How to Open a Demat Account without Aadhaar Card

A demat account is essential for holding shares, bonds, mutual funds, and other securities in electronic form. For most investors in India, the account opening process has become largely Aadhaar-linked, thanks to the convenience of e-KYC (electronic Know Your Customer). However, not every eligible investor possesses an Aadhaar card, and in such cases, there are alternative ways to complete the process.

This guide explains the eligibility criteria, the documents you can use instead of Aadhaar, and the detailed steps to open a demat account without using an Aadhaar card. It also covers the differences between online and offline processes in such cases, along with useful tips to ensure smooth approval.

Yes, you can open a demat account without an Aadhaar card. The Aadhaar-based e-KYC process is the fastest and most common method, but the regulations allow account opening through physical KYC and other identity proofs such as a passport, voter ID, or driving licence.

The process, however, differs from the fully digital Aadhaar route. Instead of instant verification via OTP or biometric authentication, the identity and address proof will be manually verified by the broker or depository participant (DP), which may extend the account activation timeline.

To open a demat account without Aadhaar, you need to meet the standard eligibility requirements:

• You must be an Indian resident or Non-Resident Indian (NRI).
  

• You must be at least 18 years of age. For minors, the account will be opened in the guardian’s name.
  

• You must possess valid government-issued identification and address proof other than Aadhaar.
  

• You must comply with SEBI’s KYC norms through physical or video verification.

When Aadhaar is not available, you can submit alternative identity and address proofs. Most brokers and DPs accept the following combinations, but always confirm with your chosen provider before applying.

1. Identity Proof (Any One)

• Passport
  

• Voter ID card
  

• Driving licence
  

• PAN card (mandatory for all demat account openings)
  

2. Address Proof (Any One)

• Passport
  

• Voter ID card
  

• Driving licence
  

• Utility bill (electricity, water, gas) not older than three months
  

• Bank account statement or passbook not older than three months
  

• Ration card
  

3. Additional Documents for NRIs

• Copy of overseas address proof
  

• Copy of Indian address proof (if correspondence in India is requested)
  

• Foreign bank account statement
  

4. Passport-Sized Photographs

• Recent colour photographs as per the DP’s specifications.

Without Aadhaar, you will need to follow the physical KYC route, which may include in-person verification (IPV). The steps are as follows:

Step 1: Choose a Depository Participant (DP)

Select a broker, bank, or financial institution registered with either NSDL or CDSL. Compare their account opening charges, annual maintenance charges (AMC), and service quality.

Step 2: Fill the Demat Account Opening Form

Obtain the form either online (for partial digital processing) or from the DP’s branch. Fill in details such as your full name, date of birth, contact details, bank account information, and nominee details.

Step 3: Attach Required Documents

Provide photocopies of your PAN card, chosen ID proof, and address proof, along with recent passport-sized photographs. Ensure the copies are self-attested.

Step 4: Complete In-Person Verification (IPV)

In the absence of Aadhaar-based e-KYC, the DP must conduct IPV. This can happen in two ways:

• Physical Visit: Visit the DP’s office or branch for document verification and signature authentication.
  

• Video KYC: Some brokers offer a video call process where you present your original documents to the verification officer.
  

Step 5: Sign the Agreement

You will be required to sign an agreement with the DP outlining the terms of service, charges, and your rights and obligations.

Step 6: Verification and Approval

The DP will forward your documents to the depository for processing. Upon successful verification, your demat account number (Beneficiary Owner ID) will be issued.

Opening a demat account without Aadhaar generally takes longer than the fully digital route. Timelines vary by provider, but an average estimate is:

• Document Submission and IPV: 1 working day
  

• Verification by DP: 2–3 working days
  

• Account Activation: Usually within 4–5 working days in total

When it comes to opening a Demat account, the process can look a bit different depending on whether you use Aadhaar or not. Here’s how the two routes compare:

If you don’t have an Aadhaar-linked mobile or prefer not to use it, the offline route can still be smooth sailing, provided you keep the following things in mind:

• Ensure All Documents Are Valid and Updated - Expired ID proofs or address mismatches are among the top reasons for delays.
  

• Provide Self-Attested Copies - Most DPs require your signature on photocopies to confirm authenticity.
  

• Check Name Consistency - Ensure your name matches exactly across your PAN card, ID proof, and bank account.
  

• Choose a DP with Video KYC - This can reduce timelines significantly compared to full offline verification.
  

• Track Application Status - Use the DP’s online portal or customer service to monitor progress.

Situations where standard procedures may differ:

Opening for Minors

For a minor, the Aadhaar of the guardian is often used for e-KYC. Without Aadhaar, the guardian must complete physical KYC with alternative ID and address proof.

NRI Accounts

NRIs can open demat accounts without Aadhaar by submitting passport and overseas address proof, along with other required documents. The process usually involves attestation by the Indian Embassy or a notary public.

Opening a demat account without an Aadhaar card is entirely possible, but it requires following the physical KYC route and providing alternative proofs of identity and address. While the process may take a few days longer than Aadhaar-based e-KYC, careful preparation of documents and choosing the right depository participant can make the experience smooth and hassle-free.

This content is for informational purposes only and the same should not be construed as investment advice. Bajaj Finserv Direct Limited shall not be liable or responsible for any investment decision that you may take based on this content.