Tradeplusonline interest charges

[newnovice]

I have earlier posted that the broker charged me towards sms charges which I never authorised. Indeed not informed about it at all. Over phone they said it is sebi mandated. But on email then they said it is company mandate. After complaining to SEBI they have re-credited the amounts charged.

Now my issue is more serious. I am receiving email from them daily communicating the running account balance. There is NEVER a debit balance in that. Strangely they have deducted more than 3000 towards interest. I queried them and the response was puzzling. They say that I should check in the backoffice clicking on the "include initial margin" and check the ledger. I am unable to understand as to why they sent me email showing credit balance everyday. Indeed I have traded during the month even they have been adding to the interest accrued without intimation and which is contrary to the running account sent by email. Running account is always positive. Is it the correct way or should I approach SEBI once again? My primary query is if they have given me wrong information in their email of running account which was always in credit. Request senior members to please educate me on this.

 

[Loss_Lover]

I have earlier posted that the broker charged me towards sms charges which I never authorised. Indeed not informed about it at all. Over phone they said it is sebi mandated. But on email then they said it is company mandate. After complaining to SEBI they have re-credited the amounts charged.

Now my issue is more serious. I am receiving email from them daily communicating the running account balance. There is NEVER a debit balance in that. Strangely they have deducted more than 3000 towards interest. I queried them and the response was puzzling. They say that I should check in the backoffice clicking on the "include initial margin" and check the ledger. I am unable to understand as to why they sent me email showing credit balance everyday. Indeed I have traded during the month even they have been adding to the interest accrued without intimation and which is contrary to the running account sent by email. Running account is always positive. Is it the correct way or should I approach SEBI once again? My primary query is if they have given me wrong information in their email of running account which was always in credit. Request senior members to please educate me on this.

Did you use MAS wherein Cash fell less than 50% which you did not cover up? Or did you use their MTF?

This is an excerpt from their MTF FAQ:

Q: What is the interest rate offered under this MTF funding?

A: We offer the margin trading funding facility with the interest rate @ 2% monthly.

I think Running A/C Balance is not the liquid cash lying in your account, rather Net Balance is. If you are not short of Margin for your positions, then it is very unlikely that a Broker will charge you interest.

 

[newnovice]

Did you use MAS wherein Cash fell less than 50% which you did not cover up? Or did you use their MTF?

This is an excerpt from their MTF FAQ:


I think Running A/C Balance is not the liquid cash lying in your account, rather Net Balance is. If you are not short of Margin for your positions, then it is very unlikely that a Broker will charge you interest.

I have not done any trading and Indeed told them not to pledge my shares and I don't want any collateral. But it looks like they cheated me by giving a positive running balance and even allowed me to place fresh orders while silently adding to the accrued interest. I think I should have had more cash than what is there based on the margins required for the derivative positions I have. This is something that I am seeing with this broker only. Thank you for the advice.

 

[Loss_Lover]

I have not done any trading and Indeed told them not to pledge my shares and I don't want any collateral. But it looks like they cheated me by giving a positive running balance and even allowed me to place fresh orders while silently adding to the accrued interest.

If Shares are pledged, they will be debited from your core Demat (CDSL or NSDL), however, would show as Holdings in your Trading A/C. Since, you did not ask to pledge, do you see any discrepancy in the number of shares? Check the credit/debit of Shares (Transaction History) in your Demat. If you find anything without your consent, it is criminal at the Broker's end and by all rights please lodge a complain at NSE.

 

[newnovice]

They are cheap people who have deliberately hidden information. I will bring it to the notice of SEBI/NSE but I think nothing can be done because the margin required for the positions I have is more than what is available. They are just cheating type.

 

[curiousv]

I have not done any trading and Indeed told them not to pledge my shares and I don't want any collateral. But it looks like they cheated me by giving a positive running balance and even allowed me to place fresh orders while silently adding to the accrued interest. I think I should have had more cash than what is there based on the margins required for the derivative positions I have. This is something that I am seeing with this broker only. Thank you for the advice.

I think you might have used https://www.tradeplusonline.com/Margin-Trade-Funding.aspx
MTF they provide funding on which they charge interest. Did you buy some stocks without paying full value of those stocks i.e. in that case they might have provided margin.