MTF Calculator

Enter your current MTF details and discover how you can save with m.Stock’s Pay Later (MTF)
  • Expected MTF Turnover (₹)
  • Current MTF Interest Rate (%)

  • MTF Subscription Charged (₹)
  • MTF Orders
  • Brokerage Type

  • Brokerage % on MTF Transaction

As per your Inputs

  • MTF Traded Value

    ₹ 0

    Across Orders

  • Funding Value

    ₹ 0

    Calculated assuming 80% of the turnover
m.Stock
Applicable Interest Rate
0 %
Brokerage Charged
₹ 0
Annual Interest Amount
₹ 0
Subscription Charged
₹ 0
Total Expense
₹ 35,500
(Annual Interest Amount + Brokerage + Subscription)
m.Stock

  • Effective Interest Rate

    0%

  • Annual Interest

    ₹ 0

  • Brokerage Charged

    ₹ 0

  • Subscription

    ₹ 0
Total Expense ₹ 0

(Annual Interest + Subscription)

Your Broker

  • Effective Interest Rate

    0%

  • Annual Interest

    ₹ 0

  • Brokerage Charged

    ₹ 0

  • Subscription

    ₹ 0
Total Expense ₹ 0

(Annual Interest + Subscription)

Overall interest saved with m.Stock

₹ 0

Open an Account

What is Pay Later (MTF)?

Pay Later (MTF) is an exchange approved product facilitating delivery trading with up to 80% funding in more than 700 stocks at interest rates as low as 6.99% p.a.(0.019% per day). The Pay Later (MTF) facility is available to m.Stock clients at no additional subscription fees or hidden charges.

An Example to Understand Pay Later (MTF) Better

reliance icon
₹2,340
Qty

30,000

Traded Value

₹7.02 crore

Say you want to buy 30,000 shares of Reliance Industries Ltd. trading at a market price of ₹2,340. Your total trade value comes to ₹7.02 crore. To take this position, you will need 25% of the trade value i.e., ₹1.75 crore as margin. To fund the balance ₹5.26 crore, you can use m.Stock  Pay Later (MTF) where we provide 75% funding in Reliance Industries Ltd.


In the above case, since the funding amount is above ₹5 crore, the applicable interest rate will be 6.99% p.a. Now suppose you hold this position for one year wherein the stock gains 20% and moves to ₹2,808. The market value of your position would now be ₹8.42 crore (₹2,808 x 30,000 shares = ₹8,42,40,000) and the profit would be ₹1.40 crore.

With m.Stock, you can take a leveraged position of up to 80% of your total trade value

  • available margin
    Available Margin

    ₹1.75 crore

  • +
  • mstock pays icon
    m.Stock Pays

    ₹5.26 crore

  • =
  • stocks worth
    You can buy stocks worth

    ₹7.02 crore

  • Interest rate applicable

    6.99%

  • Interest charged during this 1 year @ 6.99% would be ₹36,80,235 (₹5,26,50,000 x 6.99% x 365/ 365) and your net profit would be ₹1,03,59,765 (₹1,40,40,000 - ₹36,80,235).
  • If you had not used Pay Later (MTF), you could have bought only 7,500 shares with available margin of ₹1.75 crore. In this case, even after a 20% gain, the market value of the position would be ₹2,10,60,000, generating a profit of ₹35,10,000. By opting for MTF, you would have made an additional profit of ₹68.49 lakhs!
  • *The mentioned % is only for reference. Actual value may vary based on the stock selection.
With MTF
  • Actual profit
  • Subscription
  • Interest cost (from 6.99%)
  • ₹ 1,40,40,000
  • ₹ 0
  • ₹ (36,80,235)
Net profit
₹ 1,03,59,765
Without MTF
  • Actual profit
  • Subscription
  • Interest cost (from 6.99%)
  • ₹ 35,10,000
  • ₹ 0
  • ₹ 0
Net profit
₹ 35,10,000

Benefits of Pay Later (MTF)

Here are some of the advantages of using the Pay Later (MTF)

capability icon

Enhanced Buying Capability

You can buy up to 80% more than the available fund balance in your trading account using the Pay Later (MTF) Facility.

lowcost icon

Low Cost

You can take the advantage of margin funding to trade in larger quantities by paying the low interest cost and brokerage charge of ₹20.

higher returns

Higher Net Returns

As you pay only 20% of the total trade value while the broker funds the balance 80%, it results in higher net Return on Investment (ROI).

liquiditygap

Fills Liquidity Gap

Traders often lose out on great short-term buying opportunities due to lack of funds. This gap can be filled with the Pay Later (MTF) Facility.

