Avoid demat account charges: How

The first step to avoiding any fees is to understand what they are. Demat account charges online can be broadly classified into two categories: transaction charges and maintenance charges.

Transaction charges are levied every time you buy or sell a security and are a percentage of the total transaction value. For example, if you buy shares worth Rs 1 lakh, and the transaction charge is 0.5%, then you will be charged Rs 500 as transaction fees.

Maintenance charges, on the other hand, are levied monthly or annually by your depository participant (DP) for maintaining your demat account. These usually range from Rs 100-200 per annum. In some cases, DPs also offer lifetime free demat accounts.

Choose the right account.

Once you know what kind of charges you will have to pay, it is important to choose the right kind of demat account that suits your needs. If you are a casual investor who trades infrequently, then it makes sense to opt for an account with low transaction fees and no annual maintenance charges. On the other hand, if you are a frequent trader, then an account with higher transaction fees but lower annual maintenance charges would be more beneficial for you in the long run.

There are also different kinds of demat accounts available – basic service Demat accounts (BSDA), standard Demat accounts, and institutional Demat accounts – so make sure to choose one that fits your investment profile and requirements.

BSDAs are meant for small investors with a limited number of transactions per year (usually up to three). These accounts have much lower charges as compared to standard Demat accounts but offer only basic features and services. Standard Demat accounts do not have any restrictions on the number of transactions and offer a full suite of features and services such as online trading, mobile trading, etc., while institutional Demat accounts are meant for high net-worth individuals/corporates who trade in large volumes.”


When it comes to demat account charges, there are a few key things to keep in mind. First, it’s important to understand what the charges are and what they cover. Second, choose the right account type for your needs. And finally, don’t be afraid to negotiate with your broker.

Here are the key takeaways from this article:

Demat account charges are fees charged by brokers for providing access to a dematerialized (demat) account. The charges can be either fixed or variable, and they cover the costs of maintaining the account and providing services related to TradingView.

There are two main types of demat account charges: transaction fees and annual maintenance fees. Transaction fees are charged per trade, while annual maintenance fees are charged per year.

To avoid paying more than you have to in demat account charges, it’s important to understand what the charges cover and compare different accounts before choosing one. It’s also helpful to negotiate with your broker, as they may be willing to waive or reduce certain fees.


If you’re looking to avoid demat account charges, the best thing to do is understand the charges, choose the right account, and negotiate with your broker. With a little knowledge and effort, you can keep your costs down and make the most of your investment.