Cheated on brokarage charges

Read the fine print. Your broker will have put a 'minimum brokerage' line somewhere.

This is normal every brokerage has a threshold below which a min brokerage is charges eg Angel Rs 80, Indiabulls Rs 100 etc.

Nowhere it is given it is just summarily mentioned after you enquire about the min charges. Anyway it has been reported in the newspapers and that is anyway what these forums are for-discovering creative charges!

angel broking minimum rs per contract is 30rs...

saurabhgotyou,

You have every right to complain to NSE or BSE. First complain to Angel Broking in writing and see their reply, then when they reply reply back, reply back stating that they can take maximum 2.5% maximum brokerage and copy the email to SEBI, NSE or BSE. Please find emails to send the email for SEBI, NSE or BSE.

[email protected]
[email protected],
[email protected]
[email protected]
[email protected]
[email protected]
[email protected]
http://www.sebi.gov.in/Complaint.html
http://www.ccccore.co.in/

bunny, dont you think that the broker's minimum brokerage clause anywhere is against the maximum brokerage clause by NSE or BSE and it is in direct violation of the agreement that Angel has with NSE or BSE. If the brokerage is more than 2.5%, investors can complain to NSE or BSE and SEBI.

Hi!!

Appended circular from NSE website which says that, where the sale/purchase value of a share is Rs. 10 or less, the broking house may charge a maximum brokerage of 25 paise to its clients. Hence we may not fight with broking houses on these grounds. On the other hand, I have always believed that price movements in Penny & Illiquid stocks is purely based on speculation & do not have any fundamental reasons and thus are highly risky in nature. Hence would advise others to stay away from the same.

Sub: Clarifications regarding certain matters

Trading Members are advised to take note of the following clarifications.

1. As per circular no NSE/ CMT/ 001 dated 28/10/1994, the maximum brokerage chargeable by a Trading Member in relation to trades effected in the securities admitted to dealings on the Capital Market segment of the Exchange shall be 2.5 % of the contract price exclusive of statutory levies. It is hereby clarified that where the sale / purchase value of a share is Rs.10/- or less, a maximum brokerage of 25 paise per share may be collected.

2. As per Regulation 3.5.1, every Trading Member shall issue a contract note to its constituents for trades executed in such format as specified in annexure 2 of the NSE ( Capital Market ) Trading Regulations. It is hereby clarified that if a Trading Member is unable to provide all the trades of a client in a single contract note, it may, if it so desires, use continuation sheets subject, however, to the condition that the main sheet shall be in the prescribed contract note format and the continuation sheets shall contain the following particulars :
i) Name of the Trading Member ( to be pre-printed )
ii) SEBI Registration number of the Trading Member (to be pre-printed )
iii) Name of the client.
iv) Trading Code and Unique Client Code of the client
v) Contract Note number
vi) Settlement number
vii) Signature of authorised signatory ( to be signed by the same signatory who signed the main sheet in the prescribed format )
viii) Page number ( starting from the main sheet in the prescribed format )
ix) All the details mentioned in the box given in the contract note format namely Order number, Trade number, Trade time, Quantity, Kind of security, Purchase / Sale rate, Brokerage, Net rate and Amount for the securities bought / sold.
Stationery control number of the continuation sheets shall be serially pre-printed for stock control purpose and the trading members shall maintain a control record for the printing and usage of the stationery.

It is also clarified that a Trading member may, if it so desires, issue contract note cum bills without diluting the form prescribed for contract note.

3. As per Regulation 3.5.3 of the NSE (Capital Market) Trading Regulations, the contract notes shall be numbered with unique running serial number commencing from one which shall be reset only at the beginning of every financial year. It is hereby clarified that financial year for the purpose of resetting the serial number of contract note is April to March.

4. As per circular no 60 ( Download Reference no NSE/MEM/275 ) dated 12/06/1997, it shall be the primary responsibility of the affiliated stock broker / Trading Member to inspect the registered sub-brokers. It is hereby clarified that every Trading Member is required to inspect every year at least 10% of its active sub-brokers and 10% of its active branches and also to ensure that each active sub-broker / branch is inspected at least once in every five years. For this purpose, an active sub-broker / branch means one whose turnover is above 1/10th of the turnover of the Trading Member during the previous financial year ( viz April to March ).
For National Stock Exchange of India Limited

Excellent work dhruvs,good info! :thumb:

That tragedy happened with me also in cals refineries.Late i found that for prnny stocks brokers charges pay per share brokerage means 3 paisa per share of cals which is [email protected] .Almost 10% of the share price .
Has anyone found a broker which don't charge on the basis of pay per share for penny stocks.

I think all brokers charge such brokerage

ICICI Direct Does not charge more for Penny Stocks.... Thats from my personal experience... But they will charge you 0.55%... And there goes your profit...