Looking for the best demat account in India?
Great! You have reached the right place; we are here to help you, make sure to read the article carefully to know which demat account is best in India
SEBI (Securities and Exchange Board of India) introduced the compulsory settlement of trades in the demat form in respect of few scrips initially with effect from January 15, 1998 for trading in shares and securities.
And, since then the entire process of shares trading has been done through demat accounts. Dematerialization is the process of converting your physical mode of shares and securities into the digital or electronic form.
The objective behind having a demat account is to seamlessly buy, sell, trade and hold shares. Brokers conduct the activities of investing or trading shares on behalf of their customers for a simple brokerage fee.
In modern times and with multiple reforms introduced by SEBI in the stock market, one can use demat accounts through broker websites/applications to buy and sell shares.
So let's understand more about the best demat accounts to have in India:
Top 10 Best Demat Account In India With Buying Guide (Updated 2022)
1. Zerodha Demat Account:
Zerodha is one of the most trusted & top demat account in India and is known for its low brokerage fees.
Moreover it is also known to provide an advanced chart analysis.
The ease of opening demat accounts, seamless customer service, and smooth technology usage over the application called “Kite '' are the key differentiators for Zerodha.
Min Balance account:
- Zerodha charges an annual maintenance charge of ₹ 300. It deducts ₹75 per quarter in advance from your trading account for this.
- Zerodha charges a low brokerage fee of either 0.03% or ₹ 20 per executed order, whichever is lower.
- The demat and trading account opening charges are ₹ 200. Whereas commodity account opening charges are ₹100.
- Equity Delivery - zero brokerage.
- 0.03% or ₹ 20 per executed order whichever is lower for Equity Intraday and for Equity Futures.
- Flat ₹ 20 per executed order for Equity Options.
Features
2. Upstox Demat Account:
One of the best demat accounts in India, Upstox is an online stock trading and investment platform from RKSV Securities.
It is also a depository participant with Central Depository Services (India) Limited (CDSL) and National Securities Depository Ltd (NSDL).
A demat account is very similar to a bank account where you hold shares, mutual funds, bonds etc in the electronic format.
The Upstox Demat Account offers a safe, secure, and easy investment opportunity in Shares, Mutual Funds, IPOs, NCDs, Bonds etc.
- Min Balance account:
- Zero brokerage on account opening and ₹ 150 annual maintenance charges.
- Flat ₹20 per execute order or 0.05%, whichever is less brokerage on Equity Intraday, Futures and Options, Currency, and Commodity.
- ₹20 or 2.5% whichever is lower on Equity Delivery.
Features
3. Paytm Money Demat Account:
Paytm is an Indian e-commerce payment system approved by the Reserve Bank of India (RBI).
It has its own platform called Paytm Money which is a web as well as mobile trading application that offers flawless trading services to its users.
Paytm Money offers bank-level data security and is thus safe and protected for its customers.
Min Balance account:
- Equity Delivery charges are ₹0 (Free) (minimum ₹0.01 per executed trade).
- Equity Intraday is ₹10 per executed order or 0.05% whichever is lower, and for Equity futures and options it is flat ₹10.
- Payment gateway charges (Net banking): ₹10 for each fund addition
- ₹0 for each fund addition (Free) gateway charges (UPI).
- Auto square off charges: ₹20
- Annual Platform Fees: ₹300 per annum
Features
4. 5paisa Demat Account:
5Paisa Demat Account offers innovative products and investment solutions.
Opening a 5Paisa Demat and trading account allows varied products and services at an amount of 5 paisa meaning ₹0.05.
With the offering of service of various investment solutions at such a low rate have not only acted as a differentiator for the entity but also given a tall valuation to ₹0.05.
5Paisa is able to reach a mass customer base with this low amount brokerage targeting a large customer base.
Min Balance account:
- Flat fee of INR 20 per order for any kind of transaction across all asset segments is levied.
- 5Paisa Power Investor Pack is one of the two subscription packs provided by 5Paisa. There are a lot of perks associated with this pack, which investors can enjoy only with a payment of ₹499 per month.
