Petrol price cut by Rs 3, steepest rate cut in 5 years

Story by The Financial Express

Petrol price was today slashed by Rs 3 per litre, the steepest reduction in rates in over five 

years.The fourth reduction in rates since March means that petrol in Delhi will cost Rs 63.09 a 

litre with effect from midnight tonight as against Rs 66.09 per litre currently.Rates will vary from 

city to city depending on local sales tax or VAT.In Mumbai, petrol price has been cut by Rs 

3.15 to Rs 69.73 per litre, while the fuel in Kolkata will cost Rs 70.35 from tomorrow as against 

Rs 73.48 per litre. The reduction in rates in Chennai would be Rs 3.18 per litre to Rs 

65.90.Today's price cut comes after three consecutive rate reductions on the back of falling 

international oil prices.State-owned oil firms, which revise rates every fortnight, had from April 

16 cut petrol price by Rs 1.20 a litre in Delhi.On March 16, the rates were cut by Rs 2.40 per 

litre and by Re 1 in the following fortnight.The price cut announced today is the steepest since 

December 2008 when rates were slashed by Rs 5 to Rs 45.62 per litre.Announcing the 

reduction, Indian Oil Corp (IOC), the nation's largest fuel retailer, said that since the last price 

change, international prices have declined from USD 116.61 per barrel to USD 107 a 

barrel.Rupee-US dollar exchange rate too improved from Rs 54.51 to a US dollar to Rs 54.26. 

"Thus, it has been decided to pass on the benefit to customers and accordingly the aforesaid 

reduction in the retail selling price of petrol is being affected," an IOC statement said.

Are you listening ? What your parents are saying ?

Did you remember ? Things were like this when dad was earning.

1. Doing job
2. Saving little in PF PPF for retirement
3. No loan concept
4. They bought their home after they got retired....

5. They bought home from all their years of savings.

Now what his kid is doing ?

1. 1st day of job....car/bike on EMI
2. Kid need an ipad, iphone on EMI
3. Huge expenses towards lifestyle
4. Dreaming of Home at the age of 25years ofcourse on EMI.
5. Retirement concept ? kid think its Still time.
6. Emergency money planning ? Relying on Credit Cards.

Think about it....take your dad's advise....it will help.

Simple SIX - Towards Better Financial Life

1. Protect Yourself & Family: - Take Family Floater Mediclaim Policy :-  we come around lots of people who claim that their companies are paying premium and covering whole family under group insurance, I fully agree with the same but what if you change the job ? what if you start a business ? Rethink the same.

2. Take A Term Policy: - many people say / believe that money paid on the term don’t      comes back, but the fact is when you buy a term policy & put rest of the money in PPF or VPF (voluntary PF) / mutual fund sip. This will be a good combination then going for a Ulip or an Endowment Plans, Separate your Insurance & Investments.

3. Build an Emergency / Contingency Fund – the fund should be 6 to 8 months Expenses, you can park either in Bank FD or in Mutual Fund’s Liquid funds (now a days you can withdraw money with a single click / sms / visa debit card from mutual funds) also tax efficient.  

4. Pay your Credit Card Debt & Personal Loans: - did you know Credit card charges you 30-40% interest on your credit card payment when you do minimum payments? You can clear this account to save more.

5. Contribute to PF / VPF (Voluntary Provident Fund) (for salaried People):- After PF Contribution by you & same contribution by your Employer, there is a Provision for VPF (voluntary Provident Fund) if you want to contribute more to your PF account you can do that to earn tax free 8% plus returns, very good in recent times for salary people. For Self Employed or Professional Person, contribute to your PPF & also look at Pension Plans / NPS (National Pension Scheme) from different Mutual Funds.

6. Start Your SIP (Systematic Investment Plan) : - Equities build wealth over a period of 10 – 15 years & also beats Inflation, start your equity SIP in a good 3-4 Diversified Equity Fund to build a Retirement Kitty as soon as you start earning.