Zerodha problems like for any organization is detrimental to their growth.
When a brokerage house faces issues, perception about the company changes in the eyes of customers. However, it is important to note that all the brokerage firms has their own set of problems.
Needless to mention, as on date, Zerodha is the top stock broker of India despite of recent concerns raised about their services.
They started their operation in year 2010. They are the pioneer in introducing the low brokerage discount broking concept to India.
You can read more in detail about their brokerage charges and other related charges in this post.
As far as I am concerned, I switched from Sharekhan to Zerodha in year 2012 and pretty happy with their services.
Zerodha Problems Year wise
Following table shows the problems faced by Zerodha clients for each year.
It shows the number of complains raised by their customer at National Stock exchange (NSE).
So if you benchmark the percentage of complaints registered against Zerodha vs industry standard, they have fared reasonably well.
Given the sheer size of Zerodha, I would say that they are successful in keeping a check on number of complaints per customer low.
Various Problems reported by Zerodha Clients:
Now let us see what kind of problems Zerodha customers have faced in the past.
Zerodha Problem in Login:
Few members have reported this problem. In this, they were not able to login to trading console.
Their login request was rejected by the console even after entering the correct credentials
Problems with Zerodha Charts:
Another frequently reported problems with Zerodha is about their charts in trading platform Zerodha KITE.
Although Zerodha KITE is regarded as one of the top trading platforms of India, it has its own issues.
Issues such as incorrect data feed, slow loading of the charts or no chart display at all were reported occasionally.
However, customers also acknowledge that, Zerodha fixes these issues quickly as the platform is developed in house.
Problems with Zerodha Account Opening:
They have account opening center all over India. One can also open the account instantly online sitting at home with the help of Aadhaar card.
Suggested Read : Step by step procedure to open Zerodha Account Online
Few customers have complained below problems while opening Zerodha account:
- Name mismatch between PAN card and other supporting documents
- Incomplete account opening documents.
- Account opening fee has been paid but not recognized by Zerodha system
These issues are often addressed by Zerodha customer care executives.
Concerns with Zerodha funds withdrawal :
Some of the concerns regarding the funds transfers were,
- Delay in credit of the funds
- Funds withdrawal rejected
- Mismatch in funds
In my opinion, these complaints are raised due to lack of knowledge on part of customers.
Funds transfer could be delayed due to some regulatory requirements and also depends on the time when the request was placed.
Funds mismatch if any, is corrected post 12 night and if you check before that, there is a possibility of mismatch and hence the complaints.
Zerodha Customer Support Problems :
As they have grown bigger, the have found it difficult to address the queries raised by their clients.
Though they have phone, email and offline support offices, customer support is one of the grey areas of Zerodha.
Now they create a online ticket for any issues raised by clients and one can see history of the support provided by the team.
They also started using ZPIN, which can be used by only Zerodha customer to reduce the waiting period on the call.
Lower Zerodha Exposure/Margin :
Though not a problem, it is one of the short coming of Zerodha.
The margin provided by them is comparatively lower than the other stock brokers.
According to them, by providing lower margin, they are doing away with the risk of default and indirectly taking care of the funds of all other clients.
But now SEBI has made it a level playing ground for all the stock brokers. As per the new rule, all the brokers should equal margin as prescribed by SEBI. Hence the stock brokers who were luring customers by offerring higher exposure are now taken a backseat.
I have written a separate article on brokers providing high exposure and lower brokerage charges.
Zerodha in comparison with other Stock Brokers |
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Zerodha Problems – Final Thoughts :
Every broker has one or the other issues. We have also seen downtime with tech giants such as Facebook, twitter etc.
I have switched from Sharekhan to Zerodha in year 2012 and my trading style does not make me fret if I cant access the platform for few minutes.
I am happy with services of Zerodha and able to save lot on brokerage charges which otherwise would made my winning trades into a loss making one.
It’s up to you what you are looking in a stock broker. In my opinion Zerodha would be the No .1 choice for me at any time. You can check my detailed review Zerodha explaining about it.