Hi All,
I have not posted anywhere outside the Zerodha thread till date, don't want to do it either...With all this discussion happening and the love I have for Zerodha
I am forced to comment on this....
As far as the discussions are concerned:
1. PAYIN: Why would we not want to update funds in your account if it shows up... Our business involves making brokerage from your trading... If we don't update funds, you won't trade and we don't make any brokerage..... RTGS happens within 2-3 hours, but with NEFT it is very tricky... We don't have any control on it, we update it when we receive it... If it takes long, you need to understand we are as clueless about this as you are!!! But that said, as I had already mentioned, we have tied up with atomtech(FT company) and we are running the final level of testing , following banks
http://www.atomtech.in/banks.html and a few more would be available soon.... This gateway would be available on the backoffice and not on nowonline.in
2. Payouts, We can process payouts only once days trading is done... Final processing happens between 6 to 7 pm everyday and hence we say that we will process the withdrawals after that...So even if you put the withdrawal early in the morning, we will process it only by 7pm.... Here is the tricky bit, the last NEFT transfers for the day from RBI is done at 9pm, if there is a big queue they push it to next day morning.... Any of our client who has hdfc bank account will vouch for the fact that the funds come in the same night, as it is an intra bank transfer(we bank with hdfc)!!! for inter banks I could share with you documented proof on what time NEFT is executed at our end, once we have done our bit, you need to understand that we will have no control on how fast it hits your bank account!!!!! It is then upto the bank and RBI....
3. Backoffice: Come on guys, I understand this is not the best interface, but in terms of reporting it has everything that is required in the simplest format!!! I understand that it has a problem with compatibility with all browsers, but we have told the workaround!!! If you look at a report on a browser that is not compatible, it definitely won't work right!!!!
But we are trying to figure out ways to make it compatible with all available browsers...
4. As far as the margins are concerned: When we started out, the idea was to be as honest as possible and we thought that we will get the same response from our clients... 90% of our clients are, but there are the 10% out there who want to put us in a spot.... I know it doesn't sound fair that we remove the margin factor for the 90% because of the 10% rotten apples... But if you put yourself in our shoes there is no way to know who will cheat and who will not... Recently with a few Z category stocks going up and down in circuits, we have had clients defaulting...
None of the established brokers give any margin on Z category and with this problem we faced, we won't either.... As far as B category is concerned, if any stocks suddenly starts moving up and down 10%, again for risk management we have to reduce the margin factor till it normalizes... Even NSE VAR margin is based on volatility of stocks... If an SKS moves 15 to 20 % in a day, as brokers we have every right to charge extra margin to manage our risk.... What you would have to understand is, this is done in the common interest for everyone involved with Zerodha.....
Just wanted to clarify, the way some of you put up your posts, I was dazed on what we are doing wrong!!! If you have traded with brokers other than those who are banks(icici, kotak etc), you know that fund withdrawals can take time... Had taken 7 days once when I was trading with reliance money, 14 days with bmawc, 5 days with indiabulls..... We do it today in 24 hours, so still perplexed on the complaint!!! ...
Anywys, happy trading!!!