What is a Demat account?
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Investment options in the Indian market are various, but only a few can yield the right amount of profit for the consumers. Everyone is looking for an investment option that can provide the highest returns in the least possible time limit. However, not all investment options are the same, and most of them are slow to provide a good return rate. For example, one of the most popular and oldest forms of investment options for people in India is Fixed Deposits or FD” s.
They have been one of the most popular options when it comes to investment through banks. Although they are one of the safest and secure forms of investment, the amount of return that one gets from it is the lowest ever. For example, if a bank provides you an interest rate of somewhere between 6-7%, then you will only earn around 6-7 thousand a year on Rs 1,00,000, which comes around only Rs 583/per month over a lakh rupee.
These kinds of returns are not great since the amount is very less and the entire amount is blocked for the period, hence making it useful only for the bank or the financial institution. So, what is the best possible solution for the investment that can increase your saving value at a substantial rate? The best possible option is to invest in stock markets through an ICICI direct Demat account.
A Demat account can be simply understood as a saving account, which is not used to save money but instead all your digital purchase of stocks, share, bonds, mutual funds etc. A Demat account is like a digital wallet where you can save all your purchased investment, like money in a savings account. You can download and get all the digital certificates for the purchased securities through these accounts.
ICICI is one of the biggest banking names in the financial market of India and does not need any introduction for the same. ICICI has been one of the best financial advisors when it comes to investing your hard-earned money into the stock market. Since stock markets need a lot of experience and understanding to invest in order to gain profits, ICICI provides these services to the new and existing traders.
Why the ICICI Demat Account?
ICICI is one of the most trusted banks when it comes to opening a Demat account with them. They not only help their customers in opening a Demat account but also makes the process of managing the account a lot easier and hassle-free.
Along with this, they also provide valuable and important trading details and information along with consultation. It can help to reduce any losses initially for a new user and also increase their trading profits.
Icici has over 46 lakhs Demat account holders and over 35 additional products that they could offer the clients when they are interested in investing in stock markets. ICICI encourages the customer to use their online services, which are one of the best in the industry. They also encourage the same to remove the hassle of physical presence and increase the efficiency of the trading process.
Applying for ICICI Direct Demat Account and Requirements
To apply for the ICICI direct demat account, you will have to follow the below mentioned steps and provide the relevant information. Once you have provided all the information, the team will check it and activate your account within a few minutes. Let’s have a look at the steps to open the account.
- Visit the ICICI website mentioned below and enter the information required to start the process. Information will be Name, Email address, Phone number, PAN number, and pin code.
- On the next page select your username and enter the captcha to proceed further.
- On the next page enter the OTP depending on whether you have selected the username as a Mobile number or Phone number.
- Now enter the preferred password for your account and click on Submit.
- Now select on whether you have an existing ICICI account or not and proceed.
- Now register yourself for Digi locker and enter the personal details to register. Once done, upload all the required documents and submit the application.
- Once the application is submitted, the team from ICICI will verify it and activate your account in a few minutes.
Documents Required for ICICI Direct Demat Account
Before opening the online Demat account on ICICI, you will need to have a digital copy of all the required documents for upload. .The documents required for the same are:
- Address proof
- Permanent Account Number (PAN) card
- Passport-sized color photographs/
In case you are filling the form online, then all the requirements are needed in digital format. Also, you can download the ICICI Demat account opening form from the website and fill it manually and provide them with a physical copy of the identification documents in the bank branch. Similarly, you can also request a visit from an office from ICICI at your residence.
What Are The Account Opening Charges Of ICICI Direct Demat Account?
The demat account opening charges will vary from 0-975 rupees depending on the multiple schemes provided by ICICI and the one chosen by an individual. There is no Annual Maintenance Charge for the 1st year and charges of 700 are levied for 2nd year onwards.
Other Services from ICICI Direct
Apart from providing a Demat account service, it is very easy to close the account as well. Simply contact the customer care or simply log in to the account online and apply for the closure. Apart from the basic Demat account, it also has various other services.
- ICICI provides other services like the research team to help invest in the right stock, along with diversity in different sectors to minimize losses.
- It provides the feature of instant liquidity and has over 200 branches in 75 cities, and 7100 business partners.
- The digital platform for trading is strong and secure.
- Apart from this, it also provides online investors with knowledgeable material on trading for self-education.
- ICICI has multiple brokerage plans depending on the type of trading one does.
- They have different brokerage rates for long term trading, Intra-day trading, options trading, etc.
ICICI Direct Demat account brings not only the features of ICICI banking institutions but also brings the years of trust customers have in them. With more than 46 lakhs customers online with Demat account, they have been providing the best online Demat account service for a long time now. The opening process is straightforward and can easily be done through the website.
Apart from simply applying for the Demat account, a customer can also go for the 3-in-1 account services. IT includes the savings account for maintaining the bank balance, the Demat account to save all the securities in digital format, and the trading account, which can be used to trade securities in the market. Most of the customers prefer to take this kind of account bundle which gives them the convenience to manage all the transactions between the three accounts from ICICI. Since the ICICI bank creates all the three accounts, the transactions done within them are realtime and does not require a user to wait for more than 24 hours for it to reflect in the account.
ICICI Demat account FAQs
Q. Features of Demat account?
A. The main feature of the account is that it can hold all your purchased securities in digital form in the account. Therefore, you do not need any physical proof of trading. One can simply damage the digital format of the purchase as many times as they like. A Demat account is one of the safest digital platforms where you can save all your details without worrying about any data theft.
- Removes the costs such as handling expenses, stamp duty, safety, etc. which is involved while purchasing any security in the physical market.
- Digital Demat account removes any requirement of physical certificates.
- These accounts can be linked to a regular savings account, and credit and debit of the amount can easily be done within real time.
- The account can be opened under the BSDA Facility (Basic Service Demat Account)
- Since the securities purchased are saved digitally, there is no risk associated with them.
- Quick Settlement
- Electronic mode of trading saves a lot of time.
- It prevents problems like theft, forgery, fake certificates, non-delivery, etc.
Q. What are the document requirements for ICICI direct Demat account?
A. Taken that you are a citizen of India, the document requirement is very minimum. You would only require a handful of documents online and offline.
- Address proof
- Permanent Account Number (PAN) card
- Passport-sized color photographs
Q. What else Do I need for trading?
A. Apart from the ICICI direct Demat account, you would also need the trading account from ICICI and a minimum bank balance in the savings account. The most popular 3-in-1 account from ICICI combines the saving, Demat and trading account with each other. It makes it easier to use the case from the savings account to purchase and store the securities in the Demat account. Later, with the help of a trading account, one can easily sell his or her shares and get the profits back to the savings account.
Q. What are the Icici Demat account charges?
A. The charges for the account vary from 0-975 depending on the type of scheme one is opting for. Also, ICICI charges Rs 700 as the annual fee which is levied from the second year onwards. For more information on various types of charges from ICICI on the other services, accounts, and trading.
Q. Difference between a Demat and Trading Account?
A. Demat accounts can be thought of like a savings account to the one we have in the bank except, this account is used to save all the digitally purchased securities like stocks, shares, bonds, etc. On the other hand, the trading account is used to buy and sell stocks in the market.
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Stockquantum was founded by Dharmendra Mukati in 2018. I am a Trader and Investor in the last 10 years.
I am writing here about stock broker review, broker comparison, IPO investment, Crypto currencies, technical analysis, fundamental analysis, sub brokership, mutual fund, personal finance, and our experiences.