Is Buy Now Pay Later (BNPL) the same as Margin Trading Facility (MTF)?

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• What is BNPL/ Buy now pay later?

  BNPL in IIFL is a margin-based trading facility that allows clients to buy stocks by paying a fraction of the amount while IIFL funds the balance, which is repaid later with interest.

• Can client pledge stocks purchased through "Buy Now Pay Later" for margin?

  Since client have already pledged the BNPL stocks, margin pledge will not be available.

• Circular Number - 28-04-2026

  Scheme of Arrangement: Adjustment of Futures and Options contracts of Vedanta Limited (VEDL)

• Why is there a difference between the quantity of MTF stocks in the `Pay Now’ window vis-à-vis the actual MTF purchase? How many shares will I receive for making any part payment using the `Pay Now’ window?

  The difference in quantities would be to the extent of the initial margin collected in the form of cash and considered as `Maintenance Margin’. Hence, in case you make any payment for the said securities using the ‘Pay Now’ window, the quantity for ...

• What will happen if you sell Buy Now Pay Later stocks on the date of purchase?

  The transaction will be treated as an intraday transaction instead of a BNPL transaction.