In order to step into share trading, you must open a demat account. Along with the Demat account, it is necessary to open a trading account as well. But now, opening any account can be done via online apps. This article aims to explain the major difference between online and offline demat account opening.

Understanding Offline Demat Account Opening

It is a simple process to open an offline account with Demat that requires certain eligibility documents. The documents required to open a Demat account are similar to bank accounts, including proof of identity, address, income, banking, or PAN card and photo. In addition, you may be required to provide proof of recent income tax returns, pension contributions, bank statements and others if you wish to participate in certain specific segments such as futures, options, or derivatives.

To open an offline Demat account, follow the steps below:

1. Required documents:

Ensure you have the necessary documents to open a Demat account, including proof of identity, PAN card, proof of address, recent utility bills, proof of income, proof of bank account, PAN card, and photographs.

2. Select Depository Participant:

Select a Depository Participant of your choice– a bank, or a brokerage firm. Before making any decision, it is necessary to conduct research and compare the services and charges offered by different Data Protection Providers.

3. Account opening form:

Visit the branch or download the account opening form from their website to obtain it from the chosen Depositary Party.

4. Filling out the form:

Please provide accurate information when submitting an account opening form. Before filling it up, make sure all the details are checked.

5. Attach the necessary documents:

Please attach the necessary documents, such as evidence of identity, address, income, bank account details, PAN cards, and photographs, provided they are included in this form. Do not forget to provide the photocopies according to the DP's requirements.

6. Visit the Data Protection Officer's office:

Please fill out and submit a completed form, accompanied by the required documents, at the data protection officer's office. Please provide photocopies to be verified and retain the original documents with you.

7. Personal verification:

The Data Protection Officer will conduct a personal verification procedure to confirm your identity and other information. The meeting or video verification may be part of this process.

8. Application processing:

The Data Protection Officer will process your request to open a Demat account once your verification has been completed.

Understanding Online Demat Account Opening

This next section is for you if you have any questions about how to set up a Demat account online! You can also request a Demat account online with any Depositary Point. To open a Demat account online, you will follow the following steps. Here, in detail, is the opening process.

Step 1: Select a DP website:

Choose a safe and secure one that you like, and visit the website's page after thorough research and consideration.

Step 2: Click the 'Open Demat Account' option:

Select the 'Open Demat Account' option when you get to the DP website of your choice and go through the instructions in the navigation bar.

Step 3: Fill in the required information to open your Demat Account and submit it:

You need to complete an online form for registration in the Demat account. When completing this online form, please fill in the required information, such as your phone number, email address, etc.

Step 4: A One Time OTP will be sent to you:

You will receive a one-time OTP when you fill in your details at the beginning of your journey.

Step 5: To open a Demat account, the following documents must be submitted:

Please enter the banking and PAN card details. Please specify your PAN and bank account information you will use to complete the transaction.

Step 6: Complete the E-KYC process. Digitally Verify your KYC information and obtain a Demat Account Number:

Check your Know Your Customer information online. The KYC details you need to provide are checked online.

Conclusion

The securities originally held and kept on paper puts them at risk for theft, fraud, and displacement. However, you can keep your securities electronically with an online Demat account. A Demat account is still necessary for anyone who wishes to enter the stock exchange today. Once you have learned how to do this, you can create a Demat account. To open a hassle-free demat account, check out the BlinkX online trading app. It offers tons of tools & features to invest in the stock market.

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