Are you interested in opening a demat account with Zerodha, one of India’s most popular online discount brokers? Understanding the step-by-step process involved is crucial to ensure a smooth account opening experience.
This comprehensive guide walks you through the detailed procedure of how to open demat account in Zerodha, including the necessary documents, fees, and timelines. We’ll also cover some common mistakes to avoid during the account opening process.
By the end of this post, you’ll clearly understand how to open a demat account with Zerodha and be able to do so with ease. Optimize your investment strategy by learning how to open a demat account with Zerodha. Keep reading to learn more.
Understanding Demat Account in Zerodha
Zerodha is a discount broker that offers Online trading services for equities, futures, options, and commodities. To trade in the stock market, one needs a demat account to hold securities in electronic format. A demat account is a digital repository where investors can store their shares, bonds, and other securities in an electronic form.
Zerodha offers demat account services through its depository participants, Central Depository Services Limited (CDSL) and National Securities Depository Limited (NSDL). The demat account can be opened online or offline by submitting the necessary documents and completing the Know Your Customer (KYC) process.
The brokerage charges for maintaining a demat account in Zerodha are minimal, making it an affordable option for investors. Zerodha offers free equity delivery trading and charges a flat rate of Rs. 20 per trade for intraday and F&O trading. The commodity account is charged at 0.03% or Rs. 20 per executed order, whichever is lower.
Zerodha also offers a Basic Service Demat Account (BSDA) for small investors who do not trade regularly. The BSDA has lower maintenance charges and is eligible for free delivery of equity shares up to Rs. 50,000.
Zerodha’s demat account is linked to the trading account, allowing investors to seamlessly transfer funds and securities between the two accounts. The demat account can hold securities traded on the National Stock Exchange (NSE), Bombay Stock Exchange (BSE), and Multi Commodity Exchange (MCX).
Zerodha is regulated by the Securities and Exchange Board of India (SEBI) and follows strict guidelines to ensure the safety and security of investors’ securities. The demat account is protected by a unique 16-digit Beneficiary Owner Identification (BOID) number, which is used to track the securities held in the account.
In conclusion, Zerodha’s demat account is a reliable and cost-effective option for investors looking to trade in the stock market. The account is easy to open and maintain, and the brokerage charges are minimal. The account is linked to the trading account, allowing for seamless fund and securities transfer.
The Process of Opening a Demat Account in Zerodha
Zerodha is a popular online brokerage firm in India that offers a hassle-free way to open a Demat account. The process of opening a Demat account in Zerodha is straightforward and can be done either online or offline.
To open a Demat account online, the user needs to follow the step-by-step instructions provided on the Zerodha website. The online account opening process is entirely paperless and can be completed within a few minutes. The user needs to have a valid PAN card, Aadhar card, and a webcam to complete the online application process.
The following are the steps involved in opening a Demat account online:
- Visit the Zerodha website and click on the “Open an Account” option.
- Fill in the required details, including personal, contact, and bank details.
- Upload the scanned copies of the required Documents, such as PAN card, Aadhar card, and a canceled cheque.
- Complete the In-Person Verification (IPV) using a webcam.
- Sign the application form digitally using an e-signature.
Once the application is submitted, the user will receive a ticket number, which can be used to track the application status.
If the user is not comfortable with the online process, they can opt for the offline account opening process. The user needs to download the Demat account opening form from the Zerodha website and fill in the required details.
The following are the steps involved in opening a Demat account offline:
- Download the Demat account opening form from the Zerodha website.
- Fill in the required details, including personal information, contact information, and bank details.
- Sign the application form and affix the required photographs.
- Attach the self-attested copies of the required documents, such as PAN card, Aadhar card, and a canceled cheque.
- Courier the application form and the required documents to the Zerodha office.
Once the application is processed, the user will receive a ticket number, which can be used to track the application status.
In conclusion, opening a Demat account in Zerodha is a simple and hassle-free process that can be done either online or offline. The user needs to ensure that they have all the required documents and follow the step-by-step instructions carefully to avoid any delays in the account opening process.
Documents Required for Opening a Demat Account in Zerodha
Before opening a Demat account with Zerodha, the investor needs to submit a few mandatory documents. Here are the documents that are required for opening a Demat account in Zerodha.
Proof of Identity
To open a Demat account with Zerodha, the investor needs to provide a self-attested copy of their PAN card. In addition to the PAN card, the investor can also provide other identity proofs such as an Aadhaar card, driving license, passport, or voter ID.
