A margin penalty is levied in below scenarios:

  1. Change in margin requirement from the exchange end

  2. Change in requirements

  3. t based on your trading (example, exiting one of multiple hedge positions)

  4. For long Options positions (ITM), Margin requirement increases as it nears expiry date.

Note: In case you incur a margin penalty, the cut-off/ due date for reporting margin is T+5 days, so we post the entry on your ledger once we get the penalty file from the exchange i.e on T+6 day. There may be a provisional block in your account during this time period.