Funds Transfer to Trading A/c = Loss for you

Zerodha
21

Hey @S_Sanga
I also paid through IDBI.
It looks like you paid through payment gateway and also the credit Rs. 37 mentioned NEFT.
So, does Zerodha transfer back the money?
I didn’t get any such refund.

22

I dnt know. I transfer through zerodha platform and select idbi bank account. As per the description, it is for the neft transfer fee refund. I will inquire about it the exact source of the refund.

23

I don’t think any NEFT requires that much fee. Please do inquire and let me know.
Thank you!

1 Like
24

A few key takeaways that I gather from the posts above:

  1. Most of the banks do not levy NEFT/IMPS charges - specially for salary accounts or for the privileged accounts but this could differ from person to person. It seems that IMPS charges are going down and NEFT charges are being revised downwards but again this could differ from bank to bank. AT least the credit happens in matters of minutes/hours and so one doesn’t lose out on T+2

  2. The most convenient way to keep the “idle” money working for you in Zerodha trading account seems to be to invest in Liquidbees (Something that I came to know about after going thru the thread above) - but have now understood the concept and like it as an option; though would like to understand if Zerodha automatically provides margin against these units or if I have to manually trade these units on NSE and still wait for T+2 settlement to happen.

  3. The loss of 3.5% interest rate annually may seem like a BIG loss (human psychology) but on 10K, with 3.5% rate, it comes out to a rupee a day.

  4. With the growing userbase of Zerodha, It would make sense for them to consider integrating BHIM payment options and work with payment gateways to bring down the cost of transfer for the better user experience. Atleast this should be done until Zerodha gets a bank license as well…:slight_smile:

1 Like
25

If you transfer funds through NEFT, by Internet Banking i e. by yourself there is no charge.
If the NEFT, is done by bank they will charge you for using their services.

I am doing by myself by IB, no charge is debited to my account.

Thanks & Regards.

26

In case 3, you have make reference of the SIP Investment.
I have a very different view in respect of SIP Mutual Fund Investment as it is not deliver optimum returns.

As a prudent investor one has to invest the funds at low cost, which will give more units. Suppose you have a SIP on 5th in Pharma Fund. If on on 5th if Pharma index went abnormally high, you will get less units of that fund.

As prudent investor I here suggest if one is investing in Mutual Funds by SIP, then invest in that funds which is at down side yesterday, this will give optimum returns in long run, compared to present SIP Investment. This will happen only because wealth shifts from one sector to another and this process goes on continuous.

Here I will suggest ZERODHA, to introduce such product for SIP Investment in MF.

Thanks & Regards.

27

HDFC makes it free and IDBI makes it paid from 1st Dec.

28

Rupesh, Your points are valid. I have few SIPs but they are all scheduled on the same date of the month.

I have scheduled NEFT of the total amount on the date of SIP. So in the morning, the amount is transferred to Zerodha via NEFT and same day at 1:30 request for MF is sent to AMC.

Once Zerodha implements STP, you can put lump sum money in a Liquid fund and have to redeemed a day before SIP is scheduled. They have been working on it since long. Not sure when it will be released. Would be interested to know the roadmap of features Zerodha plans to release.

2 Likes
29

Have you purchased sovereign gold bond??
I think it’s the interest portion of that bond.

30

Thank you all for the answers. Great learning! :slight_smile:

By going through the above answers, instead of keeping funds in Liquidbees, wouldn’t it be better to have a bank account in Yes Bank or Kotak Bank that gives you 6-7% of interest on the funds. Also, you won’t have to wait for T+2 days to redeem your funds as it happens in Liquidbees?

1 Like
31

Hi rupeshmandal,

I want to clarify two points.

  1. Don’t know about Yes bank but in Kotak you get 6% interest only for balance above 1 lakh.

  2. You will get credit/margin in your Zerodha trading account as soon as you sell Liquidbees.

32

Open an instant account with digibank. U get 7% interest & I heard other services like NEFT are free.

Also you get to make more money through referrals & other coupons etc stuff.

I m not promoting it, just sharing. I did install their app long back & started as wallet but never used it even once! & never converted my wallet to digi savings bank.

33

Unfortunately, digiBank is only available in selected cities in India.
Though it’s an online bank, as per RBI regulations, they can open accounts of individuals who reside in the city where DBS has their branch. I had opened it and my account was closed after 2 days with the reason I mentioned above.

But Kotak has similar only only account - Kotak 811 and AXIS also has similar - AXIS ASAP.

Not sure about interest rates but their charges are NIL for almost all the services and they are Zero Balance account.

34

But I read reviews of many people all over india who have online account with digibank & they are quite happy to earn 7% interest on their balance along with many other features which comes free too.

Why did RBI not close their accounts?