Proof of Address
To open a Demat account with Zerodha, the investor needs to provide proof of address. The proof of address can be in the form of a bank statement, Aadhaar card, driving license, passport, voter ID, or any other government-issued document.
Proof of Income
Zerodha does not require any proof of income for opening a Demat account. However, if the investor wants to trade in derivatives, they need to provide proof of income. The proof of income can be in the form of a salary slip, Form 16, or income tax return.
To open a Demat account with Zerodha, the investor needs to provide their bank account details. The details that are required include the bank account number, bank proof, and MICR code. The investor also needs to provide a cancelled cheque or a bank statement as proof of their bank account.
It is important to note that all the documents that are submitted should be self-attested copies. The investor also needs to provide their signature on all the documents. In case the investor has a Digilocker account, they can use it to store and submit their documents digitally.
In addition to the above-mentioned documents, Zerodha may also ask for additional documents such as net worth certificate, statement of Demat holdings, or income tax return acknowledgement. The documents required may vary based on the Type of account (individual or corporate) and the trading segment (equity or commodity).
Overall, Zerodha has a simple and straightforward process for opening a Demat account. By providing the necessary documents, investors can easily open a Demat account and start trading in the stock market.
Charges Involved in Opening a Demat Account in Zerodha
Opening a demat account with Zerodha involves certain charges that traders need to be aware of. This section will cover the account opening charges and brokerage charges involved in opening a demat account with Zerodha.
Account Opening Charges
Zerodha charges a one-time fee of Rs. 300 for opening a demat account. This fee is applicable for both equity and commodity accounts. However, if the trader wishes to open both equity and commodity accounts, the fee is charged only once.
Apart from the account opening fee, Zerodha also charges an annual maintenance fee of Rs. 300 for maintaining the demat account. This fee is charged annually and is applicable for both equity and commodity accounts.
Zerodha offers a flat brokerage fee of Rs. 20 per trade, irrespective of the size of the trade. This fee is charged for both buying and selling of stocks. Additionally, Zerodha also charges a GST of 18% on the brokerage fee.
Traders using Zerodha’s trading platform, Pi, are charged a monthly fee of Rs. 300 for using the platform. However, this fee is waived off if the trader generates a brokerage of Rs. 1000 or more in a month.
In addition to the above charges, traders also need to be aware of other charges, such as stamp duty, transaction charges, and SEBI charges, that are applicable to every trade executed through Zerodha.
Overall, Zerodha’s charges for opening a demat account are competitive and transparent. Traders can easily calculate their brokerage charges using Zerodha’s brokerage calculator available on their website.
Additional Features of Zerodha Demat Account
Zerodha is a leading discount broker that offers a range of services to its clients. Apart from providing a hassle-free account opening process, Zerodha also offers additional features that make it stand out from its competitors. Here are some of the additional features of the Zerodha Demat Account:
Zerodha offers a range of trading platforms to its clients. The most popular trading platform offered by Zerodha is Kite. Kite is a web-based trading platform that offers a range of features, such as advanced charting, live market data, and more. Kite is easy to use and is suitable for both beginners and experienced traders.
Zerodha offers a range of investment options to its clients. Clients can invest in a range of financial instruments such as stocks, bonds, mutual funds, futures and options, and currency. Zerodha also offers a platform called Coin, which allows clients to invest in direct mutual funds.
Zerodha’s demat account also allows clients to participate in intraday trading. This allows clients to buy and sell securities on the same day and take advantage of short-term price movements.
In addition, Zerodha’s demat account provides clients with access to depository services. This allows clients to hold their securities in electronic form and eliminates the need for Physical share certificates.
Zerodha’s demat account offers a range of services to its clients. Clients can access their demat account through Zerodha’s trading platforms or through the Zerodha Backoffice. Zerodha also provides its clients with a dedicated customer support team that is available to answer any queries or concerns.
Overall, Zerodha’s demat account is a great option for clients who are looking for a hassle-free account opening process and a range of investment options. With its user-friendly trading platforms, depository services, and dedicated customer support team, Zerodha is a reliable and trustworthy option for clients looking to invest in the Indian stock market.
Zerodha Demat Account for Specific Users
Zerodha offers demat accounts to a wide range of users, including NRIs and minors. Here’s what you need to know about opening a demat account with Zerodha for these specific users.
Zerodha offers demat accounts for NRIs (Non-Resident Indians) as well. NRIs can open a trading and demat account online by filling out the NRI account opening form on the Zerodha website. The process is similar to opening an account for resident Indians, but NRIs need to provide additional documents such as a copy of their passport, visa, and overseas address proof.
