New plan by 5 paisa - (MARGIN PLUS) 50:50 not required

They want to be compensated for the risks. This would be there justification for this. Otherwise 12% is more then enough at today’s time. Though couple of years back 18% was normal but not now.

They (Kotak) charge interest on collaterals provided. Paying


@arvind1k no not at all , they are not charging any intrest against colleterial , somebody are misunderstood in the website it mention , its not like that , they will charge only on negative balance ,

for example if you have 100000 woth of shares
you pledge it - then you will get 10% haircut . 90000 availabale for tgrading
anyway you can take trade for full 90 k , there is no problem for kotak
you need to maintain cash amount in trading account to maintain MTM flucation - if you are keeping 0 in trading account then they will charge intrest on outstanding negative balance in trading account

They charge it at the end of month, not daily:easy to miss if u don’t check after few days of month ending.

(I’m talking about trade-free-plan, which I presume is the latest offering:already using it)

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@arvind1k No its not like that , i am using five month , i also confirm with my dealer , there is no intrest on that , there is no intrest on colleterial you received
, for exapmle you take position on full colleterial then ok , your cash balance went negative , you have some unpledge stock in your demate or some stock or not accepted by clearing corporation like reit and invit . you can use those stock to clear the cash debit balance for this they will charge 8.99% ok , other wise DPC charge will be 22% ,actually kotak is helping a client to reduce the intrest from 22% to 8.99%

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Let’s ask them directly.
Dealers are notorious for giving false information.

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@arvind1k i asked clearly , i am trading about 5 month in small qty only for testing purpose , i did in received any interest , because kotak mention everything frankly thats a confusion , i confirm 2 month back to my dealer there is no intrest on colleterial , you can buy direct mutual fund also no charges - the same you can pledge also

In my wifey account I have kept only enough cash (1-1.25 lac) to cover for 1 lot of derivative position. I have also pledged ~5 lacs of equity/MF to give me additional margin to execute additional trades if I choose to. Near expiry, I roll over to next month. It’s for 1 day that my margin requirements “exceed” my real cash balance. And I get deducted this amount from my account for “additional” margin utilised from pledged part: refer screen shot.

I wish your version is true-If they don’t charge interest I will “transfer” half my trades to her account. But as per my understanding, they charge. Anyway let’s wait for their reply on twitter.
It was a nice conversation. I will update as soon as I get any reply. Expecting the same.

Thanks and regards

They do charge, that’s what I was mentioning as well earlier. It’s clearly mentioned on the website & also check this:

This guy is one of the head honchos there, he’s saying it as well.

Having said that, sometimes these brokerages do forgo certain charges if you’re able to generate certain brokerage/turnover per month, comes down to negotiations…

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This is the reply I received


but still i did in charged anything , anyway i am testing and finding some other broker for my criteria , still i have 1 cr in zerodha . i transferd 5 lakhs each to 5 paisa . kotak and fyers for testing purpose , in my opinion fyers is doing good , finally i will try fyers , this month i will finish my trading in zerodha and i will move to fyers , i am using his platform some month , i love it , better i can avoid DPC charges , fyers no need to maintain these ratio and so on ,
paytm is early stage , still not pledging process started - lets see

every year DPC charges from my account is going to zerodha around 2 lakhs + , its horriable , SEBI want to make rule no to charge interest - every body is fraud to take other money

Fyers does not have any DPC charges ? I think it’s around 18% p.a , but I’m not sure.

there is no charge for pledging and unpledging - direct mutual fund available - mutual fund haircut is liquid funds 10% rest all equity , debt fund is 7.5%

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What I do to get cash equivalents to “satisfy” 50:50 rule is to pledge GOI bonds and even sovereign gold bonds apart from liquid fund.

How is their desktop terminal ? Fyers one.
Is it stable ?

desktop i love it all information is there - for every kind of trader its will usefull


yes you can

@TradeB2B - How is the Kotak mobile app, Is it stable , have you faced any problems or issues with that. Please provide your feedback, Tganks

@vikki not at all any issue - i never face any problem in kotak - his mobile app is ultrafast