I’ve bought ONGC 290 CE @ 0.41 today’s closing 278.65. I still hold this position (CE 0.05 at closing), so tomorrow is the expiry as per physical delivery, do i need to buy the stock in delivery (strike price 290 * lot size 3850 total = 11 lac) but i don’t have this much money. is it compulsory to buy the stock? generally, an option buyer has the right to buy the stock but not obligation, right? I don’t know. please help me with solution

I found the answer in varsity. (options module)
only ITM options will be physically settled, if the option expires OTM, they expire worthlessly and there won’t be any delivery obligation.

what if I sold the ce at expiry day and then the stock went above my strike price? still I need to take the delivery?

im not deleting this comment may be it’ll be helpful for any new commerr

Unless you are extremely unlucky it doesn’t look like ONGC will reach 290 tomorrow but you never know so best would be to proactively exit the option when the market opens so that there is no question of delivery obligation in case it touches/crosses 290 tomorrow. Said this three is still an outside chance that it will cross 290 right at the opening of the market but in that case you will make profits so it’s even better for you to exit it with profits