Demat Account related FAQs

What will happen if AMC for a Demat account is not paid?

The following will occur if you don't pay the AMC on your demat account:

  1. The broker will bombard you with reminders via SMS, Email and phone calls.
  2. Your demat account becomes inactive (dormant) after a certain period. You can't make any transactions until your demat account is reactivated.
  3. You will need to pay the reactivation fee of Rs 500 and all dues (AMC + Interest) in order to reactivate.
  4. You must first reactivate a dormant account in order to close it.
  5. Brokers will refuse to allow you to open a new account if you don't have any holdings or have an account that isn't in use.
  6. The broker (depository participants, DP) will keep the account dormant for ever. They will continue to send you reminders and a statement about your demat account.


  • Brokers can differ on the time it takes to declare an account inactive, reactivation fees, interest rates, and other details.
  • If you aren't an active investor, open a Limetime AMC-free Demat account.

Is it necessary to have an demat account to apply in an IPO?

How securities can be transferred from one account to another?

Can I apply in an IPO if I don't have a Demat account?

On Demat account how much interest is given?

What maintenance charges are there for a demat account? Is there any processing fees or hidden charges on transactions I make on a demat account?

If I don't hold any share in my demat account, do I need to pay any annual maintenance charge

Can a person keep more than one demat account with same name?

Can a minor open a demat account?

Diffrenciate between Demat account number and Trading account number?

What are NSDL & CDSL?

Is a minor eligible to open a trading account?

Define Depository.

Define Depository Participants.

What does Dematerialisation process mean?

What are the benefits of holding shares in a demat account? Is it mandatory for all investors to open a Demat account in order to trade on the stock market?

How many demat account can a trader open?

In Demat account is there any nomination facility?

For any update in my personal details do I need to contact all companies?

What do I need to do with transaction statement, If I don't do trade on a regular basis?

How can I get help if I have any issue with my NSDL Demat account?