There’s a saying that every service has a cost. Irrespective of whether you know the value or not, you always end up paying it. The same is for a Demat Account where everyone pays Demat account annual charges.
For this superb facility that enhances your trading experience, some brokers charge a fixed amount, and others don’t. Although, those who don’t charge anything have some applicable terms & conditions.
Demat Account Rules includes Demat account annual charges, let’s know about it and keep reading.
Annual Maintenance Charges for Demat Account
On the lines to charge an amount in exchange for providing you with assistance in various ways, Depository Participants, commonly known as stockbrokers or intermediaries, impose you with an annual charge for the Demat account.
This yearly charge was formerly known as Demat account annual maintenance charges but now is known as Demat account maintenance charges (AMC).
The amount charged varies from broker to broker. In fact, in some cases, these depository participants let go of the Demat account charges. There are some conditions the trader is to fulfill to avail the benefit. We’ll talk about this in detail later.
This charge is for maintaining the account. When a trader pays AMC, no extra charge gets debited for trading and commodity accounts, and vice-versa.
A bunch of brokers has different Demat account annual charges for individual traders and corporates. It is the stockbroker’s discretion to levy these charges.
A lot of traders make their decision to choose a particular intermediary based on the Demat account annual charges.
Comparing the Demat account maintenance charges is essential in the long run as it is an expense you make while trading. Thus, a lot of traders tend to consider them as a priority when taking the final call.
To ease our readers’ stress, below is a list of Brokers with the Demat account annual charges:
Imagine having a free Demat account with no annual charges.
Well, you’ll be astonished to know that some brokers offer lifetime free Demat account. Yes, you read that right.
All they expect in return is the fulfillment of some terms and conditions. These terms and conditions vary from a one-time payment of Demat account AMC to subscribing to an offer or proposal laid down by the broker.
Some brokers that offer lifetime free Demat accounts are – Angel Broking, IIFL, Motilal Oswal, etc. Although, you’ve to agree to their terms & conditions to take advantage of these fantastic offers.