What Are Call and Trade Charges?

Call and Trade Charges are fees levied by stockbrokers when you place, modify, or cancel orders over the phone instead of using their online platform. Essentially, these broker-assisted trading charges cover the operational cost of having a dedicated dealer execute transactions on your behalf.

What Are Call and Trade Charges?

Understanding the call and trade charges' meaning is simple: it is a service fee for executing trades via a phone call. Knowing what call and trade charges are helps investors understand the extra costs added to their standard brokerage fees.

• It is a flat fee charged per executed order, regardless of the trade size or volume.
• These broker-assisted trading charges are independent of standard regulatory fees and STT (Securities Transaction Tax).
• The primary purpose of Call and Trade Charges is to discourage manual interventions.

How Call and Trade Facility Work?

The call and trade facility acts as a manual bridge between the investor and the stock exchange via a telephonic desk. This system relies on human dealers to process your requests rather than automated online matching engines.

• The investor calls the broker's dedicated desk and passes mandatory security verification steps.
• The dealer checks the available margins and manually places the order into the trading system.
• Once executed, the applicable Call and Trade Charges are automatically debited from the client's ledger account.
   

When Are Call and Trade Charges Applied?

These fees kick in whenever a trade is touched or managed by the broker’s support team rather than your app. Understanding when are call and trade charges applied helps traders map out their daily transaction workflows effectively.

• When you call the support desk to explicitly place a new buy or sell order.
• When the risk management team automatically squares off your open intraday positions due to margin shortfalls.
• When you request the broker to modify or cancel an existing pending order over the phone.

Charges by Brokers in India

In the Indian broking ecosystem, these administrative fees vary widely between traditional full-service brokers and modern discount brokers. Comparing these structures highlights how broker-assisted trading charges impact low-capital retail traders.

• Discount brokers typically charge a flat fee ranging from ₹20 to ₹50 per executed order.
• Some traditional full-service brokers bundle this facility for free within their higher asset management plans.

How to Avoid Call and Trade Charges?

Eliminating broker-assisted trading charges requires sticking strictly to your broker's automated systems.

• Use the broker's mobile application or web terminal for all order placements and modifications.
• Ensure your trading account is always adequately funded to prevent automated risk management square-offs.
• Set up personal target or stop-loss orders directly in the system instead of calling a dealer to monitor them.