Can I open an account at Zerodha in my child's name?
You can open an account as a guardian on behalf of your child.
The below points have to be kept in mind while opening a minor Demat account at Zerodha -
- The guardian of the minor should fill the account opening documents .
- In the KYC form, you should attach both the minor's and the guardian's photograph.
- You should submit the guardian's KYC documents (i.e. ID proof, address proof) along with the minor's KYC documents .
- You should submit the minor's PAN card and birth certificate.
- If the guardian's KYC isn't registered, you should submit the guardian's KYC form .
- Address proof of minor (account holder)
- Bank proof of minor (account holder)
- AMC charges of Rs 300/- (An upfront AMC is required to be collected while opening a minor's account.)
- There are no account opening charges for opening children's demat accounts.
- You should also submit the guardian's hand-written letter/email confirmation with the reason for opening the minor's account.
- You, as a guardian, can open a demat account for your child at Zerodha. You can invest in stocks in your name (with your trading/demat account) and then make an off-market transfer of these securities to your child's demat account.
- Once the minor has attained maturity, they need to submit a new KYC application form or KRA registered with us. They will also have to submit a new account opening form duly complete in all respects. After this, we shall delete the guardian's details from the minor's account. The account holder's signature will replace the guardian's signature.
- The above procedure is applicable only if the word 'minor' is not present in the 'Account Holder's name' at the time of account opening. If the word 'minor' is present, then the existing account should be closed. The account holder should open a new account.
- The same applies to mutual funds as well. A minor can't purchase mutual funds via Coin. The guardian has to invest in mutual funds and then make an off-market transfer into the minor's Demat account.
You cannot open a trading account in the name of a minor. Hence, they will not be able to buy or sell shares. You can only transfer shares in and out of the minor's demat account. To allow the transfer of shares, the guardian will receive a CMR copy from us.