Request for Instant Credit on MTF Sell Holdings

Product Feedback 🗣️ Margin Feedback ⚖️📊
1

Dear Team,

I have noticed that brokers like Fyers and Lemonn provide instant credit of funds when we square off positions taken under MTF (Margin Trading Facility). This allows us to reinvest the proceeds immediately without waiting for settlement.
However, in Dhan, the funds from MTF sell transactions are credited only after a day, which results in missed trading opportunities due to lack of liquidity.
I kindly request you to look into this and consider enabling **instant credit of MTF sell proceeds, in line with industry standards. It would greatly improve the trading experience and fund utilization efficiency for active users.

1 Like
2

Hi @Yash_Bansal We completely understand the importance of having quick access to funds, especially for active traders. Currently, MTF sell proceeds are credited on a T+1 working day basis, as per exchange settlement timelines.

3

So how do fyers and lemonn provide funds instantly

4

Hey @Yash_Bansal ,

Unable to comment for competitors at this point but MTF sale proceeds are generally credited on T+1 as per our processes since all MTF shares are to be auto pledged with CDSL on T day so it will not be possible to give limits on the same day. Will re check if this can be optimised any further.

Thanks,
Pranita

5

Please look into this,My friend uses angel one and angel one also credit mtf margin on same day itself

6

I think you might want to check it once again… I use AngelOne pretty actively and I have not seen any evidence of instant credit of MTF ledger either on cash or pledged margin.

AngelOne still follows a T+1 MTF credit policy similar to Dhan. Can’t speak for other brokerages though.

Dhan’s products are way transparent and simpler, IMO.

Industry is lobbying with the exchanges to enable this though… If approved, then it will be made uniform