Opening a demat account is the first and foremost step if you need to start trading in the share market. If you want to start trading then having a demat account is obligatory by SEBI, it also has various benefits. Demat account allows you to hold all of your investments safely in electronic form. However, many aspiring investors find it difficult to open a demat account. These days, the demat account opening can be done online in minutes. Here are a few simple steps that will allow you to open a demat account.
How to open demat account online?
- To open a demat account; first, you need to select a depository participant (DP). You can either choose a bank or a well-known brokerage firm like Motilal Oswal that will allow you to open your account in real-time without any hassle.
- Once you have chosen a depositary participant; you need to fill in all the details that are required by them along with the KYC-form that is given on their website.
- When you fill your form, keep your documents like pan-card, aadhar card, checkbook, income proof, and passport size photocopies handy so that you can instantly open your account.
- Once you have filled the KYC- form, you can review the complete form and sign the form digitally.
- After you have filled your form, the last step is the verification process. Your depositary participant will carry out a verification process to check if all the details filled by you are true. They will send their representative to your place. But these days, due to technology some DPs even conduct a verification process through video-session.
- Finally, when all the documents are submitted and verified, you will receive the Beneficiary ID (Demat account number) on your mail-id or phone number.
- The Beneficiary id and the DP id combined becomes your unique DP code for all your future transactions.
Now that you know how to open trading account online, when are you planning to open your account?