What is the process for closing a Demat account online?

In this post, you will learn the process of closing your demat account. There can be many reasons for closing a demat account –

1. Expensive Charges - if your broker is imposing high charges such as high brokerage, account opening, and maintenance and you have found a good alternative for your broker then you can go with another broker.

2. Not good customer Service- this can be also a good reason to switch from one stock broker to another stockbroker with a new Demat account and close the previous broker’s linked Demat account. In this, your broker doesn’t provide good customer service by any channel, and if you take many follow-ups then they also do not provide a good satisfactory response. At one point you decide to change your current broker.

3. Trading Platform is not good- if you find that your current trading partner’s platform is not providing those features that other trading partners are providing those features.

4. Unethical practices - sometimes it has come to notice some broker cheat their customers and steal their money or shares. To prevent yourself you sell or transfer your holding and close that demat account.

5. No use of a Demat account- Sometimes your friends family, or any other person asks to open your demat for the earn referral commission, either you open your demat but you didn’t trade or invest.

6. Research and recommendation- In this case, some stocks do not provide research tips, and education to traders and investors, which can become difficult for a newcomer and old persons both also.

If any one of the above reasons, then you decide to change your stock broker platform, then you open a new but in some cases, you leave your account inactive. Living inactive demat accounts longer time is not a good practice for you and the broker, this can attract very huge unnecessary charges and the broker can also be penalized by the regulator.

Checklist before closer of Demat account -

these are the points which you need to check before step forward of closing demat –

• No negative or positive balance in your trading account, balance should be zero (0).
• No open position should be present in your trading account.
• No holding should be present in your demat.
• Clear all the MTF dues if your broker provides MTF.
• If any shares are pledged, you need to un-pledge.

**Failure of any of the above points can reject your application.

Process of permanent Demat account closing –

Here are all the step-by-step guides refer to which one suits

1- Zerodha Demat account closer guide for permanent deactivation of your demat account

Desktop	Mobile
First, you have to login in Console  (www.console.zerodha.com)	Login to Kite App
Go to Account (Top)	Tap on Account (Client ID)
Then click on Segment	Click on Profile
Scroll Down and here you will find “Account closure” Click on the Expand button	Scroll Down and here you will find “Account closure” Click on the Continue button
Give the reason, and continue	Now Click on the Expand button
E-Sign with ADHAR. Let the window close by itself.	Select the reason, and continue
	E-Sign with ADHAR. Let the window close by itself.

*Within 48-72 hrs it will deactivate permanently

2- Upstox Demat account closer process - 

3- Angel One Demat account closer process -

Angel One Desktop and Mobile both process are approx same-

• Frist, Login to Angel One platform via Desktop or Mobile.
• Click on your Name, Top Right
• Scroll Down and go to Profile
• Again, Scroll Down and Click on “Close Demat and Trading Account”
• Select the reason for closing and Proceed
• Verify the OTP with Angel One's registered mobile number and email.
• Now E-Sign with Adhaar.
• After the same A confirmation screen will appear and your account will close in 5 working days.

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