How Do I Modify My Existing SIP Mutual Fund?

Systematic Investment Plans (SIPs) have become one of the most popular ways for Indians to invest in mutual funds. With as little as ₹500 per month, investors can start building wealth in a disciplined and convenient way. However, life changes, income rises, and financial goals evolve. In such cases, investors often ask: how do I modify my existing SIP mutual fund?

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This article explains the different ways you can make changes to your SIP, the limitations you may face, and the options available to increase or reduce your contributions.

Understanding SIP Modification

A SIP works on an Electronic Clearing Service (ECS) or auto-debit mandate given to your bank. When you start a SIP, you fix the amount, the frequency, and the date of deduction. The bank automatically transfers this sum to your mutual fund scheme every month.

Because the amount is predefined in the mandate, modifying an ongoing SIP is not as straightforward as editing a standing instruction in your savings account. Some changes are possible, but others may require you to cancel the existing SIP and start a new one.

When Can You Modify Your SIP?

You may want to modify your SIP for different reasons:

• You got a salary hike and want to invest more.
• You wish to reduce the SIP amount due to financial pressure.
• You want to change the date of deduction.
• You prefer a top-up option so that your investment grows automatically.

Each type of change has a different process, so let’s break it down.

Increasing Your SIP Amount

Most mutual fund houses do not allow direct changes to the SIP amount in an existing mandate. If you want to increase the contribution, you usually need to start a new SIP in the same scheme. For example, if you invest ₹2,000 every month and wish to increase it to ₹3,000, you can start another SIP of ₹1,000 in the same mutual fund. Together, both SIPs will make your total investment ₹3,000.

Some fund houses also provide a SIP Top-Up feature. You can choose a fixed increase (say ₹500) every six months or every year. Over time, your SIP amount grows along with your income. This option, however, must be selected at the time of starting the SIP.

Reducing Your SIP Amount

If you wish to reduce the amount, the process is similar. You cannot simply decrease the existing mandate. Instead, you will have to cancel the ongoing SIP and start a fresh one with the lower amount.

For example, if you invest ₹5,000 per month but can now afford only ₹3,000, you should stop the current SIP and start a new one with the revised figure. Most mutual fund apps and platforms make this process quick and paperless.

Changing the SIP Date

Changing the date of deduction is simpler than changing the amount. Some mutual fund houses allow investors to request a date change without cancelling the SIP. You can submit a modification request either online or through a form.

For instance, if your SIP currently gets deducted on the 5th of every month, but you want it on the 10th (perhaps after your salary credit), you can raise a request with the fund house or distributor. Do note that such changes may take a cycle or two to reflect.

Adding a SIP in the Same Scheme

Another way to “modify” your SIP is by simply adding a new SIP in the same scheme. This option works best when you want to invest more but do not want to cancel your existing plan. Many investors prefer this because it keeps the original SIP intact while allowing them to step up their investments.

Stopping and Restarting a SIP

If your fund house does not support modifications, the only option is to stop the existing SIP and start a new one with the updated details. This is not a problem because your earlier investments remain in the fund. They continue to grow as per market performance, while your new SIP begins afresh with revised terms.

Stopping a SIP does not mean redeeming your investments. It simply halts future installments. Your accumulated corpus stays invested until you decide to redeem.

Conclusion

Modifying your existing SIP mutual fund may not always be straightforward, but it is possible. You can increase or decrease your investment by starting a new SIP, change the date of deduction in many cases, or stop and restart with new terms. The SIP Top-Up feature is another excellent way to grow your savings automatically.

For Indian investors, SIPs remain one of the most reliable ways to build long-term wealth. By learning how to modify your SIP, you can keep your investments flexible, practical, and better suited to your changing financial needs.

Start with small steps, stay consistent, and review your SIPs every year to make sure they match your goals. With discipline and smart modifications, you can build a stronger financial future.