Funds Transfer to Trading A/c = Loss for you

I have recently joined Zerodha to give it a try.

First thing I noticed is the adding fund is not seamless like my HDFC Securities Demat & Trading account where the bank account is directly linked. Allow me to explain how adding funds to your Zerodha trading account incurrs loss to you in the long run.

Case 1:
Instant Transfer.
You want to transfer say 10,000 to your account, the instant transfer option costs you Rs 9+GST per transaction. Regardless of whether you add Rs 100 or Rs 1 Lakh, you will have to pay this extra cost.

You may counter my case by saying that why add money in small amounts, instead add a big chunk at a time and then this Rs 9+GST is affordable. But the point is in HDFC bank account your money is also earning interest @3.5% until it is invested. Whereas if you keep money in the Zerodha trading account, you don’t get any interest. So adding in bulk does not make sense.

If you add in small chunks as you need, you lose amount per transaction and TIME to execute that as well.

Case 2:
You choose to pay via NEFT or IMPS.
Same logic. If you transfer in bulk, you don’t lose on the interest until the fund is invested. And in you transfer on-demand or in small chunks, you pay extra for each transaction (to the bank as NEFT/ IMPS charges) and also lose time as NEFT/ IMPS transfer takes time. I had to send email to Zerodha with screenshot of the transaction details to get it credited in my trading amount.

Case 3:
You choose to do SIP in mutual funds through Zerodha Coin. Let say you have 5 mutual funds SIP of Rs 2000 each i.e. SIP of total 10,000 per month but at different dates. Say they are 2nd, 5th, 8th, 16th and 25th date of the month.

If you choose to transfer 10,000 to Zerodha trading account at one time in the beginning of the month, you lose on interest.

If you choose to manually transfer you lose money on each trasaction by paying additional transaction charges for each time. Also, you lose time to execute each transaction manually.

If you choose to do a bank standing instruction to Zerodha account 2 days before the said dates of SIP (to be on safer side), you lose bank interest for those 2 days for the said amount. Whereas if you have a trading account with your bank, then the amount earns you interest until invested as well as it is automatically deducted on the said day without fail and without any extra transaction charges.

You may contradict my arguement by stating that this much is “chalta hai” and i am over thinking. But I just gave you an example of Rs 10000 investment in a month. What if someone has a bigger portfolio and one who has multiple SIPs, going on. And consider these small small transaction charges, and the loss of bank interest and loss of time for executing mannual transactions for 15 odd years of investment period. It would definitely amount to a significant figure.

All in all, Loss of time and money in all the above cases. And Time is Money when it comes to Investment.

Hope Zerodha understands this and takes appropriate action.

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Damn! the sense of entitlement is amazing,
You are cribbing about 9 bucks when you don’t pay brokerage on delivery transactions whereas in HDFC you would have ended up paying .30% to .50%

Park your free funds in Liqudibess and you will earn about 7%. and Liquidbess are cash equivalent so if you are F&O trade you can use them to pledge and trade.



From my ICICI bank account I have done multiple NEFT of 10K to my Zerodha account . But I dont see any charges from the ICICI.
What charges are you talking about ?

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Hi Sanket,

Certainly, you have more knowledge than me but my point is about seamless transaction. Request you not to discard the question by considering it a stupid question. And I won’t mind paying a premium for seamless integration with my bank account.

Your suggestion to put in Liquidbees sounds like a good idea. But correct me if I am wrong, that it takes a day turnaround to encash them?

Pardon me, I am new so please explain the process to pledge and how this helps in saving time and money both. If you give an example it would be great for me and many new users like me.


Please download your monthly bank statement and check for NEFT/ IMPS charges.
ICICI NEFT/RTGS/IMPS Charges, Timings, Limits

Sorry but I dont see it. May be due to salary account.

I fail to understand why Zerodha doesn’t accept payments via BHIM UPI App?

Because transactions done via BHIM UPI payments are completely FREE. Banks don’t charge anything for transactions vis BHIM App. And it is super instant.

BHIM app is just an interface, a gateway, where your bank account remains in the backend as is. It is not a wallet.

Also, we are in living in the times when SEBI has already allowed investors to invest via wallets. Soon, people will be able to invest through their PayTM etc wallets. Considering these, if Zerodha does not upgrade, it will be left behind.

I rest my case with this.

Sebi allows investors to buy mutual funds via e-wallets

Then you should have titled the question more aptly! Just imagine yourself as the CEO of Zerodha and I come to your forum and say transferring money will cause a loss, how would you fee? If you are truly a beginner then the first thing you would do is to change the title of the question!.

T+2 is the settlement cycle if you want tot withdraw but you can sell Liquidbees and make use of the money to trade immediately.

There is a post in Tradingqna in which they had mentioned that they won’t get the souce account numbers.

Tell me one broker who is doing this?

[quote=“rupeshmandal, post:7, topic:26449”]
I rest my case with this.
Well a poor case at that but no point in my responding when you fail to see your mistake and shortsightedness. I would change the title of the question if I were you.

