Redemptions from COIN Direct Mutual Funds

Can someone clarify why the redemption for a direct MF held in COIN platform is credited to the Zerodha account.Normally the proceeds should go to the relevant bank account as i see in other platforms. Is this due to the use of the BSE STAR-MF backend ?


It is a process that we follow at our end for purchase/redemption transactions. Since, the purchase amount is getting debited from your trading account so similarly the redemption proceeds are also getting credited to your trading account.