Steps to link your Aadhaar Card with Demat account
If you are interested in investing in the stock market, you must follow specific statutory regulations. After opening a Demat account with a broker, you must link your Aadhaar with your Demat account. A Demat account is where you hold all your shares, stocks, and other securities in digital form. Securities Exchange Board of India (SEBI), the regulatory body of the stock market in India, has made it mandatory for all brokerage firms to link the Aadhaar number with the Demat account of investors.
The Demat accounts would get deactivated eventually if not linked with Aadhaar. The account will remain deactivated till your account gets linked with the Aadhaar number. So now you may understand how important it is to link your Demat account with your Aadhaar number, and it is not a hectic process as it benefits you and the Securities Exchange Board of India.
The two depositories, National Securities Depositories Ltd (NSDL) and Central Depository Securities Limited (CSDL), have made adequate provisions for the online linking of Aadhaar with the Demat account of all investors.
But the thing is now, “How to link a Demat account with Aadhaar?” Mentioned below is all about it. It is effortless, and you can perform it any instant from anywhere.
The Process to Link an Aadhaar Card With a Demat account
As said before, linking your Aadhaar with your Demat account is a hassle-free process, and it doesn't involve any paperwork. A simple process is to link the Aadhaar card with the Demat account through the NSDL portal. You ought to follow all the steps correctly.
Given below are the steps to link an Aadhaar card with a Demat account online:
First, you must visit NSDL’s website and click on the Link Aadhaar Number to Demat account option on the home tab. You can also use the link: https//aadhar.nsdl.com/AadhaarSeeding/ for the direct process.
Then you have to enter the name of your depository participant, DP ID, your client ID, and PAN details. Once you are done with this, you will be asked to enter the verification code and click on ‘’Proceed’’.
After this, you will receive an OTP (One-time password) on your phone number and email address registered with the depository.
Enter the OTP received. Your complete Demat account information is displayed on the screen for confirmation. Check all the displayed information is correct; if it is correct, proceed with the linking process by clicking the ‘proceed’ option.
You have to enter your Date of Birth (DOB), gender, and 12-digit Aadhaar number, then click on ‘proceed.’
You will receive an OTP to the mobile number registered with Aadhaar.
Enter the OTP to authenticate your details and click on submit option.
Now your Aadhaar number is successfully linked with your Demat account. Now you can start trading using the Demat account. You will receive a confirmation message on your registered email id and mobile number.
Documents Required to Link an Aadhaar Card With a Demat account
You know how to link an Aadhaar card with a Demat account online in an easy manner? However, before that, you should be ready with all the required documents for completing it.
List of documents required while linking your Aadhaar with the Demat account:
Name and ID of the depository participant, PAN, and other information related to your Demat account
Registered mobile number
One more important point is that you must ensure that the name on your Aadhaar card and Demat account is the same to ensure UIDAI authentication. Also, try not to use any public internet services while doing the whole process; there may be internet fraud. Better to be more vigilant.
Advantages of Linking Your Aadhar Number and Demat account Online
One can enjoy many benefits by Linking your Aadhaar with your online Demat account. Some of the benefits include:
Once your Aadhaar linking is complete, you can quickly and easily get eKYC approval as all details are authenticated using your Aadhaar card.
More transparencies can be achieved in investments and transactions
You can now easily switch between different brokerage firms. Switching offers benefits like reduced brokerage charges.
Without further documentation, you can now trade in other instruments, like futures, derivatives, and commodities.
The accounts not Aadhaar linked, will be deactivated after the deadline.
Enjoy headache-free trading! Anyone can link their Aadhaar with their Demat account online without any complexities. The only requirement is to follow all steps without skipping any steps. You may also understand how important it is to link your Aadhaar and Demat accounts. So do not hesitate or procrastinate. This article is helpful if you wonder how to link an Aadhaar card with a Demat account.
Frequently Asked Questions
A Demat account is where you hold all your shares, stocks, and other securities in digital form. It is a safe vault for your investments, and you require a Demat account to trade in India’s stock market. You can open a Demat account offline and through the online method.
The Demat and trading accounts are essential for stock market trading and investment. Your Demat account holds all your shares, bonds, securities, etc.
All the transactions you perform in the stock market occur through the trading account. Both accounts play a significant role in the stock market, and their functions are interlinked.
Yes, linking the Aadhaar with the Demat account to trade is essential.
The investor requires the Aadhaar card, Name, and ID of the Depository Participant, PAN card, and Registered mobile number to link their Demat account and aadhar card.
You can easily link your Aadhar card with your Demat account. You just have to follow the steps instructed by your Depository Participant.