MTF Update: Interest Rates Capped At 15.49%

Hello Traders & Investors,

A few weeks ago we announced a huge upgrade to the funding limit for MTF on Dhan, where we increased it from ₹1 Crore to ₹5 Crore. As MTF rises in popularity amongst our users, we’ve endeavoured to keep upgrading and optimizing it for you.

Now, we’re making another important upgrade.

We are revising our highest MTF interest slab and capping the maximum interest rate at 15.49%.

Here’s the new revised slab-wise MTF rates:

This means traders using higher funding amounts will now benefit from lower borrowing costs compared to earlier slabs, helping improve overall capital efficiency while holding leveraged positions.

Our goal with MTF has always been simple - help traders participate in more opportunities while ensuring funding remains transparent, competitive, and proportionate to usage.

MTF on Dhan will continue to start at 12.49% as always, while rates vary based on your utilized funding amount through our slabwise structure.

Here’s a breakdown of the updated slabwise interest rates:

Whether you use MTF for short-term opportunities, swing trades, or building larger positional exposure, these revised slabs are designed to help you optimize costs better as you scale.

Lower rates are one piece of the MTF picture. The rest of the features has grown alongside it, often shaped by what traders in this community have asked for. A few related launches worth knowing about:

  • MTF Now from as Low as 12.49% p.a — MTF interest rates on Dhan now start from 12.49% per annum, among the lowest in the industry. Makes leveraged positions meaningfully more affordable to hold over longer windows.
  • MTF Limit Increased to ₹5 Cr — your MTF limit per client now goes up to ₹5 crore. Useful if you’re scaling beyond the earlier ceiling and want to keep more positions under leverage without splitting across accounts.
  • T+5 Orders for Short-Term Positions — hold positions for up to 5 trading days under CUSPA, without converting them to delivery. Built for the in-between trades where intraday feels too short but full delivery feels like overcommitting.
  • MTF Market Insights on ScanX — monthly MTF rental trends, top stocks, and positioning data, surfaced inside ScanX Insights. A view that started from community conversations on MFT and now ships every month.
  • Pledge Shares for Margin Benefit — pledge your existing holdings to unlock additional margin for trading. The cleanest way to put long-term holdings to work without selling them down.
  • Margin Limits Enhanced for Pledged ETFs — ETFs you’ve already pledged now earn higher margin limits than before. Particularly useful if a chunk of your portfolio sits in index or sector ETFs.
  • In-line Margin & Leverage Calculator — calculate the margin and leverage required for any trade, right inline as you place it. Stops the back-and-forth of opening a separate calculator just to size a position.
  • Convert Positions Between MTF, Intraday and Delivery — switch your open positions between MTF, intraday and delivery in a single tap. Lets a trade evolve naturally with the market rather than forcing you to close and re-open.
  • MTF APIs on DhanHQ — execute MTF orders programmatically through DhanHQ APIs. For traders running automated strategies that need leverage built into the execution layer.

Make the most of this MTF update on Dhan!

Happy Trading!
Pranita Joshi

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Thanks for the tag @Mohseen_Usmani This is a massive update for the community. Increasing the MTF funding limit to ₹5 Crore and capping the interest rate at 15.49% is a very proactive move. It’s great to see Dhan focusing on making high-volume trading more capital-efficient. Excellent breakdown of the new slabs @Pranita :rocket:

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