How to Close Demat Account?

Investors can hold up to 5 demat accounts and many investors avail this option to open demat accounts with different depository participants. However, Holding demat accounts attract annual maintenance changes and over a period, investors realize the need to close these demat accounts and either hold all securities in one account or close all demat accounts rematerialize the shares.

Opening a demat account is now a completely online process. However, closing a demat account is not as simple and involves visiting broker office and submitting forms and documents.

Types of Demat Account Closure

Account Closure

If the demat account has no holdings and all payments have been settled, the investor can easily raise the closure request with the depository participant. To close the account investors need to:

• Avail the closure form
• Submit duly filled and sighed form to the nearest branch
• Alternatively, Send duly filled and sighed form to the HO

Transfer and Account Closure

However, if all payments have been settled and the demat account holds securities which need to be transferred to another demat account, the investor needs to:

• Avail the closure form
• Duly-fill Delivery Instruction Slip (DIS) to transfer the securities to another Account
• Obtain original (CML) Client Master List (Target DP) with the logo, stamp and signature
• Submit all documents at the nearest branch
• Alternatively, Send duly filled and sighed documents to the Head office.

Once all the required documents are submitted, the account will be closed within 5 working days.

While submitting the documents please ensure:

• All the dues are cleared.
• All forms are dully filled and signed.
• All holders have signed, in case of joint accounts.