Hello friends! Today we will know how you can open your Demat account on Zerodha, a Discount Broker. If you do not know a demat account, then definitely see what a demat account is.
How to Open Demat and Trading Account in Zerodha? However, many such brokers in India also provide good services with demat and trading accounts, but keeping a store with many of them can prove very expensive for you according to their brokerage, so since the practice of discount brokers, in India. If so, keeping a demat account has become very economical. Let us know in details.
What is the difference between a Discount Broker and a Full-Service Broker?
A full-service broker provides you many facilities, that is why its charge is very high. He gives you many unique services. Let’s know about his services –
- Trading on your phone
- stock buying tips
- Margin Money facility
- Portfolio Manager feature for stocks
Whereas a Discount Broker provides you an only online trading platform, with the help of which you can buy and sell shares. In this, you do not get any tips for investing or trading in any kind, nor do you get any Portfolio Manager facility. You have to do everything yourself, due to which Discount Brokers are very economical, their brokerage is also very low. Zerodha is also a discounted broker.
There are several existing discount brokers available in India, and they are 5Paisa, SAS Online, Waddom Capital, Samco, Upstox (RKSV), Trade Smart Online, ProStocks TradingBells, etc.
Why should you choose Zerodha for Demat and Trading Account?
Zerodha is the largest and popular discount broker in India. It charges a brokerage fee of 0.01% or Rs 20 per trade (whichever is less) in equity trading, whereas you do not have to pay any fee on delivery trades. Let us understand with the following example-
Suppose you buy shares worth Rs.10000 in ICICI Direct, then you have to pay brokerage of Rs.500, while in Zerodha, you will have to pay only Rs.20.
Also, this amount will be charged on both side transactions (buy and sell), then you will have to pay brokerage of Rs 1000 in ICICI Direct, which is much more expensive as compared to Zerodha, where you have to pay for both side transactions Only 40 rupees have to be paid. Let’s know why Zerodha is so popular –
- Zerodha is the most popular discounted broker in India.
- It is the first online broker in India with more than 5 lakh clients.
- It charges 0 (free) brokerage in Equity Delivery Trades and Rs 20 or 0.1% (whichever is lower) in intraday brokerage.
- Investors can withdraw their funds anytime, which is free of cost and processed by RTGS/NEFT.
- Zerodha also has the facility of mutual funds through which you can invest in mutual funds as well.
- You can watch the official training videos of Zerodha on Youtube.
- The mobile platform of Zerodha is straightforward to understand.
- There is a 300+ dedicated support team available via email and phone to assist investors.
How to open your Demat and Trading account on Zerodha-
To open an account on Zerodha, you should first have all the documents, and then you have to choose through which process you want to open the account and have the fair amount to open the account. Let us know which documents are required. To open an account on Zerodha, keep the scanned copies of all the following documents with you –
- pan card
- Aadhar Card
- Canceled Check / Bank Statement
- your signature on a piece of paper
- passport size photo
- What are the charges for opening an account in Zerodha?
The fee for opening a demat and trading account on Zerodha is Rs.300, the commodity account fee is Rs.200, and the annual maintenance fee is Rs.300 per year. If you want to trade in both Equity and Commodity, you will get Rs 300 + Rs 200 = Rs 500 one-time charge, whereas if you’re going to trade only in Equity, you will have to pay Rs 300 one time charge.
There are two modes of opening a Demat and Trading Account in Zerodha.
Both offline and online process opens an account in Zerodha if your mobile number is linked to your Aadhar card, it will take only 15 mins to open your account online. If your mobile number is not connected with your Aadhar card, then you will not do this process. So please get your Aadhaar card linked to your mobile number by going to Aadhaar Seva Kendra near you.
How to open your Demat and Trading account on Zerodha through offline method –
Step 1: Go to Zerodha’s website and click on Sign Up.
Step 2: Now, you have to enter your mobile number to sign upon which you will receive six-digit OTP by SMS and then click on ‘Confirm.’
Step 3: Now, you have to enter your PAN card and DOB as per PAN details and then click on ‘Continue.’
Step 4: After this, you have to fill in your details like full name, mobile number, email. After filling in everything, you have to click on Call me Back.
Step 5: Now, the fee to be paid for opening the account is for Equity- you are paying Rs.300, and for Commodity, the cost is Rs.200. You
Google PAY UPI Net Banking / Card payment is also complete and then click on pay & CONTINUE”.
Step 6: Now, you need to open an account in Digilocker to link your Aadhar card with your Demat and Trading account. After opening the report:
- Click on the Aadhar card.
- Enter your Aadhar card number.
- Enter the OTP received in the mobile.
- Click on link YOUR DIGILOCKER WITH ZERODH”.
Step 7: Now, after Aadhar Card Verification now you enter your bank details which include bank account number, bank name, IFSC Code, that enter your marital status, father’s name, etc., and click on”Continu”.
Step 8: Now you have to do IPV Verification, for which you now get your OTP, and you have to do Person Verification by writing OTP on your mobile or paper, for that, you click on take VIDE” and on WebCam with OTP code Click and then click” “SAVE IP.”
Step 9: Now you have two options you can download equity and commodity forms for print and then courier them, or if you have a phone number with a link to aadhar card, you can click on the continue button Do it.
Step 10: After this, you have two options either you can digitally sign the application with Aadhaar (Mobile OTP), or you can take a printout and courier it. I would suggest you go for the Aadhaar option as it is a faster method.
Step 11: Now, you have to upload your Bank Proof, Income Proof, Signature, and Pan Card printed copies of all these on white paper.
Note: PDF of PAN card may not be acceptable to upload a PAN card jpg format and click on”Continu”.
Step 12: Now, you have to click on eSign Equity and eSign Commodity (if you have selected the Commodity option earlier). You have to verify your email by entering the security code you got in your email and proceed.
Step 13: Now, all you have to do is do the eSign Verification by entering your Aadhar Card and OTP, which you have received in your linked mobile number in the NSDL form.
Step 14: Now your eSign Verification is complete, now you can download the eSign Equity Form for your records. Now your sign-up process is complete.
Step 15: Now, you have to download the POA (Power of Attorney) at the following address and send it to the courier, which is the last step, and if you are following the offline process, you have to download all the earlier forms to the same address. But in the case of online, you have to courier the POA form only.
The online process of opening a demat and trading account in Zerodha is quite simple. Our opinion is that you should open your account through the online process only.
Today, we learned what a discount broker is in the stock market and how you can open your demat and trading account in Zerodha. Hope you liked this post of ours, if you have any question or suggestion related to this post, you must tell us by commenting that we will try our best to answer your questions as soon as possible.