Has happened again in Oct, and have not received any response on the ticket from the team. My only submission is - if you are good enough to identify a shortfall and levy penalty, you should be good enough to send a timely shortfall communication. And if you’re not, please don’t penalise users who have no way to know about it since most of us would stop tracking fund balances once the market closes. Talk about helping people do better with their money.
And after going through all the support articles on zerodha, the shortfall seems to be of the upfront kind in the first place, since I’ve been trading only in index options. Moreover, the article also mentions that a client has till T+1 to add funds. So the treatment from zerodha is highly dubious, and would surely want to get it verified with someone neutral.
As mentioned in my ticket, currently Zerodha wants to have it both ways- squaring off positions when margin shortfall occurs (stating they can’t pass on upfront margin shortfall penalty to users, so square off being the only way out); and in cases where the shortfall is very small and team is unable to square off since they were busy managing high shortfall positions, they’re charging delayed payment charges (which means now they are considering it as a non-upfront shortfall). Certainly it can’t be both basis a broker’s convenience, right @nithin ?
What are the examples of upfront penalty? NSE Circular on Short margin penalty refund - #26 by nithin