What is a closure-cum transfer?

A closure-cum-transfer lets you close your existing demat account and, at the same time, transfer all eligible holdings to another demat account that belongs to the same account holder(s).

Instead of selling your investments or moving them through a regular off-market transfer (which may attract charges), you transfer the holdings to the target demat account as part of the closure process. The depositories mandate this so that you can switch brokers without selling your holdings. As a result, you can transfer holdings under a closure-cum-transfer request without any transfer charges, subject to depository guidelines.

Conditions for a closure-cum-transfer

• You can use this process only for self-transfers, not to transfer securities to another person.
• If you transfer stocks between joint accounts, the sequence of primary and secondary holders must match in both accounts. For example, if Mr. A is the primary and Mr. B the secondary holder of your existing account, they must hold the same positions in the new account, and not the other way around.
• You can transfer securities only within the same Beneficiary Owner (BO) status, for example, individual to individual, and not individual to a joint, NRI, or HUF account, or vice versa.
• You can transfer locked-in stocks, mutual funds, and government securities only to a CDSL demat account.
• You must unpledge all pledged holdings before you submit the request.

How to initiate a closure-cum-transfer online

Console

1. Visit console.zerodha.com/account/segment-activation.
2. Scroll down and click on Account closure.
3. Click on Close account.
4. Select or enter your closure reason, and click on Continue.
5. Select Transfer all your holdings.
6. Select your depository.
7. Enter the DP ID.
8. Upload the Client Master Report (CMR) copy of the demat account you want to transfer the securities to.
9. Click on Continue.

If your account holds mutual fund investments and unlisted stocks, you cannot initiate the request through Console. Instead, you can submit it through a support ticket or offline.

Support ticket

1. Fill in the account closure form (PDF). Sample copy (PDF).
2. Sign the form, ensuring your signature matches the one you provided when you opened the account. To view it, see Where can I check the documents submitted while opening an account?
3. Obtain a Client Master Report (CMR) of the demat account you want to transfer the holdings to.
4. E-sign the completed documents.
5. Create a support ticket, attach the signed form and CMR copy, and submit it for processing.

How to initiate a closure-cum-transfer offline

To initiate the request offline:

1. Download, print, fill out, and sign the account closure form (PDF). Sample copy (PDF).
2. Ensure your signature matches the one you provided when you opened the account. To view it, see Where can I check the documents submitted while opening an account?
3. Attach a copy of the Client Master Report (CMR) of the demat account you want to transfer the securities to.
4. Courier the signed form and the CMR copy to the following address:

Zerodha Customer Support Centre
192A 4th Floor,
Kalyani Vista, 3rd Main Road,
JP Nagar 4th Phase,
Bengaluru, 5600

Once Zerodha receives and processes your request, Zerodha transfers your eligible holdings to the account you specified and closes your existing demat account.