to help you find the right plan for your needs.

Final Thoughts: Protect Your Future Today!

Don’t wait for a health crisis to realize the importance of health insurance. It's more than just a piece of paper; it protects your finances during medical emergencies. Taking action now, like getting a free consultation, can really make a difference.

You can either use the MakeMyTrip or Skyscanner platforms so that you can compare the flight prices. I would suggest booking the tickets in advance to get the best offers for your trip.

SBI PRIME offers lounge access, Amazon ICICI has cashback on travel bookings, and HDFC Infinia offers low forex markup and lounge benefits.