HDFC bank savings interest rate is not 3.5% . Its more than that. So more loss for you!

But hdfc securities dont charge you funds transfer but surely charge you high brokerage!

At zerodha, there’s Zero brokerage on delivery & 20 rs per trade for intraday. HDFC brokerage is very high.

Anyways, if u are unhappy with money transfer charges then I have a more shock for you!

Zerodha will charge you 13.5 rs per scrip demat charges when you are selling your shares of which you have taken delivery.

And 5.5 rs per mutual fund on redemption!!

Sanket, please read it again, I have used the word “soon”.
I can foresee these wallets soon allowing to invest in mutual funds on their platform. All these wallets have switched to payment banks recently. You know why. Micro-investment will be a gamechanger. People able to invest Rs 50, Rs 100 in the market will change the landscape completely. But, that’s a separate topic.

I just checked my bank statement and I can see the origin bank account masked behind the UPI id. If it is visible to me, it is very well visible to them as well. Sorry, I don’t buy it.

My title is correct. As we speak, adding money to Zerodha account leads to loss of money and/or time which I have explained already. And there is something called ‘freedom of speech’ to express my views. You have your rights to express yours and counter my views. And thus this forum exists. So let it be.


Hey, Guys keep the Conversation Healthy by Giving your Valuable Points. and in Support of your points you can Give your example.

I find No bad in the Title, Until it is not causing anyone any harm.
It’s a Public forum and Everyone should have their Freedom of Speech in Healthy manner.

Most of the bank don’t charge neft charge on salary account hence transfer is free for those. Secondly online mandate for neft on a particular date will transfer funds to Zerodha.
Problem will be for normal saving account holder.
IMPS charge is very less. Use IMPS in that case.

Sorry, but that’s wrong information. IMPS is always more expensive than NEFT.
NEFT charges for upto Rs 10000 = Rs 2.5 + GST
IMPS charges for upto Rs 10000 = Rs 5 + GST

My question is- why not UPI/ BHIM app support. Where transaction charge is zero. And it is even more faster than IMPS.


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Kotak doesn’t charge me any IMPS. Not a salary account.
Oriental Bank doesn’t charge me any for IMPS. Not a salary account either.
Axis bank has IMPS charges. But NEFT is free for them. So that can be worked out.

For Coin, you can set up scheduled transactions. Kotak again doesn’t charge me anything for this.

Maybe you need to switch from your money hungry HDFC bank to something like Kotak?

Kotak gives you 6% interest. So, you’re losing 2.5% interest everyday. Just calculate how much you will lose in 15 years, considering interest rates stay the same. Kotak even lets you put your idle funds automatically in Fixed Deposits which automatically break if you need money. Hence more interest for you.

The BHIM problem expressed by Zerodha is legit. The account number is not always passed. I don’t think you see the account number in your statement. Anyways, mine doesn’t show for any of my transactions (ss attached below). Since UPI functions based on the ID, it doesn’t pass the account number to the other side. What you see is just the transaction ID and the name or the UPI address. Since UPI address can be interchanged for different bank accounts, it will be easy for anybody to pool money from somebody else without ever bringing it to his/her account. No other broker accepts UPI and none will be able to unless this happens.

Lastly, Zerodha is only a broker. It doesn’t have banking license. So, it is not a bank. Being not a bank, it cannot offer you savings accounts. So, your problem is here to stay. You can either find alternatives to your problem, or find alternatives to Zerodha which you like more. Yes, there are some MF companies which allow you to set a mandate for automatic withdrawals from your bank account. But then they don’t offer you direct funds.


NEFT/RTGS payments are free for HDFC bank account holders…

Comparing interest rates is good to make savings whereas trader looks to save brokerage to create wealth.

Wealth creation is my Motto, so wouldn’t be interested in bank interest rates till i am able to get .50 to 1% trading.

Thank you all for giving insight into the ways to save money and build wealth

Hi Buddy,

Not sure if some one has already highlighted. But what i have been doing since the start is have added Zerodha as beneficiary and then doing the transfer through NEFT. Now the charges of NEFT purely depends on the bank that you are holding an account with. Have used citi,kotak and its absolutely free so give it a try.


I transfer funds from IDBIBank account to zerodha in the amount 5000/- twice each. I got refund of 37.59/-

A very intelligent looking person comes in with very detailed even correct but misconstrued information.
My 2 bits:

  1. IMPS upto Rs.1000 is absolutely free in SBI
    And it is instant too.
    So I can seamlessly transfer 1000s of Rs w/o any fees.
  2. Park your fund in liquidbees. You get about 6-7% pa. Also you get 90% back as cash equivalent to trade seamlessly. Just need to pay 100 rs or so to pledge the stock.
    So unlike bank account where you can either earn interest or invest or trade, here you can earn interest, AND invest AND trade with same money simultaneously.