Zerodha also offers demat accounts for minors. The account can be opened in the name of the minor, but the account will be operated by the guardian until the minor reaches the age of 18. The guardian needs to provide their PAN card, address proof, and date of birth proof along with the minor’s birth certificate.
Zerodha also allows users to nominate a person to receive the securities in case of the user’s death. Users can nominate a single person or multiple persons as nominees. Users can add or modify the nomination details at any time by logging into their Zerodha account and updating the details.
Date of Birth
Users need to provide their date of birth while opening a demat account with Zerodha. The date of birth proof can be any government-issued document such as a passport, PAN card, or Aadhaar card.
In conclusion, Zerodha offers demat accounts to a wide range of users, including NRIs and minors. The process of opening an account for these specific users is similar to opening an account for resident Indians, but additional documents are required. Users can also nominate a person to receive the securities in case of their death, and need to provide their date of birth proof while opening the account.
Customer Support and Grievance Redressal
Zerodha is committed to providing excellent customer support and grievance redressal services to its clients. The company has a dedicated team of professionals who are available to assist clients with any queries or concerns they may have.
Clients can contact Zerodha’s customer support team via multiple channels. They can call the helpline number at +91 80 4718 1888 or send an email to firstname.lastname@example.org. The support team is available from Monday to Friday, 9:00 AM to 6:00 PM.
Clients can also reach out to Zerodha’s customer support team through the support portal on its website. They can Create a Ticket by following the steps mentioned on the website. The support portal also has a comprehensive knowledge base that clients can refer to for quick answers to their queries.
Zerodha’s customer support team is committed to resolving all client grievances in a timely and efficient manner. Once a ticket is raised, the team will investigate the issue and provide a resolution within the stipulated time frame.
Clients can track the status of their tickets through the support portal. The portal also allows clients to provide feedback on the resolution provided by the team.
In case a client is not satisfied with the resolution provided, they can escalate the issue to the Grievance Redressal Officer. The officer will investigate the issue and provide a resolution within 15 days.
Zerodha also has an Investor Education and Protection Fund (IEPF) cell that deals with any grievances related to the IEPF. Clients can contact the IEPF cell through the support portal or by sending an email to email@example.com.
Overall, Zerodha’s customer support and grievance redressal services are reliable and efficient. Clients can rest assured that their queries and concerns will be addressed promptly and professionally.
Opening a Demat account with Zerodha is a simple and hassle-free process that can be completed online. The process involves visiting the Zerodha website, filling out the application form, and uploading the required documents. Investors will need to provide their personal information, contact details, and bank account information to complete the process.
Zerodha offers a paperless account opening process, which makes it convenient for investors to open an account from the comfort of their homes. However, it is important to note that there may be charges associated with opening a Demat account with Zerodha, such as account opening fees and annual maintenance charges.
By understanding the fee structure and terms and conditions, investors can decide whether Zerodha is the right choice for their investment needs. Opening a Demat account with Zerodha is a quick and easy process that can help investors manage their securities more efficiently.
FAQ How to Open Demat Account in Zerodha
What are the 7 steps to open Zerodha account?
To open a demat account with Zerodha, follow these seven steps:
- Visit the Zerodha account opening page on their website.
- Enter your mobile number and click on ‘Continue with Google’.
- Enter your PAN and Date of Birth.
- Enter your bank details.
- Complete the IPV (In-Person Verification) process.
- E-sign the application.
- Courier the signed forms to Zerodha.
How much does it cost to open a demat account in Zerodha?
Zerodha does not charge any account opening fee for demat and trading accounts. However, there is an annual maintenance charge (AMC) of Rs. 300 for maintaining the demat account.
What is the minimum balance to open a Zerodha account?
There is no minimum balance requirement to open a Zerodha account. However, you need to maintain a minimum balance of Rs. 5,000 in your trading account to start trading.
How to open demat and trading account with Zerodha?
To open a demat and trading account with Zerodha, follow these steps:
- Visit the Zerodha account opening page.
- Fill in the required details and complete the IPV process.
- E-sign the application and courier the signed forms to Zerodha.
- Once your account is activated, you can start trading.
Is It necessary to open a demat account with Zerodha?
Yes, it is necessary to open a demat account with Zerodha to trade in stocks and other securities in India. A demat account is required to hold the securities you purchase.
How long does it take to Open a Demat account in Zerodha?
It usually takes around 2-3 days to open a demat account with Zerodha once the account opening process is completed. However, it may take longer if there are any issues with the documents submitted or if additional verification is required.