BAJAJ BROKING

Notification
No new Notification messages
Dhanlaxmi Crop Science IPO is Open!
Apply for the Dhanlaxmi Crop Science IPO through UPI in just minutes.
Open a Free Demat Account
Pay ZERO maintenance charges for the first year, get free stock picks daily, and more.
Trade Now, Pay Later with up to 4x
Never miss a good trading opportunity due to low funds with our MTF feature.
Track Market Movers Instantly
Stay updated with real-time data. Get insights at your fingertips.

Eligibility Criteria to Open Demat Account

Listen to our Podcast: Grow your wealth and keep it secure.

0:00 / 0:00

Are you looking to take charge of your finances and start investing in the stock market?

 

 

If so, it’s essential to understand what you need to know before getting started. Opening a Demat account is the basic step to investing, trading, and tracking your stocks. To open a Demat account, you must meet some eligibility requirements.

This blog post will discuss the requirements needed to open a Demat account, who can hold a Demat account, how this account works, and its benefits.

Let’s dive in!

How does a Demat account work?

Before we jump into the eligibility criteria, let’s understand how a Demat account works.

A Demat account acts like an electronic safe for stocks and bonds. The account gets credited or debited accordingly when you buy or sell shares. It keeps a record of all your transactions and investments so that you can track them easily. Without a Demat account, you won’t be able to make trades or investments in the stock market. Here are some basic concepts you need to know to understand how a Demat account works:

  • Central Depository: CDSL (Central Depository Services Limited) and NSDL (National Securities Depository Limited) are the two central depositories in India. The depository holds your stock accounts for you.
  • DP (Depository Participant): A Depository Participant or DP is an intermediary between the CDSL/NSDL and the investor that provides access to your stock accounts. DP can be banks, brokers, or financial institutions that offer services to open Demat accounts with CDSL or NSDL.
  • Unique ID: Every Demat account is linked with a unique ID used for transaction purposes and enables companies to identify the individual to credit shares to their account.
  • Portfolio Holding: Your Demat account holds a portfolio of all the financial securities you buy and sell. It automatically updates your Demat account whenever you transfer or buy a security.

Benefits of Demat Account

There are many benefits of having a Demat account:

  • Easy to manage stocks: Demat accounts make buying and selling shares easy with just a few clicks and eliminate the paperwork.
  • No limitations: You can buy any number of shares or securities without any limitations.
  • Transparency: Demat accounts offer real-time updates on your portfolio so that you can easily track your investments.
  • Lower costs: One advantage of online transactions, including opening a Demat account online is the low cost. While handling and stamp duty are expenses associated with physical bonds, a Demat account only has brokerage fees.
  • Safe & Secure: All the securities are stored electronically, which makes them much more secure than physical certificates.
  • Loan Facility: You offer your securities as collateral to the banks while issuing a loan.

What are the requirements to open a Demat account?

Here are the eligibility criteria and documents you will need to open a Demat account:

  • Age

Both adults and minors can purchase stocks. There is no minimum age to open a Demat account in India.

If you are a minor, your Demat account can be opened by your parents or guardians in your name by submitting all the required documents. Until the age of 18, your parents or guardian will operate the Demat account.

Post 18 years, the DP will send you an intimation to gather KYC documents to open and transfer details to a new account.

  • Documents required to open a Demat account

Identity & Address Proof: You need to submit an identity proof document that contains your complete name, photograph, address, and signature. Acceptable documents are a passport, PAN card, Aadhaar card, voter’s ID card, driving license, electricity bill, and water bill.

Bank Account: To complete the Demat account opening process, you must link your Demat account with your bank account. This allows transfers from the Demat account to happen without hassle when trading stocks through the stock market exchange.

Who can hold a Demat Account?

Here is a list of individuals and organizations that are eligible for a Demat account:

Individual

  • Adults
  • Minors
  • NRIs

Entities:

  • Banks
  • Mutual Funds
  • Partnership firms
  • Corporations
  • LLP (Liability Limited Partnership)
  • Registered/Unregistered trust
  • Registered/Unregistered society

Demat Account in India

Check out on how to open demat account across various cities in India!

