@viswaram @amish The G-Secs which could be allowed or not to be accepted as pledge depends on a Broker’s Risk policy and hence vary broadly. Usually the list of securities (mainly G-Secs) are reviewed periodically and then decision is taken to accept them or not as a pledge instrument. As you might be aware that securities are only pledged in the favour of Broker’s separate account (known as Margin Pledge Account) but remain in your demat (only a flag for Margin Pledge is enabled). Now when the maturity arrives, since the securities are in your account, the redemption money is sent to your account and the securities get extinguished. Hence, we (as a broker) land up in risk. For the detailed list of securities available at Dhan for pledge can be found here.
Yes square off is not done immediately. We do send margin calls and inform you will in advance. If the margin call is fulfilled in the stipulated time, we do not square off any of your holdings.