Instant Redemption on Coin

Can we expect Instant Redemption on Zerodha coin anytime soon?
Don’t really want to open accounts on different apps or websites.
If this feature was available was on coin then it would be great @nithin

Instant redemption isn’t really possible, every fund has a different settlement cycle.

@Bhuvanesh + +

If you are referring to instant redemption of liquid funds, then afraid this isn’t possible because MFs on Coin are held in demat. Having said, liquid funds now have a graded exit load, instant redemption becomes a little less attractive:

I use liquid funds for emergency corpus and a missing instant redemption feature can be a deal breaker. I think things like instant redemption and STP/SWP and cannot transact using AMC or other platforms are becoming more and more against coin

@nithin @Bhuvanesh If I have understood the query correctly, @Abhranil_Dutta_majum is asking for Instant Redemption for those select funds which redeem as early as 30 minutes.

Following is the list of those funds:-

  1. Nippon India Liquid Growth Direct Plan
  2. Aditya Birla Sun Life Liquid Growth Direct Plan
  3. PGIM India Insta Cash Growth Direct Plan
  4. Axis Liquid Growth Direct Plan
  5. ICICI Prudential Liquid Growth Direct Plan
  6. Principal Cash Management Growth Direct Plan

In the above funds, one can get the redemption amount in their bank account in about 30 minutes, 24x7, even on weekends and days when the market is closed.

Just for this purpose of instant redemption, one may have to open an account in those 3rd party competitor websites and invest in non-demat format.

It would be great if somehow this feature is made available for Demat format also. Just thinking so because NEFT transfer is already 24x7 available. So if there is some way to make this instant redemption feature available, it would stop such people from moving away from Coin to invest in those 3rd party websites (non-Demat) for this sole purpose of instant redemption.

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I know @nithin has said many times it’s not possible through them, but thought it is best to illustrate here why it makes a huge huge difference. If I redeem 50k in the DSP liquidity fund directly on DSP App around 5pm on a Friday it hits my bank account immediately in less than a minute. If I do the same on Coin, I think the earliest my bank account can get credited is Wednesday (or surely not before Tuesday?!) (considering that I don’t have HDFC bank account). Those 5 days really make a huge difference.

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On that note, I would love to have the redemption proceeds directly in my bank account rather than through Zerodha. I know you had said on some forum that you were working on that, albeit a couple of years back. Any update on that?
Secondly, I also know you were working on instant withdrawal up to 50k from an Account through IMPS. Any update on that? That way we don’t have to rely on when HDFC Bank implements the NEFT bit,at least up to 50k which is I think a decent amount for emergency!

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@nithin yourself or anyone else you think may be able to answer above? @Bhuvanesh

The last 2 to 3 months have been quite chaotic. All focus has been to handle the sudden increase in scale and volatility. This instant withdrawal etc has gotten pushed back, we will soon start working on it. Can’t give a date yet.

Redemption proceed directly to your account is again currently not possible.

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