How to convert physical share certificates into demat form?

Dematerialisation is the conversion of physical shares into demat form. Demat form refers to the electronic storage of shares, eliminating the need for physical certificates. Physical shares can be dematerialised if the following conditions are met:

• The physical share certificate must have the company name and face value. To find a company's face value, visit bseindia.com/index.html or nseindia.com and enter the company name. If the face value on the certificate does not match the current face value, please contact the Registrar and Transfer Agents (RTA) to get the updated certificate. To learn more about RTA, see What are Registrar and Transfer Agents (RTA)?
  
  
  
• The name on the share certificate must match the name in the demat account. If it does not, you need to:
  • Submit a gazette letter or an affidavit on government stamp paper.
    
  • Provide notarised copies of the affidavit for each company if there are shares from more than one company.
  • Ensure the gazette letter or affidavit states that the name on the demat account and the share certificate are the same.
  • If the name has changed due to marriage, submit a notarised marriage certificate.
• To dematerialise jointly held physical shares, ensure the names on the demat account match the order on the share certificates. If they do not, submit a transposition form to change the name sequence on the share certificate. To learn more about transposition, see What is the procedure for transposition and dematerialisation of jointly held shares?
• Physical share certificates held in one person’s name cannot be dematerialised into a joint demat account and vice versa.

The table below shows the documents required to dematerialise physical share certificates:

To verify and confirm the documents, a soft copy can be sent by creating a ticket before dispatching the hard copy. Courier the documents to:

Zerodha,
153/154, 4th Cross, J.P Nagar 4th Phase,
Opp. Clarence Public School,
Bengaluru - 560078

Dematerialisation charges include ₹150 per share certificate and a courier charge of ₹100 per dematerialisation request, as Zerodha must courier the forms to the RTA. Additionally, a GST of 18% is applied to the total amount.

The charges can be viewed on the tariff sheet (PDF) and are deducted from the Zerodha account balance. You can check these deductions in the funds statement.

Once the documents are submitted, the RTA will take up to 25 days to complete the dematerialisation process.

Did you know?

• Once the shares are dematerialised, the buy average must be updated on Console. To learn how, see How to update the buy average on Console?
• If the shares that need to be dematerialised are part of the pending list on CDSL, they can only be sent for dematerialisation once their name is removed from the list. You can view the pending list by visiting cdslindia.com/Investors/pending-demat.aspx. Please note that these shares may take longer to be dematerialised.