New Delhi [India], October 29 (ANI): Paytm Money, a wholly-owned subsidiary of One97 Communications Limited (OCL) and a wealth-tech platform, on Wednesday announced a significant revision in its Pay Later (Margin Trading Facility) rates, making leveraged trading more affordable and accessible for both retail and high-net-worth investors.
The new structure introduces industry-leading rates starting from 7.99% per annum, with preferential slabs designed for larger portfolios, the company said in a statement.
Investors can now avail MTF at 7.99% p.a. for funding up to Rs 1 lakh, 9.99% p.a. for funding between Rs 1 lakh and Rs 1 crore, and 8.99% p.a. for funding above Rs 1 crore.
This marks a sharp reduction from earlier slabs, where rates peaked at 14.99% for funding between Rs 1 lakh and Rs 25 lakh.
By capping the maximum rate at 9.99 per cent p.a., Paytm Money asserted that it has lowered the cost of leverage by more than one-third, ensuring traders retain a larger share of their gains.
For larger portfolios, preferential slabs bring strategic advantages. High-net-worth investors with funding between Rs 25 lakh and Rs 1 crore will now see carrying costs capped at 9.99% p.a., unlocking better net returns.
Ultra-high-net-worth investors with funding above Rs 1 crore gain access to an exclusive 8.99% p.a. rate, a benchmark for affordability and efficiency in the Indian markets.
For a funded amount of Rs 1,00,000, the annual interest at 7.99% is Rs 7,990, around 45 per cent lower than the prevailing industry rates.
A Paytm Money spokesperson said, "With MTF rates starting at 7.99% p.a. and preferential slabs for higher funding, we're making trading more affordable and accessible than ever before. Our goal is to help traders retain more of their gains while benefiting from our fast order-pad and MTF calculators, which simplify planning and support smarter, more informed trading decisions."
Paytm Money, a wholly owned subsidiary of One97 Communications Limited (OCL), is a wealth-tech platform that simplifies wealth management and equity investments through a technology-first approach. Dedicated to democratizing access to financial markets, Paytm Money enables investments in a diverse array of financial products, including equities, F&O, mutual funds, SIPs, IPOs, NPS, and debt instruments. (ANI)