When you sell stocks from your holdings, Upstox provides immediate credit for the sale value on the trade day. This advance credit, given before the actual settlement of the trade, is known as Credit for Sale (CFS). CFS can be utilised exclusively for trading purposes on the same day; however, withdrawals of the CFS amount are not permitted until the trade is fully settled.

Example:

  • You sell 20 shares of a stock at ₹1,500 each, totaling ₹30,000.

  • On the same day, you can only use the entire ₹30,000 (100%) for new trades.

Note: 

1. The CFS amount is available for new trades on the trade day but cannot be withdrawn until the settlement process is complete.

2. CFS can be disallowed in certain situations, such as attempting to repurchase the same stock on the same day, which may lead to peak margin shortfalls.