Why Is the Penalty Rate on Debit Balances More Than 15% p.a. at FYERS?
FYERS charges a flat penalty rate of 15% per annum on debit balances above ₹100. Because this rate is applied daily, the effective rate in shorter periods may appear higher than 15% p.a.
How the Penalty Is Calculated
- Annual Rate: FYERS applies 15% p.a. on any negative (debit) balance above ₹100.
- Daily Application: This rate is broken down as 0.041% per day—charged each day your account remains in debit.
- Effect Over Time: Over multiple debit days or fluctuations, cumulative accruals may make the monthly percentage look more than 15%.
The penalty is calculated daily and posted monthly as a Journal Voucher (JV) in your ledger.
Important: Once the penalty is posted via the JV entry, it is not reversed. Clearing your debit balance sooner helps avoid further accruals.
Tip: To understand when penalties apply on debit balances, refer to
this article.
What If...
| Scenario / Question | Explanation / Redirection |
|---|
| Your penalty seems more than 15% p.a. | Daily accruals over uneven debit periods or multiple usages can inflate monthly figures. For the full charges matrix, refer to this article. |
| You alternate between debit and credit frequently | Each debit period triggers fresh daily accruals, which sum up. |
| You’re in debit only for a few days | The daily rate applies even for partial periods. |
| You want to check penalty methodology & rules | Refer to this article for full terms. |
Last updated: 09 Oct 2025
Related Articles
Will FYERS charge penalties for debit balances in trading accounts?
If your FYERS trading account reflects a negative (debit) balance of more than ₹100, a penalty is charged. This helps maintain platform integrity and ensures timely clearance of dues. How the Penalty Works Threshold: Penalty applies when the debit ...
Why Does FYERS Not Offer Zero Brokerage for Trading?
Zero brokerage may sound appealing, but FYERS prioritizes a reliable, transparent, and high-performance trading experience. To sustain this quality, FYERS charges a flat brokerage fee of ₹20 per executed order. Why FYERS Charges Brokerage The ₹20 ...
How Is Brokerage Structured for Equity F&O at FYERS?
At FYERS, brokerage for Equity Futures and Options is designed to be flat, transparent, and cost-efficient. The structure benefits both high-volume traders and those trading smaller lot sizes. Brokerage Structure for Equity F&O Segment Brokerage ...
What Are the Brokerage Charges for Commodity Trading at FYERS?
If you are trading commodities on FYERS through MCX, it is important to understand the brokerage charges that apply to your trades. FYERS follows a flat and transparent pricing model for commodity futures and options, aligned with its equity F&O ...
Are DP charges applicable for BTST (Buy Today, Sell Tomorrow) transactions at FYERS?
BTST trading lets you sell shares before they are fully settled in your demat account. If you're using this feature on FYERS, it’s helpful to know whether any charges apply—especially DP (Depository Participant) charges that are often overlooked. ...