For me the minimum amount due is displayed very oftenly.Like half of the interest to be paid by 18th Dec and then rest by 25 or 30th of month like that.
I have paid full interest in two parts by 18th and 30th Dec as per the instructions.
It happened for last couple of months.
Today i see 30% of interest amount to be paid by 08th Jan.This one looks like i am paying in advance.
Please let us know if we can have a report of interest amount paid and total loan amount for that particular date.
LAS loans require you to service just the interest rate applicable on a month on month basis. There is no concept of EMI applicable to LAS loans. For example, if you have borrowed Rs.2,50,000/- at an interest rate of 10.5%, then the daily interest rate is –
10.5% / 365
The daily interest amount is –
0.0287% * 2,50,000
So for a month with 30 days, the interest amount applicable is –
71.91 * 30
You can click on the link given below to check your loans ledger.
I thought peer to peer lending was illegal no? Sky high interest rates with sky high NPAs; it was doomed to be halted. As a customer I am happy to see Zerodha exercise prudence rather than reckless exuberance.
I had a LAS account with Axis where they charged me 11.5% (which was preferential rate - don’t go by what they advertise; it is only if you withdraw the max loan). I shutdown that account when in Mar 2020, it took them a royal 2 weeks and several phone calls/follow ups to unpledge my holdings by when my pledged stock was already down 30%-40%; so yes convenience of clicks matters and I would pay a premium for that.
Finally good to see your views on following the rules; gives me much more confidence that my capital is safe. That kind of circus is precisely what we call DHFL and Yes Bank right now.
@Harshal_S_Katare thanks for the Ledger link.This is giving info what i am looking for.
@Karthik I see this on Loans Dashboard.I am talking about interest (which i expected to pay only by 5th of every month.Interest for previous month. what i see on Dashboard is to pay some partial amounts on random dates of a given month).
I would like to pledge some shares (which are not part of Approved list of Zerodha) with other Banks.
Can someone share your views which one is best and safe along with unpledge experience with them.
Sorry Team Zerodha for using this space to get some details for personal view.
Just wanted to let you know that this is a huge huge huge inconvenience. I wanted to sell some shares but am forced to pay off everything which takes a couple of days in that letting me miss my opportunity and also that I have to find sufficient funds to close it. This one flaw is making the entire experience bad. Plus it has been so long and many other brokers seem to readily allow it, why is it so hard for Zerodha alone then? Why don’t you work a bit more quickly on things that really matter for the end-user?
I took time to decide which Bank should i approach and finally took account with HDFC yesterday.
just now i realized i need to transfer shares from CDSL to NSDL and it is costly (2500 Rs) through online.
I need to go offline way which is again time taking process
Will update here how the process goes thru while applying loan.
Hi @Karthik, my wife availed the LAS facility just now. We required funds for at max few weeks. We know we can repay part of it or close the loan altogether to get the securities unpledged. We may be requiring such loans off an on basis for few days to few weeks max. We went through the blogs and got to know that HDFC and probably few others provide overdraft facility with LAS, means approved loan say is 5 lacs, you take out whatever is required, pay interest ONLY on utilised loan, repay in full or part of and may keep on repeating the same. It suits Our kind of requirement. Now my questions are:
Is there a possibility that in association of idfcfirst bank you may also provide the same facility of overdraft in near future?
One may argue that for our kind of requirements, we may take repeated loans and repay when money is not required. But what pinches here is the required upfront payment of roughly 440 Rs per episode, apart from inconvenience of repeating the process again and again.I have thought of a little “hack”. Is it possible we don’t “close” the loan totally; instead payback most of it and keep the loan book running with bare minimum amount and keep topping up as and when required?
The thing is that although you have the OD kind of facility, your stocks will be pledged with the NBFC/bank. But in our case, your stocks will be in unpledged and will remain when you don’t have an active loan with us. So your securities are safe with you.
We don’t really need to associate with any bank for this, its just that we decided against the OD route and use the client’s security as a pledge only when there is an active loan.
Yes, you can take a loan, repay bulk of the amount and keep the loan book running, but when you want to take a topup, you will need to give us fresh securities. This is because when your securities will be pledged with us until your loan is active (irrespective of the outstanding value). But I understand your concern, I think partial unplede facility should solve for this.