How to Open Demat and Trading Account in Zerodha – A Step-by-Step Procedure (Easy Methods to Zerodha Account Opening in 2021)

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How to Open Demat and Trading Account in Zerodha

Zerodha is India’s largest stockbroker. So how to open Demat and trading account in Zerodha?

The present post presents a step-by-step procedure on how to open Demat and trading account in Zerodha.

Everyone wants to do trading and investing to earn money. Investing in the stock market gives higher returns in the long run.

Some stocks give several times of returns in a few years.

For example, an investment of 1 lakh rupees in Bajaj Finance share in December 2009 would have grown to 1.38 crore rupees in December 2019. The Bajaj Finance share price is multiplied by around 138 times during the 10-year period.

Did you invest in Bajaj Finance share during the above period?

Bajaj Finance Share Return in 10 Years - How to Open Demat and Trading Account in Zerodha

Similarly, traders earn several thousand rupees daily by doing trading.

But the question is how to invest in the stock market? And what is the procedure?

The first step to do trading and investing is to open a Demat and trading account with a stockbroker.

Traditional brokers levy a very high fee for operating the Demat and trading account. The commissions are very much high.

In 2018, I was interested in the stock market to do trading and investing. I searched online for the most suitable broker. I was unsatisfied and the search was going on for many days. The simple reason was the high brokerage charges. For a retail investor like me, the high brokerage charges were a big headache.

Many times, profits were killed by heavy brokerage charges. So discount brokers are a suitable one.

Finally, I decided to open it with Zerodha. Before that, I have compared Zerodha with all other full time and discount brokers and found that Zerodha is the most suitable discount broker in India. The charges offered by Zerodha are nominal. Also, the trading platform provided by Zerodha is user friendly and fast.

Before you know how to open Demat and trading account in Zerodha, you should know why should you open an account in Zerodha. Why not with Others?

It is to be noted that Zerodha is a discount brokerage firm located in India. Zerodha is India’s most preferred discount broker. Therefore, I opened my Demat and trading account in Zerodha.

In Zerodha, free equity delivery is there. That means you won’t pay any brokerage in delivery based trades (NSE and BSE). And 0.03% or Rs. 20/executed order whichever is lower for equity intraday and equity Futures. But a flat Rs. 20 per executed order for equity Options.

You can use the Zerodha brokerage calculator.

Zerodha has achieved the following awards.

Economic Times Startup of the Year Award in 2020

Best Retail Brokerage Award by NSE & MCX in 2018 and 2019

If you are planning to enter the stock market, I would recommend Zerodha. By joining Zerodha, you can save lots of brokerage charges.

Are you also interested to open a Demat and trading account in Zerodha? If so interested in how to open Demat and trading account in Zerodha?

So, get started (the link is given below). Why so late? 3+ million people have already joined Zerodha.

Open a Demat and Trading Account in Zerodha

In the present post, I will discuss a step-by-step procedure on how to open Demat and trading account in Zerodha.Zerodha - How to Open Demat and Trading Account in Zerodha

Zerodha Demat and Trading Account Opening Charges

You have to pay one-time charges to open a Zerodha Demat and trading account. These are discussed in detail below.

Online Charges for Account Opening

The followings are the charges applied at the time of Zerodha account opening.

Equity account opening charge: Rs. 200

Commodity account opening charge: Rs. 100

An equity account means to trade in stocks.

It is not mandatory to open both accounts. But if you wish you can.

At the time of account opening, I did not wish to trade with commodities. So I did not open a commodity account. I only opened an equity account. For this, I paid only Rs. 200 for the first time.

In the future, if I want to trade in commodities, I can open a commodity account by paying another Rs. 100.

In Zerodha, equity and commodity are two separate accounts. That means there is no mixing of funds in equity and commodity accounts.

In the same way, at the time of cash deposits, cash will be deposited either in an equity account or a commodity account. And the same is true for withdrawals.

However, if you want to trade both equity and commodities, you have to pay 300 rupees for the first time.

Offline Charges for Account Opening

You can also open a Demat and trading account in Zerodha offline. But the account opening charges are different and higher than the online process.

For trading and Demat account, Equity: Rs. 400

For trading and Demat account, Equity + Commodity: Rs. 600

How to open Demat and Trading Account in Zerodha

This section deals with how to open Demat and trading account in Zerodha.

The following documents are required to open a Demat and trading account in Zerodha. So keep ready the documents.

PAN card

Aadhar card

Canceled cheque or last six months bank account statement

Passport size photographs

Your signature on a piece of paper (for the online purpose only)

Income proof: If you want to trade in Futures and Options. This is an optional one. For income proof, you can submit your last 6 months bank account statement, your latest salary slip, or an income tax paid copy.

There are two methods of how to open Demat and trading account in Zerodha.

The first one is: Online method (for how to open Demat and trading account in Zerodha)

The second one is: Offline method (for how to open Demat and trading account in Zerodha)

How to Open Demat and Trading Account in Zerodha Offline

Here, you will understand how to open Demat and trading account in Zerodha offline.

