With CDSL, an individual investor enjoys a practically hassle-free participation in the depository scenario.
Any Individual eligible to acquire and hold securities in his name can open a demat account in the CDSL system through a registered DP of CDSL of his choice. While choosing his DP the individual may take into consideration the service standards, charges and convenience of location etc.
Some basic facts for the demat accounts
Number of Accounts :
More than one demat account can be opened in the similar / identical name and order with the same DP or different DPs.
Minimum Account Balance :
There is no requirement of holding minimum-security balance in a demat account; you can maintain zero balance in your account. Ready availability of account enhances your transaction making ability.
Individuals holding beneficial accounts on their own behalf either singly or jointly have the facility of making nomination. (Non-individuals including societies, trusts, body corporate, partnership firms, kartas of HUF, holders of power of attorney however, cannot nominate). In the event of the death of one of the joint holders, the securities will be transmitted in the names of the surviving holders. If the sole or all the joint holders are deceased, the shares will be transmitted in the name of the nominee.
Statement of Account:
A periodical statement of holdings and transactions is provided by DP. This can also be asked for from the DP.
In order to receive all the credits coming to demat account automatically, a one time standing instruction can be given to the DP at the time of opening your account.
Change of Address:
For any change of address, if any, communication to your DP in writing is sufficient. The DP will ensure that the change is incorporated for all securities held in your demat account. You need not write to all the companies separately.
Points To Be Noted for Opening a Demat A/C
Obtain and personally submit the duly completed account opening form to the DP.
Provide to DP a copy of your PAN card along with a copy of your passport or driving license or voter-ID card or ration card as your proof of address.
Execute the DP-Investor agreement to be made available by DP.
Collect your unique account number (BO-ID) from your DP.
Collect pre-printed slips both for effecting dematerialisation as well as delivery of securities.
Understand the cut-off timings from DP for depositing delivery instructions for trades done by you on the stock exchange.