Since this article contains detailed information related to our Margin Pledge facility, we have divided it into subsections below. You can skip the sections that may be irrelevant and directly access the sections that you need help with by tapping on any of the links below.
- What does pledging stocks mean? tap here
- To learn how to pledge shares using our Margin Pledge facility on our old app, tap here
- To know the CDSL procedure after placing a Margin Pledge request, tap here
- To know how to check the updated margin after placing a Margin Pledge request, tap here
What does pledging stocks mean?
You may want extra margin to trade in the market. In such cases, you can pledge your stocks using our Margin Pledge facility and avail extra margin after a haircut.
Let’s say using Margin Pledge you pledge a stock which is trading at ₹100, then with a haircut of 15% you will get a ₹85 margin.
Keep in mind:
*Since stock prices keep changing during market hours, the collateral margin is adjusted accordingly
*Collateral margin can only be allowed for trading in Future and Options writing. You are also supposed to maintain a 50% amount in cash and a 50% amount in collateral margin for overnight F&O positions.
*Our Margin Pledge facility is only allowed on specific stocks. You can review the updated list of these stocks on our Margin Pledge module on the ‘My Profile’ page.
*You will continue to receive corporate actions benefits such as bonus, dividend, splits and more on your pledged stocks.
* Margin Pledging option is currently active only on our older app. You can download this from here:
To learn how to pledge shares using our Margin Pledge facility on our old app.
1.Login to our mobile app using your User Id and Password
2.Click on Profile and select ‘My account’
3.Click on the hamburger icon
4.Select the ‘Pledge’ option under Margin Pledge
5.Select the stocks (scrips) and quantity that you would like to pledge.
6.Click on ‘Review’
7.You will be redirected to the confirmation page
8.Check the box to read and accept the applicable Terms & Conditions
9.Click on ‘Submit’
10.When the pledge request has been accepted, you will see the below screen
Note: In case you have placed the pledge request before 4:00 PM, it will be processed on the same day and the appropriate margin will be available on the next working day. If you have placed your pledge request after 4:00 PM, it will be processed on the next working day and the margin will be available on T+2 working day (after two working days).
11.Select the dashboard option to check the pledge details
12.Pledged shares details can be checked here
*You will receive an email and SMS from CDSL before 8:00 PM.You need to approve the request before 10:00 PM.If you do not approve this, your request will be rejected.
*The cost of pledging, as well as unpledging, is ₹50 + GST per scrip
*Currently, once you place a pledge request, you can’t modify or cancel the request.
To know the CDSL procedure after placing a Margin Pledge request.
1.After clicking on link on email or sms you will be redirected to the CDSL website where you need to enter either Demat account no. or PAN card details
2.After entering the details click on ‘Submit’
3.Check the square box to select the pledge transaction and click on ‘Generate OTP’
4.Enter the OTP received on your registered email ID and mobile no. and click on ‘Submit’
5.Check the Terms & Conditions and click on ‘OK’
6.Confirmation notification will be displayed
To know how to check the updated margin after placing a Margin Pledge request.
Extra margin will be available only after the pledging process is completed.
1.After signing in, click on ‘Funds’
2.Under ‘collateral margin’ you can check the extra margin after pledging
To know in details about Margin Pledge click here