Demat Account Faqs

How much money is required to open a Demat account?

The initial amount required for demat account opening varies from broker to broker. Some may offer free account opening, while others might charge a nominal fee. Know more about Documents Required for Demat Account

How do I open a Demat account?

Opening a Demat account involves

• choosing a DP or broker,
• filling out an account opening form, and
• submitting necessary KYC documents.

Once your application is processed and approved, you’ll receive a unique client ID, marking your account as active. Know more about the demat account opening process .

How to open a joint demat account with Religare Broking?

To open a joint demat account with Religare Broking, both parties must fill out the account opening form and provide their individual KYC documents. After submission and verification of documents, the joint account is set up. Both parties will have access to this account. Know more about How to Open a Joint Demat Account .

Can a NRI open a demat account in India?

Certainly, a Non-Resident Indian (NRI) can open a demat account in India. The account can be opened as an NRE (Non-Residential External) or an NRO (Non-Residential Ordinary) account. However, it’s important to note that the securities bought or sold through these accounts must comply with foreign exchange regulations. Know more about Documents Required for NRI Demat Account

How do you transfer one demat account to another?

Transferring securities from one demat account to another is facilitated through a Debit Instruction Slip (DIS). You need to fill out this slip indicating the details of the securities to be transferred and the target demat account. Post verification, the securities are transferred to the target account. Know in detail about How to Transfer One Demat Account to Another .

Can a minor open a Demat account?

A minor can have a Demat account, but it must be opened and operated by a legal guardian until the minor reaches 18 years of age. The guardian needs to fulfil all KYC requirements. Upon reaching majority age, the account ownership can be transferred to the individual. Know more about What is a Minor Demat Account .

What is the offline demat account opening process?

The offline process of opening a demat account involves visiting the office of your chosen Depository Participant (DP) or broker. You need to fill out a physical account opening form, submit necessary KYC documents, and sign an agreement detailing the rights and duties of both parties. Once these steps are completed, your demat account is set up.

Does Religare brokerage offer a zero brokerage demat account?

Some brokers, including Religare, may offer zero brokerage plans, where the brokerage charge on trades is either very low or eliminated. However, it’s important to check the specifics of these plans, as other charges like AMC or transaction charges may still apply.

How are commission fees calculated for trades?

Commission fees on trades are usually calculated as a percentage of the trade value. The exact percentage can vary between brokers and types of trades (intraday, delivery, futures, options, etc.). Some brokers might also have a minimum brokerage fee per trade.

Who needs a Demat account?

A Demat account is needed by anyone who wants to buy or sell shares, bonds, mutual funds, or any other securities in India. It’s especially useful for individuals who trade frequently, as it allows for seamless transfer of securities and keeps track of all your investments in one place.

What are the key features to compare a demat account?

When comparing demat accounts, consider factors like annual maintenance charges, transaction charges, service quality, the user interface of the trading platform, and additional services offered. Also, check if the depository participant is registered with SEBI and the type of customer support they provide. Know more about demat account .

What is the difference between a demat and a trading account?

A Demat account holds the securities you own electronically, while a trading account is used to buy or sell securities in the stock market. Simply put, a trading account is for transactions, and a demat account is for storing the purchased securities. Know more about Difference Between Demat and Trading Account

Which Demat is best for beginners?

The best demat account for beginners would be one that offers easy-to-understand platforms, low brokerage charges, good customer support, and educational resources about trading and investing. Many brokers in India provide such services, so it’s advisable to research and choose one that fits your needs the best. Know more about How to Choose Best Demat Account

What are the advantages of having a Demat account?

Having a demat account brings numerous advantages. It eliminates the risks associated with physical certificates, such as loss, theft, or damage. It makes buying, selling, and transferring securities fast and efficient. Additionally, it allows you to hold all your investments in one place, making portfolio management easier. Know in detail about Benefits of Demat Account .

What is the disadvantage of demat?

One potential disadvantage of a demat account could be its associated cost. Most DPs charge fees for account opening, annual maintenance, and transactions. Additionally, unauthorised transactions are risky if your account credentials are compromised. However, these risks can be mitigated by choosing a cost-effective broker and following good cybersecurity practices.

What are the two types of Demat accounts?

There are two main types of demat accounts: Regular Demat accounts and Basic Services Demat Accounts (BSDA). A regular Demat account is for Indian residents, while the BSDA is designed for small investors with holdings worth less than Rs. 2 lakh. Know in detail about Types of Demat Account

Is Demat tax-free?

A demat account itself is not taxed, but its transactions may be subject to taxes. For instance, capital gains tax applies when you sell securities at a profit. Also, dividends received in the demat account are taxable as per the applicable rates. Know in detail about Tax Implications on Demat Account .

Can I invest without demat?

While a demat account is mandatory for trading stocks and ETFs, it’s not required for all investments. For instance, you can invest in mutual funds, fixed deposits, or bonds directly through banks or asset management companies without needing a demat account.

I forgot my password. How to get it?

If you forget your password, use the ‘Forgot Password’ option, usually available on the login page. You’ll need to verify your identity, often through your registered email or mobile number. After verification, you’ll be able to reset your password.

Can I delete my Demat account?

Yes, you can close your demat account at any time. You must submit an account closure request form to your DP or broker to do so. Remember to transfer any existing securities to another account before proceeding with the closure.