The offline way of how to open Demat and trading account in Zerodha is a traditional one. That means it is the old way of account opening. Just print the documents, fill it, and sign in the required places. Then send the documents to their office.

In the offline process of how to open Demat and trading account in Zerodha, you will have to download the application forms from the Zerodha website. Then you take the printout of the forms, fill them up including your sign in the required places.

List of application forms:

Equity segment application form

Commodity segment application form

Power of attorney (POA) Form: Already included in the above forms

Electronic contract notes (ECN): for enabling commodity segment: Already included in the above form (commodity segment application form)

Nomination Form: If you want to appoint a nominee for your account

You can nominate your wife, father, mother, or any other family members or relatives. It is your wish. But you should mention the nominee’s name at the time of account opening.

List of forms for Zerodha account opening

The above documents are required for both online and offline methods of account opening.

Then, you need to take photocopies of your following documents:

PAN card

Address proof (Aadhar card, voter ID, driving license, passport, etc)

Canceled Cheque/bank account statement

Passport-sized photographs

Income proof

Once you filled all the forms and signed them, you need to send all these to Zerodha head office.

Zerodha head office address:

Zerodha, #153/154, 4th Cross Dollars Colony,

Opp. Clarence Public School,

JP Nagar 4th Phase, Bangalore – 560078.

The forms can be sent via ordinary post, registered post, speed post, or courier.

Alternate way on how to open Demat and trading account in Zerodha:

You may schedule a meeting with a Zerodha representative. As per your convenience, you select an address, date, and time.

A Zerodha representative will contact you and ask you the address, date, and time for a meeting. Further, he will direct you to keep ready all the necessary documents. The representative will take all necessary signatures of yours in the required places in forms and collect the self-attested documents.

Zerodha Branch Offices

It is required that you self-attest all photocopies of documents. Thus completes the account opening process.

Zerodha account opening helpline: 080 4719 2020

You can contact the above helpline number for any help in Zerodha account opening.

Or you may place a request to the sales manager assigned to you.

How to Open Demat and Trading Account in Zerodha Online

On the other hand, the online method of opening a Demat and trading account in Zerodha is an easier one and requires an internet connection.

Here, you will learn how to open Demat and trading account in Zerodha.

To complete the online account opening process, you will have to authenticate the eSign process by an OTP (one-time-password). The OTP will come to your Aadhar linked mobile number.

If you have an Aadhar linked mobile number, you can complete the process. If you don’t have an Aadhar liked the mobile number, you cannot do it.

If your mobile number linked to your Aadhar card is inactive or your mobile number is not linked at all, you can update your mobile number by visiting the nearest Aadhar Kendra.

You can open an online Demat and trading account in Zerodha in less than 15 minutes, subject to you have all the documents ready.

Click the below link to start an online account opening in Zerodha.

Open Demat and Trading Account in Zerodha Online

After that, you sign up with your mobile number and verify it with the received OTP in your mobile number. Then you enter your PAN card number, bank account details, Aadhar details and verify it, and other personal details. This completes the signup process.

The online process on how to open Demat and trading account in Zerodha is fast and easier.

You only require basic internet knowledge.

Definitely, I would recommend the online process to open a Demat and trading account in Zerodha.

A Step-by-Step Procedure on How to Open Demat and Trading Account in Zerodha Online

Now I will guide you step-by-step on how to open Demat and trading account in Zerodha online.

Step #1

First, you go to the Zerodha account opening page on your browser.

Direct Link of Zerodha Demat and Trading Account Opening Page

Click the above link for the Zerodha account opening. It will direct to the Zerodha account opening page.

Zerodha Sign up - How to Open Demat and Trading Account in Zerodha

Step #2

You need to sign up with your mobile number. Enter your mobile number and verify it. For this, you will have to enter the OPT received in your mobile number. Once you entered the OTP, this completes the mobile number verification process.

Step #3

Enter your full name and email. Again, you will have to verify the email address which you have entered. You receive an OTP in your email address. You enter that OTP and complete the email verification process.

Step #4

Enter your PAN (permanent account number) and DOB (date of birth) in the required fields.

Step #5

Complete the account opening payment as applicable to you.

For equity only, pay Rs. 200.

For both equity and commodity, pay Rs. 300.

There are several options to pay the fee such as internet banking, UPI, and debit card payment.

Select the checkbox according to your need and click on the ‘Pay and Continue’ button.

If you are not planning to open an account in the commodity segment (that means you don’t want to trade and invest in commodities), uncheck it.

After you have done the payment successfully, you will notice the congratulations message on the screen. At the same time, you will receive an email in your email ID regarding the payment confirmation.

Now you have done the payment successfully.

Step #6

Next, it will ask you to share your Aadhar details with Digilocker. You need to connect to the DigiLocker account.

You need to create a DigiLocker account for paperless governance and link your Aadhar to it.

Click on ‘Connect to Digilocker’ and a new page will be opened to sign up. You sign up to DigiLocker using your mobile number. You provide the same mobile number which you used in opening the Zerodha account.

However, if you already have a DigiLocker account, click on the Sign in option instead of Sign up.