Conclusion

Having a Demat account is essential for anyone who wants to invest in stocks, bonds, mutual funds, or other financial securities in India. With a Demat account, you can manage your investments easily and securely without any limitations or paperwork.

Share this article: 

Frequently Asked Questions

Who is the most successful trader in India?

Answer Field

The most successful trader in India is often considered to be the Late Rakesh Jhunjhunwala, also known as the "Warren Buffett of India," due to his consistently profitable trading strategies and significant contributions to the stock market.

Who is India’s Top Trader?

Answer Field

Determining the top trader in India can be subjective, but some of the well-known successful traders include Rakesh Jhunjhunwala and Radhakishan Damani, known for their strategic investments and significant market influence.

Is Bajaj Broking Trading App Available for Android & iOS?

Answer Field

Yes, the Bajaj Broking Trading App is available for both Android and iOS devices. You can download it from the Google Play Store or Apple App Store.

Why Should I Use Bajaj Broking Trading App?

Answer Field

The Bajaj Broking Trading App stands out for its user-friendly interface, robust security, real-time data, and comprehensive trading tools. You have access to products like IPOMTF, Bonds, US Stocks, ETFs, and much more. Bajaj Broking also offers low brokerage plans that can help users save up to 75% on traditional brokerage fees.

How Useful is Bajaj Broking Trading App?

Answer Field

The Bajaj Broking Trading App is highly useful for traders of all levels, offering features like real-time data, advanced charting tools, and quick order execution. Its simple design makes trading convenient and efficient. It has subscription plans catered to users diverse trading and investing needs.

Does Bajaj Broking Trading App Provide Real Time Data?

Answer Field

Yes, the Bajaj Broking Trading App provides real-time market data, enabling you to make informed trading decisions based on the latest information.

Is Bajaj Broking Trading App Safe?

Answer Field

Absolutely. The Bajaj Broking Trading App is equipped with state-of-the-art security features, including encryption and two-factor authentication, ensuring the safety of your data and transactions.

Is Bajaj Broking Trading App Free?

Answer Field

Yes, the Bajaj Broking Trading App is free to download and use. There are no hidden charges for using the app, though standard brokerage fees apply for transactions. Check out the pricing details on Bajaj Broking. You can open a demat and trading account for free on Bajaj Broking.

How Do I Start Trading?

Answer Field

To start trading, download the Bajaj Broking Trading App from the Google Play Store or Apple App Store, create an account, complete the KYC process, and fund your account. Get access to daily stock recommendation and make informed choices.

Is Trading Safe?

Answer Field

Trading can be safe when you use reliable platforms that employ advanced security measures to protect your data and transactions. However, it's important to be aware of market risks and to trade wisely, ensuring you have a good understanding of the market and strategies to mitigate potential losses.

Which is the Best App for Trading?

Answer Field

The best app for trading depends on individual needs, but Bajaj Broking's Trading App is an app that serves all possible stock market needs of investors. It has a simple user-friendly interface, comprehensive trading and investing features, and dedicated customer support. It offers daily stock recommendations, latest market updates, advanced trading tools, and multiple educational resources.

What are the trading charges in the Bajaj Broking trading app?

Answer Field

There are no account opening charges and AMC (annual maintenance charges) on the Bajaj Broking trading app. Only a subscription fee is chargeable as per your chosen plan. With the Freedom Pack, you don’t have to pay any subscription fees for the first year and Rs. 431 from the 2nd year onwards. Brokerage charges apply for intraday and F&O trading.

What are the equity trading segments of Bajaj Broking?

Answer Field

Some of the equity trading segments offered by the Bajaj Broking share market app are Equity cash (delivery/intraday) and equity derivatives (Futures and Options).

Can anyone invest in IPOs through the Bajaj Broking trading app?

Answer Field

Yes, you can invest in any IPOs by using the Bajaj Broking share trading app.

No Result Found

Read More Blogs

Our Secure Trading Platforms

Level up your stock market experience: Download the Bajaj Broking App for effortless investing and trading

Bajaj Broking App Download

8 Lacs + Users

icon-with-text

4.4+ App Rating

icon-with-text

4 Languages

icon-with-text

₹4700+ Cr MTF Book

icon-with-text