If you are looking to invest in the stock market to reap great benefits in the future, it is recommended that you open a demat account to manage your investments, keep them secure and ensure instant buying and selling of securities.
Kotak Securities offers a very streamlined and simple application process with which you can get your own demat account up and running. There are some simple steps to follow, and a few documents to keep handy. It is advisable to also read up about the benefits of holding a demat account complete with the charges involved. Below is a step by step guide to set up and open your demat account with Kotak Securities:
1. Fill up and submit a Demat account opening form: This is a simple form, in which you will be required to fill up personal details, the nature of the investment, your beneficiary, nominees, etc. Filling up this form should not take you less than half an hour (as long as you have all the relevant information ready).
2. Submit Documents: After the form is submitted, you will be asked to submit the documents which are to attest to all that you filled in the demat account opening form along with particulars to prove your identity and your PAN Card number for tax purposes. You can scan them and send them online if you please (and you should). A passport-sized photograph is also necessary and can be submitted online as well.
3. Read provided material thoroughly: After Step 2 is complete, Kotak Securities will have provided you with reading material that will state the rules and regulations, the terms of the agreement as well as the charges you will incur. Read all of them in absolute detail. These are not standard ‘terms and agreements’ contracts that you might come across online. This involves your money and you cannot be careful enough. Avoid any confusion or inconsistency by understanding all terms properly.
4. In-Person Verification: Since there are only two bodies in India who govern and operate demat accounts – Central Depository Services Limited (CDSL) and National Securities Depository Limited (NSDL) – you will be required to be vetted by them, in person. This is not a complicated procedure. You will be informed well in advance of the day and date you will be approached for verification. Carry all the necessary documents with you and answer the few questions you will be asked honestly. And that’s it!
5. Account number and ID: After you have successfully completed all the steps above, your application will be processed and you will be provided with your demat account number and a unique ID. You can start investing almost immediately. Remember, you do not need any units within your Demat account for it to be operational. Think of them as a zero-balance bank account.
Kotak Securities offers a simple and secure procedure for a person to set up and run a demat account at the earliest. Log in to the Kotak Securities website to understand the procedure and its nuances better.