Demat Account
Once you realise the benefits of having your securities in demat form, the question you are faced with is how to open a demat account.
The documents required to open a demat account
- Passort size Photograph
- Photo Identity Card (copy of PAN Card, Voters Identity Card, Aadhar Card,etc)
- Proof of Address (copy of Voters Identity Card, Aadhar Card, etc)
It must be noted that PAN Card is mandatory for opening a demat account. Also, one has to provide the original copies of the documents for verification.
The person on behalf the account will be opened is also required to provide the following:
- Bank account details
- Details of guardian, in case the account is opened in the name of a minor.
- Details of nominee
- Name and address of power of attorney for NRIs
- Standing instruction for receiving securities in their accounts
With these documents and the application form, one has to sign on the DP agreement in which the terms and conditions are laid down.
After the demat account is opened, the account holder will receive the following
- Client identity number
- Delivery Instruction slip book
- A copy of the details of the account holder as maintained in the database of the Depository Participant Module (DPM).
Recommended Read :
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- Convertible Preferred Shares
- What is Capital Market?
- Indian Stock Market Trading Hours
- Guide for Stock Trading in India
- Indian Online Stock Market Trading
- Market Timing of Indian Stock Markets
- Indian Stock Market Holidays
- What is Volatality?
- What is a Volatile Market?
- What is Pre Open Trade Session?
- What is STT All About Securities Transaction Tax?
- IIP Data and Stock Markets
- Online Trading Brokers in India
The following ways to create a demat account in the above article is extremely useful. It gave me an idea for all the details I should provide beforehand. Having a demat account is like an identification process for everything.The most important things to be noted for an demat account is to provide all the details accurately once there is an error it is a very difficult
It’s nice to know what is actually needed. A lot of different places need the ORIGINAL identity document for opening an account.
It’s also good to know you can open an account for your children - in case they would need it. All you have to do is provide some original details. Just don’t forget how you spell your children’s names, or their birthdays! Might be very difficult to change that when there is an error - word to all Dads out there haha 🙂