Process to follow for redemption and change in Bank details in mutual funds??

As per the recent AMFI best practices, for any change in bank mandate that is given along with the redemption, there is a cooling period of 10 days after which the redemption amount is sent out to the investor. In the interim, letters are sent to the investors informing them about the changes. 

However, AMC rules differs related to changes in bank mandate, as in some Amc's if you want to go for bank change then you have to provide details /Proof of old bank account as well as new bank account, if  on cheque,  the name of account holder is not mentioned then in such case the bank account statement or other necessary proofs should be given to do the changes in your bank details.

However, if there is a cheque copy and the account statement from the bank that is attached; then the amount can be released as per the norms practiced by the fund house. 

Therefore, it is always better to enclose these documents when there is a change in bank mandate given along with the redemption or alternatively, inform the fund house well in advance of such change to avoid any delay in receipt of the payment. 

Source: Business line