SEBI: Add Nominee to Demat account by 31st march or account will be frozen

The deadline for adding a nominee to demat accounts is 31st March 2023. Capital markets regulator SEBI warns that if investors miss out on appointing the nominee, their demat accounts will be frozen for debits.

Earlier the last date for the nomination was March 31 2022. SEBI later extended the deadline by one year.

Investors who open new demat or trading accounts, have the option of providing a nomination or opting out of nomination through a declaration form.

There will be no requirement of witnesses for filing of the nomination for trading or demat accounts, if the account holder has physically signed or e-signed the forms. However, a witness' signature will be required if a thumb impression has been used.

The existing investors who have not submitted their nominations choices yet can do so by way of two-factor authentication login on trading platforms for stock brokers or depository participants providing such service.

Steps to add nominee to demat account

Step 1: Login to your demat account

Step 2: Navigate to 'My nominees' under the profile segment and you will be redirected to the nominee details page

Step 3: You can chose 'add nominee' or 'opt-out'

Step 4: Fill the nominee details and upload ID proof of the nominee. After uploading the documents, enter the nominee share in 'percentage' you would like to assign to the nominee

Step 5: E-sign the document with Aadhaar OTP