- Discount on Brokerage – 50% discount is provided to users on Brokerage, which cuts the charge to ₹10 per executed order.
- Plans like Smart Investor, Model Portfolio Analyser, Swing Trading toll are offered through its service platform.
Features
5. IIFL Demat Account:
IIFL or India Infoline is a leading full-service brokerage platform offering both trading and demat accounts. IIFL charges a ₹0 (free) demat account opening fee.
There is also an Annual Maintenance Charge (AMC) of ₹ 250 which customers have to pay every year, however it's free for the first year after the account has been opened.
IIFL works towards a service where accounts will open in a few hours after validating all the information and documents.
You will be informed by a welcome email and call once your account is activated.
Min Balance account:
- Account opening fee is ₹295.
- Annual Maintenance Charges (AMC) is ₹ 0 (for the 1st Year).
- Conversion of Mutual Fund units, Destatementization, Reconversion of Mutual Fund. units into Statement of Account, and Redemption/Restatementization is ₹0.
Features
6. Angel Broking:
Angel Broking is a technology-led financial services company that provides brokerage, margin funding, loans against shares, advisory services, (through one of our Subsidiaries, AFPL), and financial products’ distribution to our clients under the brand “Angel One ''.
Angel broking has a record of continuous growth and strong financial performance.
Its agenda is to provide the best value for money to investors through innovative products, investment strategies, advanced technology, and personalised service
Min Balance account:
- Trading Charges [One Time] is ₹0 (Free) and Trading AMC [Yearly] is ₹0 (Free) for the initial year.
- Angel Broking allows for the Account Opening Charges to be absolutely free of cost which is a great benefit provided for opening Demat accounts.
- The Angel Broking AMC is ₹450 but you can avail it free of cost if you avail any other of their offers related to the maintenance fee, which they roll out often.
- It offers trading platforms across all the devices.
Features
7. Sharekhan Demat Account:
Sharekhan is one of the largest stock brokers, providing brokerage services through their application called Sharekhan online and also trading website Sharekhan.com.
Sharekhan also offers depository services (demat account), along with the option to invest in mutual funds and IPOs.
Other services provided by Sharekhan include trading in equity, bonds and NCDs, F&O and commodities, investment in IPOs, Mutual Funds, Insurance.
Min Balance account:
- Opening charges are nominal or nil. Some banks do it for free if you open a 3-in-1 account, where you can open a savings account, demat account, and trading account in one go.
- Some DPs levy a charge either based on the number of transactions you make or a flat rate for the entire month.
- Though such charges vary too, some DPs (discount brokerages) tend to charge roughly ₹1.5 for each share you trade.
Features
8. Religare Demat Account:
Religare proudly tags itself as the “One Stop destination for all your investment needs” as they are the market leaders in providing customer friendly investment solutions in all spheres of financial services.
Although, there is an account opening charge of ₹ 500 for the Demat as well as Trading account.
The Religare Securities Demat Account helps you track your holdings and spendings on a regular basis thus managing your entire portfolio.
Religare has a Bandhan Green plan under which you can pay ₹ 2500 and avail lifetime free AMC for your Demat Account.
Min Balance account:
- ₹500 are the one time Account Opening Charges.
- Nil during the first year as Trading Annual Maintenance charges AMC (Yearly Fee)
- Demat Account Opening Charges (One Time) are Nil
- Annual Maintenance Charges (AMC) are ₹400
- Equity Delivery is 0.5% to 0.10%
Features
9. ICICI Direct Demat Account:
The services offered include equity, commodity, and currency trading at BSE, NSE, and MCX.
The company also offers Mutual Fund & IPO, Fixed deposits, Bond, NCD, Wealth Products, Home Loans, Loans against Securities, etc.
ICICIdirect's most popular service which includes the ICICI Bank Account, ICICI Trading Account, and ICICI Demat Account.
The 3 in 1 account offers a seamless trading experience. ICICIdirect offers multiple brokerage plans i.e. I-secure plan,
- ICICI prime plan;
- Life-time free brokerage Plan;
- and Neo plans.
