MTF orders are subjected to 3 kind of charges

  1. MTF pledging charges
  2. Interest charges
  3. Brokerage

Pledging charges

  • MTF buy transaction: You are charged ₹20 (plus GST) as pledging charges by CDSL
  • MTF sell transaction: You are charged ₹20 (plus GST) as un-pledging charges by CDSL

Note

  • Stocks bought with MTF are pledged with CDSL to safeguard the interest of the broker in a situation where the client is unable to pay off the borrowed amount. 
  • These charges are applicable one time at the end of the day.

Interest charges

  • ₹20/day for every slab of ₹40,000 taken as MTF
  • Interest charges are applicable per day till you exit the MTF position or until repayment

Example: 

  • You’ve taken ₹70,000 as Margin Trading Facility. Then you would pay ₹20/day (for the first ₹40,000)+ ₹20/day (for the other ₹30,000) which is a total charge of ₹40/day.

Brokerage

  • 2.5% OR ₹20/order (whichever is lower)

Terms & Conditions Apply:

RIGHTS & OBLIGATIONS OF STOCK BROKERS & CLIENTS FOR MARGIN TRADING FACILITY (MTF) - NSE & BSE