"NSCCL (National Securities Clearing Corporation Ltd) introduces a facility for empanelled banks to submit FDR issued as collateral to clearing members in electronic form," NSE said in a circular.
"The circular shall be effective from December 8, 2014," it added.
The move will help in eliminating the loss of physical papers and reducing fraudulent activities.
HSBC is the empanelled bank which will provide this facility to members.
To avail this facility, trading members are required to requests the bank to create FDR and mark lien in favour of NSCCL.
Consequently, the bank will send the information in electronic form to NSCCL and the clearing corporation firm will validate and pass on the benefit of the same to the member.
Further, the clearing corporation will send a system generated e-mail and SMS to the member.