ICICI Neo plan is a flat rate brokerage plan. It offers brokerage-free equity futures trading.
It charges ₹20 per executed order brokerage for Equity Intra-day and Options trading and 0.55% brokerage for equity delivery.
This plan offers access to trading tips and research, 30 minutes payout when selling shares, and margin funding at a low-interest rate.
Min Balance account:
- ICICI offers three types of brokerage plans to its customers depending upon their requirements:
- I-Secure Plan (Flat brokerage Plan)
- I-Saver Plan (Variable brokerage plan)
- ICICI Prime Plan:The plan will help the bank’s customers reduce their brokerage and also get money instantly in their bank account when selling shares in BSE. ICICI Prime Plan also offers exclusive research for prime members.
- 3.5% interest on your holding money: With ICICI demat account, your money never lies idle. It gives you interest too when it is parked in a trading account.
- All-inclusive low brokerage: Brokerage charges with ICICI include DP charges of a maximum of 0.04 per cent or ₹ 25 every time shares are debited from your demat account.
Features
10. HDFC Security Demat Account:
One of the best demat and trading account in India, HDFC Bank's 3-in-1 Account offers effort-less investment opportunities, since it is a combination of a bank account, a trading account and a demat account.
All these accounts are linked together and operate seamlessly as one.
When a customer buys a stock, the money is withdrawn from the bank account and shares are deposited in the demat account.
In the same way when shares are sold using a trading account, the shares are withdrawn from the demat account and money gets deposited in the HDFC Bank account.
Min Balance account:
- For instance, HDFC Bank has waived off the account opening charges as well as maintenance charges on your Demat account for the first year.
It also offers a flat fee rate for other transactions, and lets you know about it.
- This helps you focus on trading rather than worrying about the transaction costs and calculating the same. Here is a look at the fees and charges offered by the HDFC Bank.
- Demat account opening charges: NIL
- Annual maintenance charges (AMC): NIL for the first year
Features
Conclusion:
Whichever broker you think is best suited for your requirements, the following would be the procedure to go through to open a demat account:
Steps to open a demat account online for all above are more or the same.
- Check in to the home page of the registered broker and click on “open account”
- Register your mobile number and email address, by using Sign up.
- Verify your mobile number and email using the One time password (OTP).
- Mention your Permanent Account Number (PAN) and date of birth (DOB) as a proof of identity.
- Pay the account opening charges as applicable for trading and demat accounts through net banking or using unified payment interface (UPI).
- Upload your aadhar details, income proof (Income tax filed return, salary slip, proof of address, tax residency, bank details (bank account will be linked to your demat account) and continue for validation.
- Verify your identity through your photo clicked during the screening process.
- Once validation is approved by the broker, you will be able to avail the services.
- Approval mail will be received on your registered email ID.
Steps to open demat account offline
- On enquiring for an account opening with the respective broker, you will receive a call from the sales manager in 24 hours or they may come to your home for the screening and verification process.
- Fill out the account opening form from the sales manager.
- Sign the form and send it to the broker Head Office.
- The broker will go ahead with the account opening process on receipt of the form, and on a successful verification process your account is ready to invest or trade.
Frequently Asked Questions
Q1 Which is the safest Demat account?
Generally each demat broker provides an appropriate level of security due to SEBI regulations, however the one with good customer support and help tool will allow you to navigate and have a good trading experience.
Q2 Which is best demat account for beginners?
The best demat account broker is one who provides you with investor education learnings, research, chart- analysis, lower brokerage, and good customer service.
Q3 What is the difference between Demat and trading accounts?
Demat accounts are used to store your shares until you sell them and earn profit/suffer loss for time value of investment. Trading accounts primarily target to buy and sell, speculate and earn profit/suffer loss.
Q4 How to find the best Demat account offers in India?
Through online surfing and monitoring over different SEBI registered brokers you will be able to find best demat account offers.
Primarily the best source to know about it should be the internet.
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