A compliance mandate requiring a customer to “Close all Zerodha accounts” as they’re “not a trusted broker” prompted an unexpectedly swift response from CEO Nithin Kamath, showcasing the $2 billion fintech company’s approach to customer concerns.
Bengaluru product manager Sachin Jha received the ultimatum when his wife joined a global investment bank that classified Zerodha as untrusted due to its lack of physical banking presence. Reluctant to leave the platform he admired for its user experience, Jha sent what he described as a “last-ditch email” to Kamath, expecting no reply.
Within ten minutes, Kamath personally responded, triggering a comprehensive action plan from his team. They immediately acknowledged the institutional trust gap, outlined steps being taken with banks to address compliance issues, and requested Jha’s assistance to establish direct communication with his wife’s employer.
“I still closed my account,” Jha admitted in his LinkedIn post detailing the experience, “But they won my trust for life.”
The incident highlights a persistent challenge for digital-first financial platforms like Zerodha, which has successfully scaled through its streamlined online model while facing credibility barriers in traditional banking environments. Kamath has previously acknowledged this tension publicly, noting that while digital platforms excel for trading services, “a physical presence is crucial” for broader financial services credibility.
Rather than pursuing a banking license—which Kamath has avoided citing regulatory risks—Zerodha continues expanding through strategic partnerships while maintaining its focus on operational efficiency.
The company’s response illustrates how customer feedback can drive strategic priorities, with Jha noting that the experience provided “a $2 billion lesson in customer obsession” through Zerodha’s rapid acknowledgment, action planning, and transparent communication about institutional challenges.
