Stock market investment has become one of the best investment options for common people. With the emergence of the digital era, it has become easier to trade in the share market with several online brokers and discount brokers. If you are looking to start your stock investment journey, the first thing that would come to your mind is “Which Demat account is best in India?” We have assimilated a list of the best Demat accounts in India to help you in making an informed decision.
Table of Contents
What is a Demat Account?
A Demat account refers to a dematerialized account that accounts for your shareholding while you trade in the share market. Just like a savings account manages your funds, a Demat A/c manages the shareholding, securities, ETFs, and mutual funds in electronic form. You cannot trade in the stock market without a broker. Once you have chosen the broker, you have to open this account to start your investment in the share market, government securities, bonds, etc.
Documents required to open a Demat Account
The following documents are required to open this account
1. Proof of Identity: Aadhaar card, driving license, Voter ID, etc.
2. Proof of Address: Aadhaar card, gas bill, electricity bill, passport, etc.
3. Proof of bank account: Cancelled cheque or bank statement of last 6 months
4. PAN card
5. Recent photograph
In case, you are opening a Demat account online, you have to upload these documents and complete the KYC to open this A/c.
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How to open a Demat account online?
You can open a Demat account online just by following the steps.
1. Choose a broker
You have to choose a broker such as Upstox, Angel Broking, Zerodha, 5paisa, etc. Once you have finalized the broker, visit their website or download their mobile application.
2. Open by submitting documents and complete KYC
After opening the website or app of the broker, go to the “Open Demat A/c” option. The website or mobile app will guide you through the steps of uploading the required documents. Complete the KYC form and submit it.
3. Verification
It may take few hours to days for verifying your submitted documents and information. Once the verification is done, you will be notified.
4. E-signature
After verification, you are given an agreement copy. Read through the terms and conditions. Now, provide an e-signature at the allotted section.
5. Account approval
The depository participant NSDL or CDCL will process your application. Once approved, you will be notified and provided with a unique Beneficial Owner Identification Number (BO ID). You can access your account by using this BO ID or just logging in with the app or website you have used to create the account.
Quick Link to Open Upstox Account
Best Demat Accounts in India 2021
Multiple brokers are offering you the opportunity to open a Demat A/c with them. But there are factors like brokerage fee, platform fee, delivery fee, areas of investment options, etc. that you must consider before choosing the broker. To help you out in this task, we have assimilated the list of best Demat account India that you can choose for investing your hard-earned money.
Top 10 Best Demat Accounts in India 2021
1. Upstox Demat Account
2. Zerodha Demat Account
3. 5Paisa Demat Account
4. Sharekhan Demat Account
5. Angel Broking Demat Account
6. HDFC Securities Demat Account
7. ICICI Direct Demat Account
8. Kotak Securities Demat Account
9. Motilal Oswal Demat Account
10. IIFL Demat Account
Let us discuss each of these top best Demat Accounts in India in detail:
1. Upstox Demat Account
Upstox is one of the best online Demat account in India. It has extremely low brokerage charges. It also provides advanced charts to aid your decisions on investment. You can use the Upstox account for investing in stocks, mutual funds, IPOs, F&O, and digital gold.
You have to pay Rs.199 for opening an account on Upstox. It charges Rs.20 per intraday or future and options order and zero for delivery order. In short, it is the best Demat account in India for small investors. Upstox charges Rs.25+GST per month as maintenance charges.
3. Zerodha Demat Account
Zerodha Demat A/c is one of the best Demat account in India for beginners. It allows you to invest in mutual funds, stock markets, commodities, and more. Zerodha Kite is the app you can use while operating your account with Zerodha.
It offers zero charges for equity delivery orders and Rs.20 or 0.03% (whichever is lower) per intraday and F&O orders. This platform charges Rs.200 for demat & trading account opening (Equity, F&O, and Currency). And charges Rs.300 for demat & trading account opening (Equity, F&O, Currency, and Commodity). The annual maintenance charge is Rs.300+ GST. Zerodha is one of the best option to open Demat account in India.
3. 5Paisa Demat Account
5Paisa Demat A/c is one of the cheap and best Demat account in India. You can open a 5Paisa Demat A/c for free. It charges an AMC (Account Maintenance Charge) of Rs.25+GST. However, it has exempted DP annual maintenance charge for anyone investing less than Rs.50000.
This platform charges a flat Rs.20 for delivery, intraday, or any other kind of executed order. There are a few subscription plans that you may avail of to reduce the brokerage cost. It is one of the best Demat account in India with a lowest brokerage rate.