Step #7

After you enter your DigiLocker account, select the Aadhar card of yours.

If you have just created a new DigiLocker account, enter your Aadhar number and verify it. For verification, you will receive an OTP into your mobile number. Put the OTP and verify it.

Next, you need to click on ‘Link your Digilocker with Zerodha’.

DigiLocker is an online service provided by the Ministry of Electronics and IT, Government of India, under the digital India intuitive.

You can keep all your important documents like Aadhar card, PAN card, driving license, voter ID, etc. in the DigiLocker app.

Step #8

Once you complete the Aadhar verification, a new screen will come up displaying that ‘Let’s Finish the Application’. Here, you need to fill in your bank account details such as your bank account number, name of the bank, and IFSC code of the bank branch.

Below this, you need to fill in some details like your marital status, father’s first name, father’s last name, etc.

Next, click on ‘Continue’.

Step #9

The next step is in-person-verification (IPV). This can be done over a webcam or a camera available phone.

IPV is mandatory for new investors as per the law of SEBI (Securities and Exchange Board of India). It is a process of verifying the depository participant in person for documents and other details.

In this process, they will show you an OTP on the screen. You need to write down this OTP on a piece of paper. Then hold the paper in front of a webcam or camera of the mobile phone.

The process is:

Click on ‘Start IPV’, then click on ‘Take Video’, and finally click on ‘Save IPV’.

Step #10

In this step on how to open Demat and trading account in Zerodha, you need to digitally sign the application with the help of the OTP received to your Aadhar linked mobile number.

Or you can print and courier the documents to their address.

Zerodha head office address:

Zerodha, #153/154, 4th Cross Dollars Colony,

Opp. Clarence Public School,

JP Nagar 4th Phase, Bangalore – 560078.

It is better to eSign the document with the Aadhar option.

Step #11

Now upload the scanned copy of the documents, i.e., PAN card, bank account proof, your signature, and income proof (optional and only for Futures and Options, Currency and Commodity).

Step #12

Next, click on the ‘eSign Equity’ button. Enter the security code received in your registered mobile number/email ID and then click on ‘Submit’.

Step #13

Now enter your Aadhar number and tick the checkbox. Then click on the Request OTP button.

Enter the OTP once you received on your mobile phone.

The same process is followed for a commodity trading account if opted for. Here, you click on the ‘eSign Commodity’ button.

Step #14

Finally, Once you complete the signup process (above 13 steps), either you use CDSL TPIN or download the POA (Power of Attorney) form, fill it, and send it to their address.

Zerodha head office address:

Zerodha, #153/154, 4th Cross Dollars Colony,

Opp. Clarence Public School,

JP Nagar 4th Phase, Bangalore – 560078.

POA is a document that gives authorization to the broker to debit your shares from your Demat account whenever you sell your delivery based shares. Most of the brokers ask for the POA form for hassle-free trading and investing process. Before signing the POA form, thoroughly read the terms and conditions.

The submission of the POA form is optional. For intraday and F&O trading, no POA is required. POA is required only for selling of delivery based stocks.

Nowadays, CDSL TPIN is used to place sell orders for delivery based stocks. However, this mode of transfer has a limit of Rs.  2 lakhs per script and an overall of Rs. 10 lakhs per day for off-market transactions (pledging).

If you want to pledge securities greater than the off-market limit per day, you need to send the POA form to them.

Delivery instruction slips are also used for selling the delivery based shares. But this is not suitable for online trading and investing.

What Happens Next Once You Open Demat and Trading Account in Zerodha

You know how to open Demat and trading account in Zerodha.

Once you open an account, you will be given a user name and password.

Zerodha facilitates a two-factor authentication to log in to the trading platform. The earlier security questions have been replaced by a numeric 6 digit PIN.

When you log in, you will be prompted to set a new 6 digit security PIN.

Enter a 6-digit numeric PIN and confirm it and click on Continue. You will have to enter this PIN whenever you log in.

That means first you have to enter the password and then the PIN.

Zerodha provides Kite and Pi trading platforms to its customers.

Kite is Zerodha’s fast and elegant trading platform. And Pi is Zerodha’s powerful desktop (only for PC) trading platform.

Kite mobile app for android/iOS is also available.

Zerodha after Log in - How to Open Demat and Trading Account in Zerodha

You start trading and investing in your favorite stocks.

Enjoy trading and investing!

Closure Thoughts

Now it is easy for you how to open Demat and trading account in Zerodha. Although you can do it offline, I recommend the online way of the account opening.

If you keep ready all the required documents, you can finish the process just in 15 minutes.

Therefore, before opening a Demat and trading account in Zerodha, thoroughly read this post, and keep ready all necessary documents.

You are welcome to provide your valuable comments regarding the post on how to open Demat and trading account in Zerodha.

Share the knowledge. So share the post on how to open Demat and trading account in Zerodha on Facebook, Twitter, etc.

I think you learned and enjoyed the blog post on how to open Demat and trading account in Zerodha.

Also read:

Stocks of the Month

How to Identify Stock Quality

 


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