The deadline for adding nominees to demat accounts has been extended once again. This comes as a relief to demat account holders who were facing difficulties in complying with the previous deadline. The Securities and Exchange Board of India (SEBI) has decided to provide more time for demat account holders to add nominees to their accounts.
The new rule states that all demat account holders are required to add nominees to their accounts. This is to ensure the smooth transfer of securities in the event of the account holder’s demise. The nominee can be an individual or an entity, such as a trust or a company.
Previously, the deadline for adding nominees was set to be a certain date. However, due to various reasons, including the COVID-19 pandemic, many demat account holders were unable to comply with the deadline. Recognizing this, SEBI has decided to extend the deadline to provide more time for demat account holders to add nominees to their accounts.
The deadline extension is a welcome move, as it would give demat account holders the opportunity to fulfil the necessary requirement without any additional stress or burden. It is recommended that all demat account holders take advantage of this extended deadline and add nominees to their accounts as soon as possible.
Adding nominees to demat accounts is an essential step in securing one’s investments and ensuring their smooth transfer in the future. It not only provides account holders with peace of mind but also offers protection to the nominees by allowing them access to the securities in the event of the account holder’s demise.
To add nominees to your demat account, you can follow the instructions provided by your respective depository participant (DP) or broker. They will guide you through the process and assist you in completing the necessary paperwork.
In conclusion, the trading account nominee rule has been changed with the extension of the deadline for adding nominees to demat accounts. This change provides demat account holders with more time to comply with the rule and ensure the smooth transfer of their securities in the future. It is advisable for all demat account holders to take advantage of this extended deadline and add nominees to their accounts as soon as possible.
