Paytm Money increases brokerage charges for new users to Rs 15

Stock trading and mutual fund platform Paytm Money has said that it will be increasing brokerage charges for new users joining the platform to Rs 15 starting August 5 as it gears up for its next phase of growth with more features.

In a mail to its users, which was viewed by Moneycontrol, the platform said that prices will not increase for existing customers and will remain at zero for stock delivery and Rs 10 per intraday of futures and options (F&O) order executed.

"We are geared up for the next sprint; the next phase of Paytm Money. More premium features, faster execution, sharper focus on technology, faster execution at a bigger scale," the mail read.

The Rs 15 brokerage charge for new users will be applicable for every stock delivery, intraday and F&O order executed through the platform.

Paytm Money, which has 1 million users, competes with players like Zerodha, Upstox, Angel One and Groww. At Rs 15, the platform's brokerage charges are still lower than peers.

Zerodha charges its users 0.03 percent or Rs 20, whichever is lower for the amount of the executed trade. Charges on Upstox are higher at 2.5 percent of trades or Rs 20, whichever is lower. Groww's pricing stands at 0.05 percent of trades or Rs 20.

Angel One is similarly priced at 0.25 percent or Rs 20 for intraday, F&O and commodities.

Upstox has a user base of 10 million, followed by Zerodha at 9 million and Angel One at 9.21 million.

However, Zerodha has an active user base of 6.2 million, as compared to Upstox's 5 million. Groww, which started as a mutual fund investment platform and then diversified to stocks and futures and options, has 20 million customers, driven largely by its mutual fund investment user base.