Many new investors suffer from this as they forget to keep the money in their bank account.
Inadequate funds in the bank account when the SIP mandate hits the bank account is a painful experience. Especially in the last three months when the income is low due to tax deductions and there is not much leg room for salaried individuals, SIP hitting your bank account goes for a toss if there is inadequate balance. Many new investors also suffer from this as they forget to keep the money in their bank account.
Many first timers are not aware of this. If there is no adequate balance in the bank account, the bank charges you with a penalty. This charge may vary from bank to bank. So be prepared to pay it.
Fund houses and brokers do send you an intimation SMS or email or both. This intimation is sent at least two days before the SIP due date. This enables the SIP investor to keep adequate amount of money in the bank account. If you have not updated your contact details with the fund house, do it now. It will help you to avoid such embarrassing situation of inadequate funds in bank account.