Quick Link to Open Demat Account with 5Paisa
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4. Sharekhan Demat Account
You can open a Sharekhan Demat A/c without any charges. Moreover, you get to use the account without paying any annual maintenance charge for the first year. In general, it charges a maintenance charge between Rs.100 to Rs.750, if you have a holding of more than Rs.50000. For transactions of more than Rs.2 lakh, this charge is increased from Rs.2000 to Rs.2500.
Sharekhan is one of the best 3 in 1 Demat account where you can open a Demat, trading, and savings account in one go. If you use the Sharekhan account for trading, it charges 10 paise per share for delivery and 5 paise per share for intraday.
Open a FREE Demat / Trading Account with Sharekhan
5. Angel Broking Demat Account
Angel Broking is the next on the list of best broker to open Demat account in India. You can open an Angel broking account for nominal charges. But if you are opening a 3-in-1 account, it is completely free. People trading below Rs.50000 is exempted from Demat annual maintenance charges.
You can use the platform without paying any annual maintenance charges for the first year. It also offers zero brokerage charge on delivery and flat Rs.20 or 0.25% (whichever is lower) for intraday, F&O, commodity, and currency trading. This makes this the best Demat account in India with lowest brokerage.
6. HDFC Securities Demat Account
HDFC is one of the best bank to open Demat account in India that allows free account opening. The annual maintenance charge for the HDFC securities Demat A/c is Rs.750. However, this charge is waived off for the first year.
It charges 0.50% and 0.05% as brokerage fees for equity delivery and intraday trading respectively. HDFC is one of the best bank for Demat account in India.
7. ICICI Direct Demat Account
It is one of the best and cheap Demat account in India where you can open a 3-in-1 account for free. The annual maintenance charge for a 3-in-1 or 2-in-1 ICICI direct Demat A/c is Rs.300. You can avail of different plans to reduce brokerage charges.
You can view live share prices, do share trading on NSE and BSE. Also trade in futures and options, currencies, invest in MFs, IPOs, and life insurance through the 3-in-1 online trading account.
8. Kotak Securities Demat Account
It is one of the best place to open Demat account in India that offers zero brokerage on intraday trade. Kotak Securities charges zero account opening charges. The annual maintenance charge for the Kotak securities Demat A/c is Rs.600.
The minimum brokerage charges are 4paisa per share or Rs.21 per equity delivery order, whichever is higher. There are different brokerage plans to choose s per your requirement. You can avail several plans to reduce the brokerage fees. You can use stocks as a margin instead of a cash margin.
Quick Link to Open FREE Demat Account with Kotak Securities
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9. Motilal Oswal Demat Account
Motilal Oswal is one of the best Demat account company in India. It charges an annual maintenance fee of Rs.400 from the second year onwards. The brokerage fee is 0.50% for equity delivery and 0.05% for intraday. It can be reduced by purchasing their different subscription by paying a fixed monthly fee. Motilal Oswal Demat A/c is the best Demat account in India for trading.
10. IIFL Demat Account
IIFL Demat A/c is the next on the list of the best Demat account India. It charges Rs.295 for opening an IIFL Demat A/c. It allows you to use this account for free for the first year and charges AMC of Rs.250. IIFL charges zero brokerage for equity delivery and Rs.20 per order for intraday.
Frequently Asked Questions
1. What is 3 in 1 Demat account?
The 3 in1 Demat A/c refers to an account that serves as a Savings A/c, Trading A/c, and Demat A/c.
2. Which is best Demat account with low brokerage charges?
- Zerodha
- Upstox
- 5 paisa
3. Which is the best Demat account provider in India?
To determine the best Demat A/c provider in India, you must check
- A/c opening charges
- Annual maintenance charge
- Brokerage fee
- Ease of use
- Subscription plans
4. Which Demat account is best?
We have assimilated the list of best Demat accounts according to user review. You may choose any one of them to open your Demat A/c according to your requirement.
5. Which is the best Demat account in India?
Zerodha, Upstox, and Angel broking are the best Demat account in India
6. Which bank is best for Demat account in India?
HDFC, ICICI, and Kotak Mahindra are some of the best banks for opening Demat accounts in India.
7. Which is best Demat account in India?
To choose the best Demat account in India, filter the given list of the top 10 best Demat accounts according to your trading requirements.
Quick Link to Open Upstox Account
Final Thoughts
Demat A/c plays a significant role in determining the AMC and brokerage fee that you would be paying for trading in the stock market. It is essential to compare and decide on the best Demat account to open in India. Hope this list of the best Demat account in India 2021 will guide you in taking the right decision.
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