Why is my withdrawable balance negative?

The withdrawable balance represents the portion of funds that is available for transfer to your bank account, and it can be negative if the funds from a recent trade or sale have not yet been settled according to the rolling settlement cycle.

To know why the withdrawable balance is negative, you first have to know about the rolling settlement.

The rolling settlement cycle in India is two trading days for equity trades and one trading day for F&O trades. This means that the sale proceeds from equity trades will be settled to your trading account two trading days after the trade date, and the sale proceeds from F&O trades will be settled one trading day after the trade date. Before the sale proceeds are settled to your trading account, the withdrawable balance will be negative and represent the amount that is still in the process of being settled. Once the sale proceeds have been settled and the withdrawable balance becomes positive, you will be able to place a withdrawal request to transfer the funds to your bank account.

It's important to note that a negative withdrawable balance does not mean that your trading account is in debit, but rather that the funds are still in the process of being settled.

Please Note:

• The negative withdrawable balance reflects the unsettled funds and will become positive once the funds have been settled and are available for withdrawal.

• Attempting to withdraw funds when the withdrawable balance is negative will result in a failed request, as the funds are not yet available for transfer.