New Delhi :
As 2023 draws to a close, it’s crucial to wrap up essential tasks, and one such imperative is adding a nominee to your demat account.
Ignoring this could lead to your account being frozen, as per the Securities Exchange Board of India (SEBI) directive,
which sets the deadline for nominee addition to both demat and mutual fund accounts by December 31.
Adding Nominee from the Comfort of Your Home
The process of adding a nominee to your demat account is straightforward and can be completed from the comfort of your home.
Here’s a step-by-step guide:
- Log In: Access your demat account and log in.
- Navigate to My Profile: Go to the My Profile section and locate Nominee Details.
- Select Action: Choose between “Add Nominee” or “Opt Out” option.
- Provide Details: Fill in nominee particulars such as name, PAN number, address, etc. and upload the necessary ID proof.
- Percentage Allocation: Specify the nominee’s share in percentage.
- Aadhaar Verification: Enter the Aadhaar number and e-sign the document through OTP.
- Verification Process: Await document verification, with the nominee being successfully added within 24-48 hours.
Await document verification, with the nominee being successfully added within 24-48 hours.
Understanding the Significance of Nomination:
The nominee holds a pivotal role, especially in the unfortunate event of the account holder’s demise.
Legal responsibilities are transferred to the nominee, granting them the authority to close the account and withdraw funds.
Importantly, the nominee need not be a direct successor; it could be a family member, friend,
or any trusted individual chosen by the account holder.
The nominee essentially acts as the executor, ensuring the distribution of assets according to the deceased’s wishes.
