Zerodha is a popular online discount broker in India that offers a range of investment services to its clients. One of the key services they offer is the ability to open a demat account online, which is a necessary step for investing in the stock market.
This article will provide a step-by-step guide on how to open a demat account in Zerodha and the documents required for eligibility.
Before opening a demat account in Zerodha, it is important to ensure that you meet the eligibility criteria and have the necessary documents in place.
The eligibility criteria include being an Indian citizen or a non-resident Indian (NRI) and being at least 18 years of age.
The documents required include a PAN card, Aadhaar card, bank proof, and signature.
Once you have these documents, you can proceed with the account opening process.
The step-by-step account opening process involves visiting the Zerodha website, filling out the online account opening form, and uploading the necessary documents.
The process is simple and can be completed in a few minutes. Once your account is opened, you can start investing in the stock market through Zerodha’s trading platform.
Key Takeaways
- To open a demat account in Zerodha, you need to meet the eligibility criteria and have the necessary documents in place.
- The account opening process is simple and can be completed online in a few minutes.
- Once your account is opened, you can start investing in the stock market through Zerodha’s trading platform.
Eligibility and Documents Required
To open a Demat account with Zerodha, certain eligibility criteria must be met and specific documents must be submitted. This section will outline the necessary requirements.
Proof of Identity and Address
To open a Demat account with Zerodha, the applicant must provide a proof of identity and a proof of address.
The proof of identity can be any one of the following:
- PAN Card
- Passport
- Voter ID Card
- Driving License
The proof of address can be any one of the following:
- Aadhaar Card
- Passport
- Voter ID Card
- Driving License
- Bank Statement
- Utility Bill
The proof of address must be in the name of the applicant and should not be more than three months old. If the applicant is submitting a bank statement or utility bill, it must be attested by a bank official or a notary public.
Financial Documents
In addition to the proof of identity and address, certain financial documents must be submitted to open a Demat account with Zerodha. These include:
- Bank Account Details
- Bank Passbook
- Income Proof
- Salary Slip
- Form 16
The bank account details must include the account number, IFSC code, and branch details. The income proof can be in the form of a salary slip or Form 16. These documents are required to verify the applicant’s financial status.
Additional Information
Apart from the above documents, the applicant must also provide additional information such as their personal details and contact information. This includes:
- Name
- Date of Birth
- Mobile Number
- Email Address
All of the information provided must be accurate and up-to-date.
Step-by-Step Account Opening Process
Opening a demat account with Zerodha is a simple and straightforward process. The account opening process can be completed online, and it involves three main steps: Online Application, Verification via OTP and E-sign, and In-Person Verification.
Online Application
To open a demat account with Zerodha, the first step is to visit the Zerodha account opening page on your browser. Here is the direct link to start the account opening process: Zerodha Account Opening Page.
Once you click on the above link, Zerodha’s account opening page will appear, and you will be required to enter your mobile number to sign up. After entering your mobile number, you will receive an OTP to verify the mobile number.
Next, you will be required to enter your PAN card details, date of birth, and bank account details. You will also need to upload a scanned copy of your PAN card, address proof, and a cancelled cheque.
Verification via OTP and E-sign
Once you have completed the online application form and uploaded the required documents, you will receive an OTP on your registered mobile number. You will need to enter the OTP on the verification page to proceed.
After verifying your mobile number, you will be required to sign the application form using the E-sign facility. The E-sign facility allows you to sign the application form electronically, without the need to physically sign the form.
In-Person Verification
After completing the online application and verification process, you will need to complete the in-person verification step. In-person verification is a mandatory requirement for opening a demat account with Zerodha.
To complete the in-person verification process, you will need to visit a Zerodha branch office or an authorized partner office. You will need to carry the original copies of the documents uploaded during the online application process for verification.
During the in-person verification process, a representative from Zerodha will verify your documents and take your photograph and signature. Once the verification process is complete, your demat account will be activated, and you will receive an email with your user ID.
Zerodha takes security seriously, and all online account opening and KYC verification processes are conducted in compliance with the regulations set by the KRA and PMLA guidelines. Zerodha also offers the option to link your Aadhaar card with your demat account for easy and hassle-free account opening and verification.
Understanding Account Charges and Features
Brokerage and Other Charges
Zerodha offers some of the lowest brokerage charges in the industry, making it an attractive option for traders and investors.
The brokerage for equity delivery trades is zero, which means that investors can buy and hold stocks for free.
