are my presumptions correct? please reply point by point reply

@rajujayaraman you are getting confused between wifi speed and ISP bandwidth. wifi speeds matter only when u are moving large files with
in your home network or many devices are using internet at the same time. I will give my home example for you to understand Then u decide.
I Used to have ACT 50Mbps with 300 Mbps router and got 48mbps speed via wifi on speed test.
In my house we have 7 mobiles and 2 TVs and 1 laptop on 2.4 ghz wifi network and 2 PCs on Lan.
In lock down when all devices were connected at the same time net was very slow and movies playback freeze on TVs. So I changed my plan to 100Mbps but then also net was slow and movie playing stuck. Then Only I Upgraded my router 5Ghz now every thing works good.

I Think before Investing on router try to increase the speed of your BSNL Plan for a month and see if it helps. Then decide
 
For example, if you have say a fixed 1litre per minute water coming to your home from outside/govt.supply --- this will mean that you can only use 1litre per minute of water inside your house!

Even if you have larger pipes or quite a few pumps installed inside your house. Still all the water taps inside your house when turned ON together, will only end up cumulatively providing exclusively 1litre per minute of water only to you.

I hope you appreciate the analogy.

Secondly, if say, you are using File Transfer Protocol (FTP) to send a large (a few GB) video file from one of your networked device to other. Then, in that case, a 5GHz router might be quick to transfer the file comparing the 2.4GHz one. But again both the devices (sender and receiver) should be 5GHz compatible as well.
 
Wifi speeds for transfers between devices in your 'local network' with subnet eg. 192.168.0.0/24 will be able to use the maximum potential of your wifi router/access point which is also known is intranet.
Any other activity like browsing the web, downloading from the internet, data which go through your WAN, or your dsl connection for the matter, will be regulated according to the speed your ISP is providing.
Do know that, even when you are using the internet, your wifi performance will be in no way affected.
If you are paying your ISP for 12Mbps, I don't think you need to upgrade your n150 router at the moments.
Once you push 20-25Mbps+, go for an AC router, I'd recommend TP-Link archer a6 or c6, they have good performance and range for the price and also comes with gigabit ethernet ports quite useful if you have NAS running in your home.
 
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