Interest in MTF is charged on the funded amount from T+2 days onwards. It will only be charged if there is any debit balance in your trading account. Interest rate depends on the plan your account is mapped to.
You may choose to reduce your interest rate to as low as 10%. Click here to know more about pricing.
You buy 50 stocks of Reliance Industries worth Rs.2400 your trade value will be Rs.1,20,000 but in MTF we take position by just paying the initial margin which is just 25% of total trade value i.e. Rs.30,000. The remaining amount of Rs.90,000 is funded by Kotak Securities hence interest will be paid on the funded amount of Rs.90,000.
To check the interest charged please follow the below path
Click here to get an interest charge statement. You will be redirected to the Kotak Securities website login page.
Enter your respective user ID and password for http://www.kotaksecurities.com/ and 'Do not enter the Access Code'
Note - The login ID and password for the Neo mobile app and Kotak Securities website - www.kotaksecurities.com are not the same.
Once you are logged in,
Enter your client ID and PAN or date of birth and click on generate OTP
The OTP will be sent to your registered mobile number
You can choose from the account statements available in the drop down menu
Select Interest calculation and click on generate
You will receive the interest statement on your registered email address within the next two hours