When can we Pledge the Shares?

[mrsukesh]

Hello,

After buying the shares, at what point are we allowed to pledge these shares?
Can we pledge it immediately once we are in the trade or should we wait for stock to be credited in our demat account before pledging?

Also i see that pledging takes about 1 day to take effect and get margins. Is there a way to pledge shares instantly? (With Zerodha or any other Broker?)

Thanks

[P.A.W]

Using NiftyBees for Collateral

Yes, Scrips which haven’t been settled yet, can’t be pledged. When you buy a stock/etf the settlement takes 2 days. Check out this article for a detailed explanation. You can only pledge stokcs/ETFs which are already in your Demat account.

[mrsukesh]

Thanks for the reply!
One more small follow up question - I see that the price for pledging + un pledging is Rs:60.

How does this work?
Is it 30 for pledging (+ GST) and again 30 for un pledging (+GST)?

Apart from this will be also be charged debit transaction charges on demat account or is it included in this pledging and unpledging fees?

Thanks

[P.A.W]

@mrsukesh

How does this work?
Is it 30 for pledging (+ GST) and again 30 for un pledging (+GST)?

It’s just a one time Fee - Rs 70.8 (60 + 18% GST) will be charged per pledge. There’s no charge for unpledge.

@mrsukesh

Apart from this will be also be charged debit transaction charges on demat account or is it included in this pledging and unpledging fees?

i’m assumin you mean DP charges. If that’s what you mean, there are no DP charges for pledge & unpledge.

[newbietrader]

I am new to pledging and have a query:

Suppose I pledge 10 shares of RELIANCE, 5 shares of BRITANNIA and 1 share of EICHERMOT. So the total of all these pledged shares is say 50k. Now if I have 30k free cash and want to take a position worth 60k by using 30k margin from these pledged shares, on what basis do you decide which shares are considered in this 30k pledged margin?