What is Margin Trading Facility (MTF), and how does it work on FYERS?

What Is Margin Trading Facility (MTF), and How Does It Work on FYERS?

Margin Trading Facility (MTF) allows you to buy stocks by paying only a portion of the trade value upfront, while we fund the remaining amount. It helps you take larger delivery positions with limited capital by leveraging approved stocks in your Demat account.

How It Works

  • You pay an initial margin, which is a percentage of the total stock value.
  • We fund the balance as per a slab-wise interest model.
  • Stocks are pledged but remain in your Demat account in your name.
  • Interest is calculated daily and posted to your MTF ledger weekly.

Example

If you want to purchase shares worth ₹4,00,000 and the margin requirement is 25 percent:

  • Your margin: ₹1,00,000
  • Funded by FYERS: ₹3,00,000
  • Applicable slab: ₹1,00,000.01 to ₹10,00,000 → 15.49 percent per year or 0.0424 percent per day
  • Daily interest: ₹3,00,000 × 0.0424 percent = ₹127.20

Interest is charged daily and appears in your MTF ledger weekly. To learn more about rates, refer to this article.

Key Features

  • Positions can be held beyond the trading day.
  • Only exchange-approved and FYERS-enabled stocks are allowed.
  • Interest is charged only on the borrowed amount.
  • You can track MTF activity in the Funds & Margin and MTF Ledger sections.
MTF is not available for intraday F&O trading on FYERS.

How to Activate MTF

On FYERS App

  • Open the FYERS App and log in.
  • Tap the menu icon and go to My Profile.
  • Navigate to the Segment tab.
  • Tap Activate MTF.
  • Enter the OTP sent to your registered mobile or email.
  • You will receive a confirmation once activation is submitted.

On FYERS Web

  • Go to FYERS Web and log in.
  • Click the profile icon and select My Profile.
  • Go to the Segment tab.
  • Click Activate MTF.
  • Enter the OTP sent to your registered mobile or email.
  • You will see an on-screen confirmation after submitting.

On FYERS Trader

  • Log in at FYERS Trader
  • Open the Order Panel for any stock.
  • Click Try MTF in the order options.
  • Read and accept the terms and conditions.
  • Click Activate with OTP and enter the OTP sent to your mobile.
  • Once verified, your MTF activation is submitted.

What If...

ScenarioWhat happens
The margin requirement changesUpdated margin requirements are reflected in the order window.
The position is not squared offIt continues under MTF, and daily interest will apply until the position is either fully funded or exited.
A corporate action is announcedMTF eligibility continues, since the shares remain in the client’s demat account.
MTF-related assistance is requiredYou can contact us for help.
OTP is not received during activationCheck whether your registered mobile number and email ID are correct, then try again.
MTF is not activated after submissionLog in again and check the status. If it is still inactive, contact us.
MTF needs to be deactivatedTo deactivate MTF, contact us.
MTF is used for F&O tradingNo, MTF can be used only for Equity delivery.
A stock is held under MTF for a longer durationThere is no restriction on the holding period, as long as the required margin is maintained and funding obligations are met.
Collateral is used to initiate an MTF positionMTF positions can be initiated only using the available cash balance. Margin from pledged shares cannot be used.
MTF is used in a non-EQ stock categoryMTF is available only for stocks in the EQ category and is applicable exclusively to EQ category stocks listed on the NSE exchange.

Last updated: 07 Apr 2026


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