Now Pay ₹0 Activation Fees for Lending Stocks via SLBM

Key takeaways

We have waived the one-time SLBM activation fee, bringing it to ₹0 from ₹199.
Brokerage on Lending & Borrowing of Stocks is also 0% on Dhan, with the waiver valid until 31 December 2026.
SLBM activation requires the SLBM segment to be enabled, and DDPI is mandatory for lending and borrowing stocks through the framework.

Investors holding stocks in their demat accounts may sometimes want to lend eligible holdings through the Stock Lending and Borrowing Mechanism (SLBM). However, activating the segment involves a separate setup process and a one-time activation fee.

We have waived the fee for activating SLBM. The modification will apply to customers activating the SLBM for the first time, with the activation fee becoming ₹0 from ₹199.

What is zero-fee SLBM activation?

Zero-fee SLBM activation is a fee change for Dhan's Stock Lending and Borrowing Mechanism. It removes the one-time charge previously applicable when activating the SLBM segment.

SLBM allows investors to lend stocks held in their demat holdings for a short period. Lending and borrowing through SLBM is available on both Web and Mobile.

The platform has also waived brokerage on Lending & Borrowing transactions. The brokerage was earlier 4.99% plus taxes and is now 0% for all lending and borrowing transactions, irrespective of value or number of transactions, until 31st December 2026.

Why this matters?

The following points justify the importance of this change:

Makes SLBM accessible from day one

Without activation fees, you can start lending your stocks as soon as you’re ready. There’s no need to calculate whether the rental income will cover an upfront charge. You simply choose the stocks you want to lend, set the quantity and duration, and place the order.

Keeps you in control of your costs

With no activation fees or brokerage fees, your cost structure becomes simpler. You pay only applicable taxes on the income you earn. This makes it easier to use SLBM within your portfolio.

SLBM remains available across Web and Mobile

The announcement states that Lending of Stocks through SLBM is available to our users on both Web and Mobile. Users can therefore access the SLBM segment through either platform.

How zero-fee SLBM activation works

Follow the procedure below to activate SLBM with zero activation fee.

Select the SLBM segment while opening a Dhan account if you are a new user and want to avail the free SLBM activation.
Enable the SLBM segment. The one-time SLBM activation fee is ₹0 under the announced waiver.
Enable DDPI, which is mandatory for SLBM. DDPI helps facilitate depository transactions when lending or borrowing stocks.
Once the segment is activated, users can access Lending & Borrowing through SLBM on Dhan Web or Mobile.

Key benefits of this feature

The key benefits of zero activation fee and lending stocks via SLBM are as follows:

The one-time activation fee has been reduced from ₹199 to ₹0.
Brokerage on Lending & Borrowing transactions is waived until 31 December 2026, irrespective of transaction value or number of transactions.
The SLBM lending and borrowing facility is available on both Dhan Web and Mobile.
DDPI is mandatory for SLBM, helping users understand the requirement before using the segment.

Practical use cases

Some of the practical use cases for this feature are as follows:

The income optimiser

You already use SLBM but want to allocate more stocks to rental. Removing activation fees lets you add more names to your rental list without incurring additional upfront costs, improving the overall yield from your portfolio.

The cautious long-term holder. You have quality shares in your portfolio for long-term investment and seek to make additional income from your stocks without having to sell them. With zero activation fees, you can start lending a small portion of your holdings to test the process, then expand as you see results.

The new SLBM participant

You've been interested in SLBM but not willing to take part because of the activation fees. With no fees, you'll be able to get started with no initial cost to recover.

Conclusion

We have eliminated the one-time activation fee of ₹199 for SLBM and reduced it to ₹0. We have also waived brokerage on Lending & Borrowing transactions, and the 0% brokerage offer is valid till 31st December 2026.

This removes the upfront cost barrier, enabling you to start earning rental income on your idle holdings without paying activation charges.