How to Open Demat Account Online?
5paisa Research Team
Last Updated: 09 Aug, 2024 03:26 PM IST
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Content
- What is a Demat account?
- How to Open a Demat Account Online?
- How to Open a Demat Account Offline?
- Types of charges associated with opening a demat account
- Documents Required for Demat Account
If you are curious about the stock market and are looking to invest in stocks, the first step is to open a Demat account. No matter your ultimate financial objective, a Demat account is required for conducting any transactions in the share market. This article explains the steps involved in opening a Demat and trading account.
What is a Demat account?
Demat accounts, or dematerialized accounts, allow you to hold securities such as stocks, mutual funds, exchange-traded funds (ETFs), bonds, etc., in electronic form for trade in the securities market. These accounts are supported by NSDL and CDSL, both regulated by SEBI, and they allow you to store the securities you purchase.
How to Open a Demat Account Online?
To open a demat account with 5paisa, follow the simple steps mentioned below.
• Download and use 5paisa's trading app or access our website to begin the demat account opening procedure conveniently from your device.
• Enter your email address, receive a verification code, and input it to verify your email for the account setup process.
• Provide your PAN number and date of birth, then click on “Proceed” to move to the next step in the demat account opening process.
• Follow the online steps to complete the electronic Know Your Customer (E-KYC) process, ensuring your identity is verified digitally with ease.
• Upload a real-time selfie as part of the verification procedure to confirm your identity and move towards the next step of demat opening.
• E-sign the form electronically to finalize the account opening procedure, making your demat account ready for trading and investing in the stock market.
How to Open a Demat Account Offline?
5paisa offers an offline demat account opening process for non-individual entities. The steps to open a demat account are as follows
• Complete the Account Opening Form accurately with all required information for the non-individual entity.
• Fill out the FATCA (Foreign Account Tax Compliance Act) form to comply with regulatory requirements.
• Print the additional forms and fill them out on the official company letterhead according to the non-individual category requirements.
• Submit all necessary documents, including the completed forms, for verification to 5paisa.
To open a demat account offline, contact accountopening@5paisa.com. For required documentation for each non-individual category, follow the provided link to ensure you have all necessary documents for the process.
Types of charges associated with opening a demat account
When you open a Demat account with 5paisa, you may encounter a variety of charges designed to ensure a smooth investment experience. Here's a complete overview of the charges:
• Trading account opening charges:
This is a one-time price, however at 5paisa, there are no expenses, so you may start a trading account for free.
• Demat Account Opening Charges:
This is a one-time cost, similar to those for trading accounts. With 5paisa, you may start a Demat account for free.
• Annual Maintenance Charges (AMC) for trading accounts:
This is an annual price, however 5paisa does not charge an AMC for keeping your trading account, making it affordable.
• Annual Maintenance Charges (AMC) for Demat Accounts:
This is a yearly fee of ₹300. This charge covers the continued management and maintenance of your Demat account holdings.
Documents Required for Demat Account
To open a Demat account, you need to provide some documents for verification.
• Proof of Identity:
Submit a Voter's ID, PAN card, Aadhaar card, passport, or driving license to confirm your identity.
• Proof of Address:
Provide a ration card, telephone bill, electricity bill, property tax receipt, passport, bank passbook, voter's ID, or Aadhaar card to validate your address.
• Proof of Income:
Present a photocopy of your Income Tax Return (ITR), a recent salary slip, a bank account statement of the current bank, or a canceled personalized cheque to verify your income.
These documents ensure compliance with regulatory requirements and help in the seamless processing of your Demat account application.
More About Demat Account
- DDPI - Demat Debit and Pledge Instruction: Overview
- How to Find Demat Account Number from PAN
- How to fill a Dematerialisation Request Form
- How to Convert Physical Shares into Demat?
- What Is DP ID In The Demat Account
- What Is Dematerialization of Shares?
- What Is a Demat Account Holding Statement?
- Lowest Brokerage Charges in India For Online Trading
- Low Brokerage Charges in India
- How To Save Tax In India Without Investment?
- Best Demat Account for Beginners in India
- Do we a Demat Account for Mutual Funds?
- Aims and Objectives of Demat Account
- What is BO ID?
- What is a bonus share?
- How to Close Your Demat Account Online
- How to Open Demat Account Without Aadhaar Card
- Open Demat Account Without A PAN Card - A Complete Guide
- Myths & Facts about Demat Account
- What Is Collateral Amount in Demat Account?
- What Are DP Charges?
- How to Link Aadhaar Number With Demat Account?
- How to Convert Demat to BSDA?
- Dos and Don'ts of Demat Account
- Difference between NSDL and CDSL
- Advantages and Disadvantages of Opening a Demat Account
- 5 Things to know About Loan Against Demat Shares
- What is NSDL Demat Account?
- What is a Minor Demat Account?
- NRI Demat Account Opening Process
- What is a Basic Service Demat Account?
- How to Transfer Money from Demat Account to Bank Account
- How to know your Demat Account Number
- How to Buy Shares through Demat Account?
- How many Demat Accounts one can have?
- Demat Account Charges Explained
- Eligibility to Open a Demat Account
- How to Transfer Shares from One Demat Account to Another?
- Types of Demat Account in India
- Dematerialisation & Rematerialisation: Meaning and Process
- Difference between Demat and Trading Account
- Demat Account Nomination - How to Add Nominee
- How to Use of a Demat Account
- Benefits of a Demat Account
- Documents Required to Open a Demat Account
- How to Open Demat Account Online?
- What is Demat Account? Read More
Disclaimer: Investment in securities market are subject to market risks, read all the related documents carefully before investing. For detailed disclaimer please Click here.
Frequently Asked Questions
AMCs, physical statements, and costs involved in dematerialisation and rematerialisation are some of the charges associated with Demat accounts.
You can visit the 5paisa website and open a free Demat account. It offers the best services on the market and is the best choice for opening a Demat account.
One thing to keep in mind is that it shouldn't take too long provided the necessary paperwork is submitted and the demat account opening form is correctly completed. If everything is in order, your account is started within a few hours after completing the application and the necessary paperwork.