How is m.Stock Pay Later (MTF) Unique?

%

Lowest interest Rate

Now you can do MTF trading at one of the lowest interest rate in the industry

Funding Value m.Stock Effective Interest Rate
Up to ₹5 Crore 9.99% p.a.
Above ₹5 Crore 6.99% p.a.

MTF interest rate will be charged on the gross total funding amount availed from m.Stock irrespective of the number of positions taken.

Features m.Stock
1. Lowest Interest Rate 6.99% - 9.99%
2. Pledging Pre-pledge
3. Pledge Charges ₹32^^
4. Holding Period Unlimited
5. Number of Scrips 700+
6. % Funding Upto 80%
7. Subscription Charges ₹0
8. Hidden Charges No Hidden Charges

  • 9. 3-Click Process

    With the quick & intuitive platform interface, you can invest with Pay Later (MTF) in just 3 simple clicks

  • 10. Clear Tracking

    You can track all our MTF positions in 1 click under the positions tab in your app & web

  • 11. Superior Return on Investment

    With zero subscription fees and low interest rates, your effective ROI increases manifolds

Open your Lifetime Free Brokerage Account

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Here's all you need to know about Pay Later (MTF)

With the Pay Later (MTF), you can generate short-term profits by pledging the same shares. You can maximise your gains with the leveraged positions. While MTF trading can be advantageous in more than one way, you must gauge your risk appetite and follow risk management.

The Required Margin in MTF trading is the minimum amount of margin that you need to pay for entering into the trade. For example, if the broker offers an 80% margin of the total trade value, then the balance of 20% that you pay is termed the ‘Required Margin’. The required margin must be maintained at all times to avoid auto square-off of your position.

m.Stock Pay Later (MTF) has one of the lowest interest rates starting at 6.99% p.a. for funding above ₹5 crore. For funding up to ₹5 crore, 9.99% p.a. interest is applicable.Apart from MTF interest, no subscription fees is charged on MTF trades conducted at m.Stock.

In MTF, interest will be calculated on the gross funded amount for the number of days you hold the position open. So, if your funding amount is Rs 25 lakhs and you hold the position for 2 months, then the applicable 9.99% interest rate will be charged for 2 months on a pro-rata basis.

With m.Stock Pay Later (MTF), interest will be charged for the gross funded amount for the number of days that you hold the position.

Interest charged on MTF trades reduces as the accumulated funding amount goes up. For total MTF funding of up to ₹5 Crore, interest rate of 9.99% p.a. is applicable. However, if the funding amount goes above ₹5 crore, interest rate drops to 6.99% p.a., which is one of the lowest Pay Later (MTF) interest rates in the industry.

In Pay Later (MTF) the duration for which you can hold a position varies depending on the broker's policies and regulatory guidelines. Most brokers may allow you to hold positions for up to 365 days (1 year). m.Stock, on the other hand, allows you to hold your MTF positions indefinitely as long as you meet the margin requirements and pay the applicable interest. However, it's crucial to monitor your positions regularly and ensure you maintain the required margins to avoid forced liquidation. Always check your broker’s terms for specific holding periods.

MTF trading can be profitable, offering leverage that allows you to take larger positions with less capital. This can amplify gains if the market moves in your favour. However, it also increases risk, as losses can be magnified. The interest costs associated with MTF can also impact profitability. It's essential to have a well-thought-out strategy, understand the risks, and regularly monitor your positions to maximise the potential for profit while managing risks effectively.

Yes, in Pay Later (MTF), interest is typically charged on the borrowed funds for every calendar day, including trading holidays and weekends. This means that even when the stock market is closed, the interest on your margin loan continues to accrue. It's important to factor in these costs when planning your MTF strategy to ensure that you are aware of the total expenses involved and can manage your investments effectively. Use m.Stock’s MTF calculator to accurately assess your MTF requirements and associated interest amounts.

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