New Delhi, May 20 -- The Securities and Exchange Board of India (SEBI) has in a draft consultation paper uploaded to its official website today proposed to enable third-party payments in mutual funds under certain scenarios.

In more simpler terms, it has proposed to allow your employers to provide salary-linked deductions towards your mutual funds, similar to the employees' provident fund (EPF) or national pension scheme (NPS) deductions.

The rules at present, mandate that the primary investor make all payments towards a mutual fund directly from their own bank account(s), or online via Reserve Bank of India (RBI) approved payment aggregators, or through SEBI-recognised clearing corporations.

The new draft proposes that investment by a...