Investing in SIP has increased a lot among people in today's time. People invest more in SIP to get a strong fund in the future. But many times it happens that due to some reason, people stop their SIP midway before maturity. But if you are also thinking of stopping SIP midway, then first understand these 6 important things or else you may have to regret later.

It is often seen that as soon as there is a slight decline in the market, many people start thinking of stopping their SIP (Systematic Investment Plan). Or in case of any small need in life, they first stop SIP. Actually people think that they will start again after a few days... but this is where they make the biggest mistake. Stopping SIP may sound easy, but it can have some such bad consequences, knowing which you will be surprised. Yes, we are going to tell you about those 6 big things, which should be thought about a hundred times before stopping SIP. So that you do not have to regret in the future and it does not happen that a small wrong decision breaks your dream of becoming a millionaire forever.

The biggest strength of SIP is the 'Power of Compounding' i.e. compound interest. This means that you get interest on the interest you get on your investment. So if you stop SIP in between, then you will also be separated from this magical growth. In such a situation, the money which could have increased manifold, gets reduced. Let's assume that if for some reason you stop a SIP that was to run for 15 years in just 7 years, then you would have lost the most golden 8 years of compounding in a moment.

Another big benefit of SIP is 'Rupee Cost Averaging'. That is, whenever the market falls, you get more units of mutual fund at a cheaper price from the fixed amount of SIP and when the market rises, you get fewer units. In such a situation, if you stop the SIP midway, then you will not be able to take advantage of this fall in the market.

SIP is often started for a specific future financial target (such as children's marriage, retirement, buying a house). But if you stop SIP in between then it is clear that you will not be able to get the money to meet your target. Then later to meet the same target you may have to invest a bigger amount or for a longer time. That is because with time the cost of your target also increases due to inflation.

Investing regularly in SIP is considered a good financial habit. But if you break this habit once in between then it is difficult to start it again. Because then people start procrastinating which can prove to be heavy on your financial future. Always keep in mind that SIP makes you a disciplined investor.

It is usually seen that if the market falls for a long time then people stop their SIP due to fear, whereas this is the biggest mistake. Fall in the stock market means that you are getting the same mutual fund units at a 'discount'. So this is an opportunity for you to increase your investment, not to stop it. Investors who do not stop SIP when the market falls, get good benefits when the market is high.

Let us tell you that in some SIP mutual fund schemes, especially equity funds, if you are withdrawing money before a fixed time (eg 1 year), then 'exit load' (withdrawal fee) is charged on it. But at the same time, if you stop SIP early and withdraw money, then this charge can also reduce your profits.

It is always best for you to continue SIP. But if for some reason a big emergency comes and there is no other way, then keep some things in mind that is the only option to achieve this target by stopping SIP? Will there be any withdrawal fee, or will you have to pay tax on the profits as well. However, instead of stopping SIP, it may be better to choose the option of 'pausing' for some time. Actually, only regular and long-term investment can make you financially independent and prosperous. (Note: The news is based on general information.)