Comment on Same day fund withdrawals & update on quarterly settlements

Newton Bubber commented on 10 Dec 2019, 04:07 PM

Zerodha has one of the slowest process of PayOut in India among all brokers.

Here are some instances:

1) Zerodha does not do Payout even on working Saturday’s. Hence a PayOut which could have been made on Friday and received on Saturday usually ends up getting received on Tuesday (4 days of money being lying with you and customer paying interest to bank for those 4 days)

2) Zerodha does not work on other Holidays even though it can receive money by UPI. All UPI transactions work 24*7, all year. Again the customer again loses

3) Other thing that Zerodha executives says are “our processes does not allow quicker payout”. This is easy to say since money does not belong to Zerodha. The customer has to pay interest to bank if he has borrowed money

4) You can even cancel a complete PayOut if there are DP charges and there is difference of 1 Paisa. You leave customer to manually calculate DP charges in order to make his PayOut. Even if there is difference of 1 paisa, you immediately cancel PayOut to customer. Zerodha makes NO attempt to calculate DP charges internally, subtract it from customer’s amount and make the PayOut for the remaining amount.

5) The onus of ‘all calculations’ (such as DP Charges, Day’s Buying, Bank Transfer etc) are all dependent on ‘the customer’. He has to be CA to make these calculations to get his PayOut done, forget that he even has to do trading. If he make mistake of 1 paisa, his complete PayOut is canceled by Zerodha.

We have raised this issue many times in last one year but nothing has happened. You have kept our money for longer duration. With Karvy misusing customer funds, your practice of keeping money with you for longer duration is NOT good.

As such, we have trusted you to keep our securities. You could atleast make PayOut faster, keep your process cleaner and customer life easier.

Regards,
Newton

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