For intraday and futures and options (F&O) trades, Zerodha charges a flat fee of ₹20 per trade, regardless of the order value.
However, it is important to note that Zerodha charges a fee of ₹20 per executed order for equity intraday trades. This means that if an investor places multiple orders for the same stock in a day, they will be charged ₹20 for each order.
Apart from brokerage charges, Zerodha also charges account opening charges and annual maintenance charges (AMC).
The account opening charges for a trading and demat account at Zerodha are ₹200.
The AMC charges for a demat account are ₹300 per year, which is charged quarterly at ₹75 per quarter.
However, it is important to note that if the value of the holdings in the demat account is less than ₹2,00,000, the account is automatically considered a Basic Services Demat Account (BSDA), and the AMC charges are waived off for the first year.
Trading and Demat Account Features
Zerodha offers a user-friendly trading platform called Kite, which is available on the web as well as mobile devices.
Kite offers a range of features such as advanced charting, multi-leg orders, and more. The platform is easy to navigate and provides real-time market data, making it convenient for traders and investors to make informed decisions.
Zerodha’s trading and demat account is highly secure, with two-factor authentication and encryption of sensitive information. The company also offers customer support through various channels such as email, phone, and chat, making it easy for customers to get their queries resolved.
After Account Opening
Once the demat account is opened with Zerodha, the next step is to fund the account and start trading. This section covers the steps to fund the account and place the first trade.
Funding Your Account
To fund the Zerodha demat account, the account holder needs to link their bank account number and UPI ID to the Zerodha account.
Once the linking is done, the account holder can transfer funds to the Zerodha account using the UPI or net banking facility. The funds will reflect in the Zerodha account within a few hours of the transfer.
Placing Your First Trade
After the account is funded, the account holder can start trading in securities such as equity, commodity, options, futures, stocks, bonds, and mutual funds.
To place the first trade, the account holder needs to log in to the Zerodha trading platform using their login credentials. The trading platform provides a user-friendly interface to place trades, monitor positions, and track market movements.
To place a trade, the account holder needs to select the security they want to trade. Then, they need to enter the order details such as the quantity, price, and order type, and confirm the trade.
Once the trade is confirmed, the order is sent to the exchange for execution.
Frequently Asked Questions
What documents are required to open a Demat account with Zerodha?
To open a Demat account with Zerodha, you will need to provide a few documents. These include your PAN card, Aadhaar card, and a cancelled cheque or bank statement. You may also be required to provide additional documents depending on your account type.
Can I open a Zerodha Demat account online and what are the steps involved?
Yes, you can open a Zerodha Demat account online by visiting the Zerodha website and following the account opening process.
The steps involved include providing your personal details, uploading the required documents, and completing the e-sign process.
What are the charges associated with opening an account with Zerodha?
Zerodha charges a one-time fee of Rs. 200 for opening a trading account and a one-time fee of Rs. 100 for opening a Demat account.
For equity delivery trades, there are no brokerage charges. For intraday trades, the brokerage fee is 0.03% or Rs. 20 per executed order, whichever is lower. For more details on charges, please refer to the Zerodha website.
How do I check the status of my Zerodha account opening application?
You can check the status of your Zerodha account opening application by logging into your Zerodha account and navigating to the ‘Console’ tab.
From there, you can check the status of your application under the ‘Account’ section.
What is the process for downloading and filling out the Zerodha account opening form?
To download and fill out the Zerodha account opening form, you can visit the Zerodha website and navigate to the ‘Downloads’ section.
From there, you can download the account opening form and fill it out with the required details. Once completed, you can submit the form along with the required documents to complete the account opening process.
How does Zerodha’s platform cater to the needs of beginner investors?
Zerodha’s platform offers a range of educational resources and tools to help beginner investors get started with investing.
These include a ‘Varsity’ section with articles and courses on investing, a ‘Sensibull’ options trading platform, and a range of other tools and resources to help investors make informed decisions.
How to apply zerodha demat account online?
To apply for a Zerodha Demat account online, you can visit the Zerodha website and follow the account opening process.
This involves providing your personal details, uploading the required documents, and completing the e-sign process.
How to create upi id in zerodha?
To create a UPI ID in Zerodha, you can follow the steps provided on the Zerodha website.
This involves linking your bank account to your Zerodha account and creating a UPI ID through the BHIM app.
How to link zerodha demat account to trading account?
To link your Zerodha Demat account to your trading account, you can log in to your Zerodha account. Then, navigate to the ‘Profile’ section.
From there, you can link your Demat account to your trading account by providing the required details.
