How to dematerialize your shares?

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How to dematerialize your shares?
Do you still have physical shares lying with you? It is high time you should get it dematerialized or else you would never be able to sell these shares. This is simply because shares can be sold only in dematerialized form of as they call it electronic form. Click to know how to open demat account.

Here is how you can dematerialize it

To demat your physical certificates, you should approach the DP and submit the following documents

o Dematerialization Request Form (DRF)
o Physical certificates by marking "Surrendered for Dematerialization"

Separate DRF has to be filled for each ISIN.

Know more on Demat account and how it works.

The process of dematerialisation is as follows:

  1. Surrender your certificates to your DP for dematerialisation 
  2. The DP intimates your request to the Depository through the 
  3. system 
  4. The DP submits the certificates to the Registrar and Share Transfer 
  5. Agent (RSTA) of the Company 
  6. In case of any objection or in case of any need for any additional 
  7. documents, the RSTA informs you directly. RSTA confirms the 
  8. dematerialisation request from Depository 
  9. After dematerialising the certificates, RSTA updates the accounts and informs Depository regarding completion of dematerialisation 
  10. Depository updates its accounts and informs the DP 
  11. The DP then updates your demat account by crediting the shares

Before approaching your DP for demating your shares, you can check the list of shares and debentures that can be dematted from the websites of CDSL and NSDL .

Points to remember

Remember, to convert physical certificates into demat mode, the name in the share certificate should match with the name of the demat account holder.

In case of joint holding, the name should be in the same order both in the physical certificate as well as in the demat account. However, you can request to change the order of the names of the joint holders in the share certificate by submitting a Transposition cum Demat Form.

Read more about: demat, shares
Story first published: Monday, March 25, 2013, 11:50 [IST]
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