# DP Charges In Motilal Oswal

#### DP Charges

Have you ever thought that a stockbroker might hide information from you that might eat up your profits at the end of a transaction? No? Well, DP Charges are one such piece of information. Thus, today we will be discussing – DP Charges in Motilal Oswal.

## What are DP Charges in Motilal Oswal?

The final Depository Participant charges are decided by the broker, but a part of it is given to the depository. This minimum amount is fixed by the Depository – CDSL and NSDL. This is applicable here as the broker has a valid Motilal Oswal DP ID.

The broker adds a small amount to it for itself, and the rest is paid to the respective depository.

A DP charge is levied on every scrip generated by the trader or investor and is charged when you sell the financial asset in a delivery trading. The DP charges of Motilal Oswal are 0.075% or ā¹75, whichever is higher.Ā

With the DP charges put out there, are you wondering how DP charges are calculated in Motilal Oswal?

Ā Well, letās find out the answer.

## How DP Charges are Calculated in Motilal Oswal?

Motilal Oswal DP charges are calculated by a simple method of multiplying the number of scrips generated with the DP charge per scrip. It is charged only when the scrip is sold. Letās understand this with a simple example.

Suppose you execute three trades worth ā¹10,000, ā¹1,00,000, and ā¹10,00,000 in one day, then three respective scrips are generated. For every scrip generated, you have to meet the criteria mentioned earlier.

Scrip 1 – ā¹10,000 X 0.075% = ā¹7.5, which is less than ā¹75. Therefore, the DP charge here is ā¹75.

Scrip 2 – ā¹1,00,000 X 0.075% = ā¹75, which is equal to ā¹75. Therefore, the DP charge is ā¹75.

Scrip 3 – ā¹10,00,000 X 0.075% = ā¹750, which is more than ā¹75. Therefore, the DP charge here will be ā¹75 only.

With the above examples, we hope that the concept of calculating DP charges in Motilal Oswal is clear.

So, when opening an account with the broker, it is good to consider DP charges along with the Motilal Oswal demat account charges.

### Motilal Oswal DP Charges Calculator

Many traders and investors are confused in the calculations for the DP charges in Motilal Oswal. But why be confused when you can use a calculator for the same.

You have to pay DP charges while the shares are debited from your demat account, i.e., when they are sold. You can either calculate them manually or rely on the advanced Motilal Oswal DP charges calculator.Ā

Here you just need to enter the number of transactions done by you from your demat account and the overall DP charges will be displayed.Ā

So, in case you calculate DP charges for the above transaction, it would be equal toĀ

ā¹75 + ā¹75 + ā¹75 = ā¹225

So, you end up paying ā¹225 for the three trades, irrespective if you made a profit or not.Ā

#### Conclusion

DP charges are one of the many aspects not much discussed when an individual opens a demat account with a stockbroker. Therefore, you must be aware of the popularly known āhidden chargesā.

We have discussed all the crucial aspects of the charge borne by the trader or investor. You have also learned how to calculate the DP charges in Motilal Oswal. Further, you can also use a calculator to ease the process.

We hope that all your queries regarding the Motilal Oswal DP charges have been resolved.