Documents Required For Demat Account

A Demat account is a digital platform which allows you to store securities in electronic form. To trade in the stock markets, you must open a Demat account. There are several documents required to open a Demat account. This includes your identity proof, address proof etc. If you have the proper documents, you can open a Demat account quite easily. In this blog, let’s find out what are the documents you need to open a Demat account.

Key Highlights

• To open a Demat account in India, you must provide identity proof, address proof, and income proof.

• Investors should also provide their bank account details and PAN number.

• A minor can also open a Demat account if he and his guardian have the relevant documents.

Types of Documents Required for Demat Account Opening

To open a Demat account, an individual must provide all the relevant documents. Without proper documents, the stockbroker will not complete the account opening process. One must have the following types of documents while opening a Demat account.

• Valid proof of identification (PAN card is required)
• Recent passport-sized photos.
• Valid proof of income
• Valid proof of bank account
• Valid evidence of address.

Documents Required for Identity Proof

You will need an ID proof to open any type of Demat account. You can use any of the following documents for this purpose:

• PAN card
• Aadhaar card
• Passport
• Voter ID
• Driving licence
• Photo credit or debit cards issued by Indian banks
• Any other government-issued photo ID card.
• IDs issued by Public Sector Undertakings, Commercial Banks and Financial Institutions
• University Identity cards

Documents Required for Address Proof

Next, you will need a valid proof of address. For this, you can submit any of the following documents:

• Passport
• Voter ID
• Aadhar card
• Driving licence
• Ration card
• Sale or lease agreement of current residence
• Insurance policy consisting of your address
• Current utility bill (landline telephone/electricity/gas)
• Bank statements for the last three months
• Proof of address issued by a bank manager

Documents Required for Income Proof

Apart from your ID and address, you also need to prove your financial status. You will have to submit the following documents:

• Acknowledgement copy of your Income Tax Return (ITR)
• Salary slips of the last three months or Form 16
• Bank account statements for the last six months
• Copy of Income Tax Return acknowledgement form
• Certificate of Net Worth issued and verified by a Chartered Accountant
• Demat account statement from any authorised depository participant showing your Demat holdings
• Copy of audited annual accounts certified by a Chartered Accountant
• Self-declaration about ownership of assets, along with relevant papers supporting the same

Documents Required to Open a Demat Account for Minors

Minors must have an individual Demat account. A joint holder or nominee cannot be appointed. Moreover, the account can be operated only by the concerned parent or guardian. To open a Demat account for a minor child, you should provide the following documents.

• Minor’s PAN Card Copy
• Copy of birth certificate issued in respect of minor
• Guardian’s PAN card copy containing clear photo
• Passbook of the minor’s bank account

Conclusion

Investors must complete the documentation process to open a Demat account. You must provide your identity, address, and income proof. The bank account and your PAN details are also necessary. Minors have to provide their birth certificate, PAN card, and bank account passbook. However, their guardians must provide their PAN card too. Providing these documents is essential to complete the Demat account opening process smoothly. However, remember, you should always submit the updated documents.