Rent stocks in zerodha

 In Zerodha, the process of "renting" stocks is formally known as Securities Lending and Borrowing (SLB). This allows you to lend your idle shares to other traders (usually short-sellers) in exchange for a fee, while still retaining ownership and receiving corporate benefits like dividends.

Unlike regular trading on Kite, this process is currently offline/ticket-based at Zerodha.

## 1. Eligibility & Requirements

Before you can "rent out" your stocks, you must meet these criteria:

 * Minimum Value: The market value of the stocks you wish to lend must be at least ₹1 lakh per security.

 * Approved Stocks: Only specific stocks (typically those in the F&O segment) are eligible for SLB.

 * Segment Activation: You must have the SLB segment activated on your Zerodha account via the Console.

## 2. How to Lend Your Stocks (Step-by-Step)

Since there is no "Rent" button in the Kite app yet, follow these steps:

 * Check Live Yields: Visit the NSE SLB Page to see the current lending fees (yields) traders are paying for your stocks.

 * Create a Support Ticket: Go to the Zerodha Support portal and create a ticket.

 * Provide Details: In the ticket, specify:

   * Stock Name (e.g., Reliance)

   * Quantity to lend

   * Lending Fee (the price/interest you want to earn per share)

   * Tenure (1 to 12 months)

 * Execution: Zerodha will place the order on the exchange. If matched, the shares will be debited from your demat, and the lending fee (minus charges) will be credited to your account.

## 3. Charges & Fees

| Charge Type | Details |

|---|---|

| Processing Fee | 20% of the lending/borrowing fee + 18% GST. |

| DP Charges | ₹13.50 + GST (standard charge for moving shares out of Demat). |

| Taxes | Lending fees are treated as "Income from Other Sources" and taxed at your slab rate. |

### Key Benefits for You

 * Risk-Free: The transactions are guaranteed by the NSE Clearing Corporation (NCL). If a borrower fails to return the shares, the exchange conducts an auction to buy them back for you using the borrower's collateral (which is 125% of the stock value).

 * Passive Income: You earn a yield (typically 6–12% annually, though it can spike during volatile periods) without selling your long-term holdings.

 * Corporate Actions: You still get all dividends and bonuses. If a stock split occurs, the contract is adjusted automatically.

> Note: If you want to sell your shares while they are lent out, you must first "Recall" them by raising another ticket. This can take a few days, so SLB is best for long-term investors.

> 

Would you like me to find the current list of approved SLB stocks or help you draft the support ticket details?

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