One of the leading banks in the country, HDFC Bank offers demat account services to its customers. An HDFC Bank demat account is similar to other demat accounts when it comes to features and benefits. Of course, there are some unique features to HDFC Bank’s demat account, but before we get to that let’s understand what a demat account is.
A Demat Account is an account that allows investors to hold shares and securities in an electronic format. Demat is an abbreviated word for dematerialisation (the process of converting physical shares into an electronic format). The Demat account remains in dematerialised form. With SEBI disallowing processing or transfer of physical shares of listed companies since March 31, 2019, having a Demat account for trading in share market in India has become mandatory. Also, a Demat Account can hold all the investments an individual make, including mutual funds, bonds, shares, government securities, exchange-traded funds etc. For instance, HDFC Bank Demat Services Demat account allows the investor to buy and sell as well as transact a whole lot of products, other than shares and stocks, easily, quickly and without any paperwork and all conveniently under one roof, and within the comforts of your home.
HDFC Bank Demat account offers you a safe, online and seamless mode to keep track of your investments. You can prevent unauthorised transactions in your Demat account by updating your mobile number with your Depository Participant (HDFC Bank Ltd). This will also help you receive alerts on your registered mobile for all debit and other important transactions involving your Demat account.
How to open an HDFC Bank Demat account
You can open HDFC Demat account online within the comforts of your home by following these three simple steps:
Step 1: Log in to your HDFC net banking URL and browse for the ‘Demat’ tab. You will find it at the top right corner. Click on the tab and you will find the options before you. Click on the ‘Apply Online’ option which is listed on top and the ‘Demat account opening form’ will open on your screen.
Step 2: Once the ‘Demat account opening form’ is loaded you will have to fill all the mandatory fields which are marked with red *. After filling in the form, you will have to click on the checkbox to authorise ‘HDFC securities representatives to call you’ and then click on the ‘SUBMIT’ button.
Step 3: Once your form is successfully submitted you will see the message displayed in the below screenshot ‘Thank you for your interest in HDFC bank Demat account’. Consequently, within two working days, the HDFC securities representative will call you to verify the details provided by you. Once the information is verified, you will have to send an email to the HDFC representative with the below-mentioned document attached.
Proof of Identify: PAN Card (Self-attested) &
Proof of Residence: Aadhaar card (Self-attested) / Passport (Self-attested) / Driving license (Self-attested)
On verification of your documents (normally within three working days), you will get a ‘Successful HDFC Demat account opening’ message on your registered mobile number.
You may now log in to your HDFC Bank net banking and see that the Demat account is successfully created and linked to your Internet banking.
How does HDFC Demat account work?
The working of a Demat Account is dependent on two other accounts: Your trading account, which is different from a Demat Account as its only role is to hold money for trading purposes, and your bank account, which is linked to the Demat & Trading accounts. With HDFC Bank, you will get a three-in-one account which has the benefits of a Demat Account, Savings Account and a linked Online Trading Account with a unique login ID and password.
A Demat account is mandatory if you are going to take delivery of shares. When you buy shares, they get automatically transferred into your Demat account immediately without any complications. There is no risk of loss involved, and you don’t have to carry it anywhere. All you need is to remember your login ID and password of your linked trading account.
When a ‘buy’ or ‘sell’ request is put in the trading account for a particular stock, with other details, your Depository Participant (DP, in this case, HDFC Bank) then forwards this to the Depository (stock exchange) immediately. A Depository is like a bank where securities are held in electronic form. There are two Depositories in India – National Securities Depository Ltd (NSDL) and Central Depository Services (India) Ltd (CDSL).
Also, if there is any corporate action like a bonus, split etc. in stocks in which you have invested, shares will get directly credited to your Demat account.
Features & benefits of HDFC Demat account
- HDFC Bank Demat Services offers you a safe, online and seamless experience while keeping track of your investments.
- Zero charges for Demat Account opening with HDFC Bank Ltd
- Annual Demat account maintenance charges of Rs 750/- waived off for the first year
- No stamp duty required for transfer of securities held in Demat account
- Settlement of securities traded on exchanges & off-market transactions
- Shorter the settlement, the greater the liquidity with HDFC Demat services
- Changing address, signature, registering a power of attorney can be affected in Demat a/c
- (One just need to submit requests along with the relevant documents to HDFC Bank)
- SPEED-e / Easiest website to facilitate NSDL, CDSL registration. This ensures security when processing transactions, without the hassle of preparing and submitting instruction slips.
- ‘IDEAS’ & ‘Easi’ facilities allow you to view the current transactions and balances of your Demat account in real-time.
- Investors can electronically purchase and redeem securities, mutual funds, and other investments
- No need to issue cheques by investors while subscribing to IPO. You just need to write the bank account number and sign in the application form to authorise your bank to make payment.
- One can store Equity, Mutual Funds, Initial Public Offer (IPO), Exchange Traded Funds (ETF) – Index & Gold, Bonds, Non-Convertible Debentures (NCD) as well in HDFC Demat accounts
- With the help of ECS, the rights, bonuses and public issues get automatically credited in the Demat account of the account holder.
- Through net banking, one can go through holding cum valuation statement and also transaction cum billing statement without any hassle
Gaining Simple Access To HDFC Bank Demat Account:
The HDFC Bank Demat Account is the safest and easier way for storing the investment. Opening the Demat Account online gives you a better option for easily saving time. Making the hdfc securities demat account opening assures in combining the Saving Account along with Trading Account. These mainly give you seamless investment and bank.
Flexible And Customizable Solution:
Storing the investments with the quick hdfc demat account registration makes it a completely easier process. You can easily get a customized and flexible solution for easily buying as well as securing the investment. This investment involves with
- Mutual funds
- ETF Exchange Traded Funds
HDFC Bank Demat Account assures in providing 360-degree investment solutions. Making the secure hdfc demat and trading account opening with the account for the traders, beginners as well as long-term investors. It is quite a convenient option for hdfc securities online account opening even from the comfort of your home or office.
- Hassle-free account opening
- No physical documentation required
- Open Demat account within 5 mins
- Going your investment plans