Rent Stocks
Stock renting and Borrowing
If you’ve borrowed shares and a dividend is announced:
The dividend amount will first be taken from your (the borrower’s) trading account and given to the lender of the shares.
The company will then credit the dividend amount directly to your bank account.
If you return (repay) the borrowed shares before the dividend is paid:
The full dividend will still be debited from your account and credited to the lender.
You will receive the dividend back in two parts:
1. One part from the company, and
2. One part from NSCCL (for the repaid shares).
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