To open a demat account, one must obtain an application form from a Depository Participant registered with the Depository and SEBI. The application requires submission along with PAN card and proof of address. Upon signing an agreement detailing rights and duties, the DP will open an account and provide a 16-digit demat account number. This number allows purchases and investments to be added to the account, and sales to be deducted. Demat accounts allow paperless trading of securities in electronic form.

1. How To
Open a Demat Account?

2. Step 1
You can obtain application form from any
Depository Participant (DP) registered with
Depository and SEBI. To identify the nearest DP
available in your locality, you may obtain the
contact details from Depository or SEBI Website
www.sebi.gov.in

3. Step 2
The duly filled application form along with PAN
Card and Proof of Address can be submitted to
the DP. Any of the following documents is
accepted as Proof of Address:
• Passport
• Voter ID Card
• Photo Identify Card issued by Central
Government / Statement Government /
Statutory bodies / Banks / Public sector
undertakings / Colleges affiliated to
universities

4. • Credit card / Debit card statement
• Bank passbook
• Ration card
• Electricity bill / Residential telephone bill (not
older than two months)
• Leave and License agreement
Note: DP may request you to show the original documents for
verification at the time of submission of application.

5. Step 3
You have to enter into an agreement with DP in
the standard format, which gives details of
rights and duties of investor and DP. You are
entitled to receive a copy of the agreement and
schedule of charges for future reference.

6. Step 4
On furnishing the requisite documents and
signing the agreement, DP will open account
and give your 16 digit demat account number
(8 digits DPID and 8 digits Client ID). This is
also called as Beneficial Owner Identification
number (BO ID). All your purchases /
investment in Securities will be added
(credited) to this account. If you sell your
securities, your demat account will be reduced
(debited).

7. Note
You can have multiple demat accounts if you so
wish. You can choose your DP as per your
convenience and there is no compulsion to open
DP account with your stock broker. Broadly,
charges are applicable for:
• Dematerialization and Dematerialization of
your securities
• Annual account maintenance charges
• Transactions fees (only for sell transactions)

8. A financially aware and empowered India.