Why is withdrawal on Punch not instant?

Withdrawals involve moving funds from stock exchanges back to your bank, which takes time due to settlement cycles.

Written By Archit Sunat

Last updated 27 days ago

The short answer

When you deposit money into Punch, it gets transferred to the stock exchanges so you can trade. When you withdraw, Punch first needs to pull those funds back from the exchange before sending them to your bank. This process cannot happen instantly.

How the settlement cycle works

  1. You place a withdrawal request on Punch.

  2. Punch initiates a fund withdrawal from the exchange during the next processing window.

  3. Once the exchange releases the funds, Punch transfers them to your primary bank account.

Indian stock exchanges follow a rolling settlement cycle, which means trades and fund movements are settled in defined time windows — not in real time. Even if you have closed all your positions, the funds may still be going through this settlement process.

Processing timeline

  • Requests before 6:30 PM on a working day — processed the same evening.

  • Requests after 6:30 PM — processed in the next morning’s 6:30 AM cycle.

Punch processes withdrawals every 12 hours to keep payouts as timely as possible within these exchange constraints.