According to SEBI regulations, brokers are required to credit any unused funds back to your primary bank account according to standardized settlement cycles.
There are two scenarios where unused funds are transferred back to your primary bank account:
If you have not placed a trade in the past 30 days
If you have not placed any trades or used your funds for any investments on Dhan in the past 30 days, a Monthly Settlement will be initiated on the first Friday of every month, and any unused funds will be credited back to your primary bank account on the next day.
Monthly / Quarterly Settlement Cycle
As per SEBI guidelines, irrespective of whether you have placed a trade or not, your account will be settled on the first Friday of every quarter, and the remaining funds will be sent back to your primary bank account. In case Friday is a trading holiday, your account will be settled on the previous trading day.
Here are the Quarterly Settlement dates for 2025:
Note: This regulation applies only to your free cash balance and does not affect investments in liquid securities or cash equivalents.
How This Works at Dhan:
Monthly / Quarterly Settlement payouts are processed in batches and once the process starts, you will receive a notification informing you when your settlement is due. However, exceptions to pre-settlement communications are possible if you add funds on Dhan after we have sent out the notification.
As soon as the process to transfer your funds is initiated, you will receive a notification of the same and can also track it within the app, along with the expected transfer timelines. Your funds will be credited to your primary bank account as per those timelines.
Once the settlement is completed and funds are credited to your bank account, you will be notified about the same. You can also check the “All Transactions'' section on the Money page for details of Quarterly / Monthly Settlement.
Add funds back to Dhan anytime post completion of settlement!