I have traded with multiple stock brokers and based on my personal experience I am sharing the list of stock brokers with lowest brokerage charges in India for 2024.
When I started trading, there were no discount brokers around and I had to give away most of my profit in terms of brokerage itself.
Read : Top 10 Discount Stock Brokers in India
Situation changed when Zerodha entered the industry. I opened trading account with Zerodha in 2012 and should say savings interms of brokerage is tremendous.
Offcourse, there are other advantages in opening the account with full service stock brokers such as research recommendations and Portfolio Management Service (PMS) etc.
But that was not I was looking for. Moreover, all those information is now available freely on internet.
Why Lower Brokerage Charges is Important?
Being a trader in stock market, it is very important for us to minimize the expenses in order to maximize the profit. Lower the fees, higher will be our profit.
Just for example, do you know how much one can save if he buys shares worth 1 lakh?
Full Service Brokers like ICICIDirect – 0.5% delivery Brokerage:
Brokerage= 0.5% of 1Lakh = Rs 500
Discount Broker like Zerodha – No brokerage for Delivery/ Rs20 for other trades:
Maximum you pay is Rs20 and Rs0 if you don’t sell them on same day. (Delivery trade/investment)
Rs500 profit on 1Lakh is not a negligible amount and more importantly it is saved just shifting to other broker.
And if you transact shares worth of 10Lakh, commission increases to Rs5000 with full service brokers and remains Rs 20 with discount brokers
How minimum brokerage charges affects the tax outgo?
One more important aspect is GST. The GST tax is levied on the brokerage charges and it is 18%.
So in above case, 15% of Rs500 is Rs90. Surprising but it’s a fact that tax of full service brokers is more than brokerage itself of discount brokers.
Increase in brokerage means increase in tax also which is debited from our ledger. So it is absolutely essential to have a lowest brokerage demat account.
Stock Brokers with Lowest Brokerage Charges in India 2024
I have tried to compile and rank the list of stock brokers who are known as cheap and best stock brokers of India who offer lower brokerage charges.
Here is the list of Stock Brokers in India with lowest brokerage charge,
- 1. Zerodha
- 2. Upstox
- 3. 5Paisa
- 4. FYERS
- 5. Trade Smart Online
There are lot many other brokers charging less than those listed below . However, I have selected the brokers who are considered safe, reliable and known to offer best service without compromising quality.
These brokers are well established and hence you can open account with any one of them without any hesitation.
#1 Zerodha
Brokerage can never be lower than Zero! can it be?!!
Zerodha introduced Zero brokerage on delivery trades and no one can beat them now on price war.
The popularity of Zerodha can be seen by observing their growth. They started their operations in year 2010 with team size less than 10 people.
Within the span of eight years, they have overtaken the likes of Sharekhan, Angel Broking and finally ICICIDirect also to become largest stock broker in India.
I think it all happened because of the lower brokerage rates clubbed with good customer service and innovative products. ICICDirect with so many employees and brand name, could not stop growth of Zerodha.
‘Zerodha KITE’ is their trading platform and it is one of the best stock trading app of India.
You can refer the article about Brokerage & Account opening charges of Zerodha for more details.
Below table provides gist of Zerodha Brokerage Charges:
Check out some more articles about Zerodha.
Zerodha Account Opening Charges:
- Online through Aadhaar : Rs 200
- Offline by submitting forms : Rs 400
SaveRs200: you can save Rs200 by opening the account online. Use below Link to save Rs 200.
Click Here to Save Rs200 By opening Zerodha Account Online
Or, Like to contact them for any queries?, Request call back through the below button,
#2 Upstox
Upstox was earlier known as RKSV securities. They are based out of Mumbai.
Their trading platforms in called ‘Upstox PRO’ and it is considered as one of the best trading platform of India.
The brokerage structure is exactly same as that of Zerodha. They also waived off the commission for the delivery trades/investments. For all other transaction, they charge Rs 20/Executed order.
Side by side comparison between Zerodha and Upstox is given in the page – Zerodha Vs Upstox
Brokerage Charges of Upstox is as Follows
#3 5Paisa
Advantage of opening account with 5Paisa is, they provide recommendations and intraday tips unlike Zerodha.
5Paisa is backed by India Infoline (IIFL) which is one of the reputed full service broker of India.
5Paisa demat account is also a one of the lowest brokerage demat account in India.
Their brokerage structure is simple, and it is Rs20/executed order for all segments.
It is important to note, for delivery based trades also they charge Rs 20/order. So for someone like swing traders who buy shares today and sell in span of few days, Zerodha works out to be cheapest broker.
If you are confused between Zerodha and 5Paisa, check out the Side by side comparison of Zerodha -Vs-5Paisa.
5Paisa is affiliated to National Stock Exchange and Bombay Stock Exchange (BSE) and participant of Central Depository Service Limited (CDSL)
5Paisa Brokerage Charges :
# 4. FYERS
FYERS started their operation comparatively late and with much focus on the technology.
They have invested much of their time and money on developing better trading platforms. Initially they priced their charges at Rs 100/executed order.
Due to heavy competition now they have reduced it to Rs 20/order. Account opening charges are also waived off now.
But they don’t have their own DP and have tie up with IL&FS to open demat account.
Following are some good and not so good parts of FYERS,
Pros:
- Excellent trading platforms with advanced features
- Automated trading is possible
- Pricing structure is reasonable and competitive
Cons:
- Company is new and hence not established yet
- No support for commodity segment
- No DP of their own (IL&FS demt is opened and linked)
Check out my detailed review of them at FYERS Review.
Follow below button to open free trading account
#5 TradeSmartOnline
TradeSmartOnline is discount broking subsidiary of Mumbai based VNS Financial & Capital Services. VNS is in the broking industry for more than two decades.
The good part of TradeSmart is, they have two different plans. One is Flat 15/Executed order and another is percentage based plan. One can switch between the plans at anytime.
Brokerage Charges of TradeSmartOnline:
Power Plan: Flat Rs15/Executed Order (Best suited for Big volume traders)
Value Plan : Best Suited for small volume traders.
- Delivery: 0.07%
- Intraday : 0.007%
- Futures: 0.007%
- Options: Rs 7 per lot
- Currency : 0.007%
- Commodities: 0.007%
Lowest Brokerage Charges in India – Conclusion
Small savings in brokerage quickly add up to our profit/loss account and it should never be ignored.
Only piece of advise from my end is, don’t compromise quality in quest of searching lowest brokerage charges in India.
And among the low commission brokers, don’t worry too much about Rs5 or 10 difference between them. Open your account which suits you the best.
Hope you found the details of lowest brokerage charges in India and the stock brokers who charge minimum brokerage charges.