Now, you can pay via UPI from your mutual funds
UPI just got a smart upgrade: with the new "Pay With Mutual Fund" feature, you can make payments directly from your liquid mutual fund investments.
Launched by ICICI Prudential Mutual Fund and Bajaj Finserv AMC along with Curie Money, this move lets your invested money work double duty—earning returns while staying instantly accessible for everyday spending.
How it works
Liquid mutual funds invest in short-term money market instruments and usually offer better returns than savings accounts.
Now, instead of transferring money to your bank before paying via UPI, the app redeems just enough from your fund instantly to cover each payment.
It's all about making investing feel as easy—and as useful—as keeping cash in your wallet.
Things to consider
This feature is handy for flexible cash management and could help you earn more on idle money.
But remember: unlike a regular bank account, these funds come with market risks and possible tax implications.
Still, if you like convenience without sacrificing potential gains, this could be worth a look.