In order to deal in shares and securities in India, you must have a dematerialized account (DEMAT) registered with the investment broker or sub-broker. All your transactions related to electronic transfer of share trades are linked to your DEMAT account.
Today, every major bank in India offers a Demat account to its existing savings account holders or new ones. Most often, such a wide range of options makes it difficult to choose the right banking institute to open a Demat account.
Although every major bank in India offers the best services when it comes to a Demat account, I would recommend opening a Demat Account in SBI (State Bank of India) as it’s the No.1 Banking Institute in India and the most reliable one without any doubt.
Check out: 12 Best Demat and trading Accounts in India
Before understanding the benefits of opening a Demat account in SBI, you must be aware of the importance of having a Demat account and its advantages.
Importance of Demat Account
- Each transaction regarding the trading of shares is maintained under your Demat account assuring the safe custody of all your security balance in electronic form.
- With the help of a Demat account, the account holder can convert physical share certificates into electronic balances as well as convert electronic balances to physical form (share certificate) at his/her convenience.
- A Demat account helps in the management of delivery/receipt of electronic balances following any market / off-market trades.
- You can easily apply for Loans or advances against shares by blocking the securities balance of borrowers in favor of lenders using a Demat account.
- A Demat account also helps in faster and direct credit of security balances into DP account during Initial Public Offerings or disbursement of corporate benefits.
- You can also earn extra income through your dematerialized holdings via securities lending methods.
Benefits of Opening A Demat Account With SBI
Currently, SBI operates its DP activity in more than 1000 branches and is an active Depository Participant registered with both National Securities Depositories Limited (NSDL) and Central Depository Services Limited (CDSL).
Opening a Demat Account with SBI offers the following benefits and features:
24×7 Customer Care: With the SBI Demat account, you will get customer care support round the clock. You can get all your queries solved either online or via call and the SBI Customer Support team will address the query and provide an ultimate solution.
Transact Anywhere: With over 1000+ Demat-enabled branches of SBI, you can operate your Demat account from anywhere in India. With the online facility, you can also access your Demat account with steady internet access.
Online Facilities: SBI Demat account offers e-statements and bills through email on a monthly basis without any wastage or delays for using paper or mail service. You can access a free online facility and enjoy a convenient and paper-free option to handle all your transactions related to your Demat account. You can also order delivery instruction booklets online to save yourself from standing in queues at SBI branches when visiting in person.
Set SMS Alerts: For security purposes, the SBI Demat account also enables SMS alerts on your registered mobile numbers for every debit/credit as well as any unprocessed request.
EZ Trading: With the eZ trading facility, you can transfer or pledge/unpledged securities from any place at any time with just a simple internet connection. Along with a Demat Account, you can also register for an Online Trading Facility with SBICap Securities Limited in order to avail the benefits of a 3-in-1 account which makes an integrated universal account for your Savings Bank A/c, Demat A/c, and Online Trading A/c.
So, now as you are informed of all the benefits of opening a Demat Account at SBI, here are the steps to register for an SBI Demat Account online.
Document Required to open SBI Demat and trading account
- Aadhar card (for Address Proof)
- Pan Card
- Active Online Bank Account
- Passport Size Photo
- Your Bank Account Proof
Instructions on Opening a Demat Account at SBI Online
Method 1: Register by submitting Online Application
To open a Demat Account with SBI, simply login to the SBI Cap Securities Ltd. website https://opendemataccount.sbisecurities.in/SBIDIYV1/register and fill up the form online necessitating whether you need only Demat Account or both Demat A/c and an Online Trading A/c. You have to enter your full name, email address, mobile number, Pin code, and city and need to select the product of your choice.
The form is simple and easy. Click the Submit button Once you fill up the form online, a bank representative will approach you and guide you through the next process and also inform you about all the necessary documents required for a Demat Account at SBI.
Method 2: By Calling the Customer Care Number
If you don’t want to submit any application form online, just call or give a missed call to the number 09266792667, and the bank representative will guide you step by step.
Method 3: Apply for SBI Trading Account Online
If you have good knowledge of the Internet, then you can apply for an online sbi trading account in a few minutes.
Step 1: Open your web browser and open the link https://www.sbisecurities.in/trading-platform/web. Now accept the terms & conditions and click on apply now button.
Step 2: In next you have to enter your username, password, email id, and mobile number. Next select your state, city, and bank branch and click the login to Apply. Registration link will be sent to your registered email id. Next, you have to upload the necessary documents to complete the registration process.
Important Note: If you’re an existing savings account holder at SBI, you can directly opt for a Demat account and request the bank representative to link the existing Saving Account with the new Demat Account. The documentation process won’t be necessary for people with existing Savings Account holders at SBI.
Article Updated: 17 March, 2018