What are DP charges and why are they charged?

General
39

Greetings

DP (Depository participant) charges

₹13.5 + GST per scrip (irrespective of quantity), on the day, is debited from the trading account when stocks are sold. This is charged by the depository (CDSL) and depository participant (Zerodha).

Suppose I have 5000 qty of Nifty Bees.
If I sold the full quantity of 5000 on a particular day, then what would be DP (Depository participant) charges applicable.

Whether the DP (Depository participant) charges would be 5000 x 13.5 = Rs. 67,500 + GST per scrip

Or

Whether the DP (Depository participant) charges would be only 13.5 + GST per script

Awaiting your prompt response

40

For Liquid bees/ETF the DP charge is 8+GST and not 13.5+GST and it ll be charged per scrip. So it ll be 8+GST per scrip irrespective of the quantity.

41

Thank you very much abhishek.vg

1 Like
42

How the dp charges levied?. I only know that they are not applicable for intraday.

43

https://zerodha.com/charges#tab-equities

1 Like
44

You can find the answer here.

45

What if i sold it within t+2 days not on the same day. Is then dp charges are levid

46

No they are not. Please read the post above.

47

  1. DP charges are a form of charges because there’s no free lunch.

  2. Why are they charged? The same reason why you make money or why everyone gets up in the morning. Again, there’s no free lunch.

What are you even talking about? SMH.

48

Hi, does dp charges apply if you sell your shares on t1 Or t2 in cnc? If they apply, how much is it then? Also, if I can use cnc to sell shares either today, tomorrow with intraday charges why don’t we use it? Why do we use it then? Please help me on this.

49

You don’t have to pay DP charges if you sell on T+1 day, if you sell on T+2 you will be charged and charges are Rs.15 (irrespective of quantity).

Not able to understand your question, can you rephrase?

50

If I sell a share using intraday on same day the day I bought it then I can also do it using CNC, right? If it is right then why people still opt for intraday instead of CNC, as whatever we can do with intraday can be done with CNC plus CNC decreases the risk also.

51

You get leverage for intraday trades when you use product code MIS. All the positions under the EQ MIS and F&O MIS product code will get automatically squared off at 3:20 pm and at 3:25 pm respectively.
Using CNC product code you will not get any leverage nor will your position be auto squared off.

1 Like
52

Thanks a lot for clearing it.

53

Add to that when you trade with intraday order types you can also use Stop-Loss and save yourself from sudden swing in price movement and not only that, using compulsory SL helps you remain desciplined.

54

What are the DP charges and how are they charged?
Are they charged on every sell transaction?
Are they charged once on every scrip, no matter how many sell transactions we make for that scrip?
Or is it something else?

56

https://support.zerodha.com/category/account-opening/charges-at-zerodha/articles/what-do-dp-charges-mean

Read this, it explains everything.

57

Thanks!

58

I did the same but received debit notice as SMS and email from the NSE.

Is this means debit transaction has occurred right and I’m going to be charged?

I bought on 17th :

bought
bought800×88 9.2 KB

Sold on 18th June :
sold2
sold2799×56 3.56 KB

Transaction Alert on 19th :

debit%20credit
debit%20credit1009×462 31.6 KB

I have SBI in my holdings too, looks like shares got debited first and then the credit took place.

59

Sir/Mam,
I read the entire thread.
2 doubts based on the entire thread.

1.What is the logic behind no charges when holding sold at T+1 days and being charged when sold at T+2 days?

2.What is the DP charge for below example?
on 20/6-Bought the 200 shares
21/6-sold 150 shares
22/6-sold 25 shares
23/6-bought 25 shares
24/6-sold 50 shares

Thanks &Regards,
Sairam Singh