what is CDSL easiest facility
what is the process of registered in it?
what is the TRUSTED ACCOUNT TRANSFER in CDSL easiest?
what is the ACCOUNT OF CHOICE TRANSFER in CDSL easiest?
Detailed of charges for the above two methods of transfer?
sir, requesting you to explain it in the easy term.
CDSL’s internet based facility easiest (electronic access to securities information and execution of secured transactions) , permits CMs of BOs to submit off-market,on-market, inter-depository and early pay-in debit instructions from their demat account. Moreover, all the facilities and benefits of easi are automatically made available to a subscriber of easiest .
2. What are the different types of account transfers available on easiest ?
There are two types of account transfers available on easiest :
Trusted account - Transfers : permits transfer of securities from a BO account to any 4 CDSL demat accounts of the BOs choice , which have been pre-notified by the BO.
Account of choice - Transfers : Permits transfer of securities from a BO account to any other demat account including the CM settlement accounts. All the on-market, off-market, early-payin and interdepository transactions are authenticated by means of a digital signature. The digital signature should be obtained from any of the RA (Registering Authority) of TCS (Tata Consultancy Services). CDSL being one of the RAs of TCS also provides Digital Signature at a cost. CMs would be able to register for the account of choice option only for submitting transactions on easiest.
What is the process to register?
The broker/DP with whom you have demat should be ready to offer this. Most online brokers today don’t offer this facility. The reason for this is that your holdings are updated on the trading platform, a client could potentially sell the stock on the exchange and use easiest to move the stock away to another demat, which would mean trading member defaulting to settle the shares on the exchange. If client has moved stock away and there is no funds in the trading account, the auction penalty would be on the head of the trading member.
Charges for both would depend on the DP/Demat provider. For Account of choice transfer, there would be an added cost of digital signature.
@Intraday_survivor: CDSL has Easitest wherein NSDL has Speed e facility . i am using nsdl’s Speed e facility to give delivery on sale to my broker.it is instant and available 24 hours . my DP a cooperative bank charges rs 15 plus gst per instruction.
brokers where it is compulsory to have demat account too with trading account with them only , may not agree to this facility. however many individual broker member of nse /bse and even some corporate houses like LKP securities do not have any issue .
No, we don’t offer, for the same reason I answered earlier. All our clients get to sell the stock anytime they want when the markets are open. With easiest the risk is that the client sells the shares and moves out his securities before we can settle them with the exchange. The auction penalty risk is extremely huge for any business like ours to take.
@nithin thanks sir for your prompt response,
one more question,
Considering I have not given, POA to my broker and they accept the CDSL Easiest facility. but they are saying, any stock I bought will be transfer to their beneficiary BO after T+2 days, they will only transfer my Share on basis of my instruction or after 3 months of not selling.
it makes me confused, although, it is rule of the broker, but what is the regulated rule by SEBI? AFAIK, at T+2 share should be transfer to my demat account.
please explain in easy language sir.
Hmm… if the share is fully paid for, the broker should pay out to the demat after T+2 days. They definitely would not be compliant to SEBI requirement. If you are using margin funding facility where only a certain portion of the investment is paid for, then yes it is a common practice to keep it in the brokers demat.
Thanks again @nithin sir, for your prompt response, you’re truly helpful and thanks to @sabkaview too.
one more query, they(broker A) have also stated that, If I need to sell a share which is in my demat(assume I bought it from that broker A) I have to transfer it to their Beneficiary account via CDSL EASIEST one day prior to selling, unless I can not sell it.
this makes me more worried, why I can not sale it from the platform first and then transfer it to their beneficiary.
@sabkaview you’re using a similar process with NSDL, can you enlighten a little? why do I need to transfer it one day prior of selling?
What if you sell the shares and don’t transfer the next day? The broker will be in soup as he will default delivery the shares you sold on the exchange. Explained above on this thread already, do check.
@Intraday_survivor ; i am only using NSDL speed e . i can give delivery of shares sold as per t plus 2 means by 10 am of third working day . assuming i sell shares tomorrow on friday 22 march ,i can give delivery till 9.55 am of Tuesday 26 march . UNLESS there is a corporate action case , i give delivery same day evening or at the max by next day of sale.
NO i do not need to give delivery in advance and my broker do not know at all what shares i have in my demat .
PLEASE NOTE that if the shares are not delivered on time as per schedule, any auction or squared off charges plus penalty in case of T and Z group shares is always on client’s account and if the client is frequent in short delivery ,the broker has all the right to terminate him /refuse his orders .
Thanks again sir, it clears my mind,
again one more issue evolved
I gave advance transfer of share to the broker, but I did not sell it in the next day. then what options will be available? what process will be entertained?
They are simply saying you can only execute sell, only when they have my shares in their Beneficiary. But they asking overnight transfer.
I CAN NOT SELL A SHARE ON THE SAME DAY, EVEN IF I TRANSFER IT TO THEM AND THEN SELL DURING THE MARKET HOURS. THIS IS VERY DISAPPOINTING.
That means it is a DOUBLE-EDGED SWORD.
they are again stated, DP shall be charged twice, one when I transfer from my demat to their beneficiary and when they transfer from their beneficiary to their pool, at the time of selling.
what does it mean? if I transfer the shares to their beneficiary and sell it. why they can not settle it from their beneficiary? why they need it to transfer it to their pool? assume all are delivery based trading.
hmm… you would have to ask them. I am guessing they first take it to their own demat before allowing you to sell. In which case DP charges will be twice. Pool account is where exchange gives or takes delivery of shares.
@sabkaview hello, sir, as you have adopted the nsdl facilities similar to cdsl easiest.
some questions I would like to ask you
broker saying there will be double dp charges as, 1st when I transfer my share from my demat to their beneficiary account, and again when they transfer my share to their pool for delivering it to exchanges,
this process feels some of unfair, as I am transferring share to broker’s beneficiary why they are charging it? they are the receiver.
I understand the DP charges came into action when broker transfer their share from their beneficiary to pool account.
now, let’s assume I gave POA, if I gave POA, they are saying the charges will be once. that means, if I gave POA shares will never be transferred into my demat and always into their beneficiary?
purely confused. @nithin sir, could you enlighten a bit.