Understanding the Beneficial Owner Identification Number (BO ID)

A demat account holds all your trading certificates when you buy and sell in the stock market. Whether it is stocks, bonds, currency, options, mutual funds or others, you can safely store your securities in an electronic format here. 

 

Moreover, your account holds a lot of information that helps make trading and investing easy. One of these is your BO ID or Beneficial Owner ID. Make sure you know it if you wish to sell or transfer your shares. 

 

This number represents your ownership of the demat account. Each trader has a BO ID, which is a combination of the DP ID and client ID. Read on to know what a BO ID is, its uses in a demat account, how to find your BO ID, and more.

The BO ID helps your depository participant identify your demat account and transactions. When you open a demat account, you will receive a welcome letter, which will have your BO ID. 

 

If your demat account is with the Central Depository Services Ltd.(CDSL), the account number is generally referred to as the BO ID. In simple terms, the BO ID means your 16-character demat account number. 

 

This 16-digit digit number is encoded with many details of your demat account. The first eight digits of your BO ID are your DP ID, which is unique to your depository participant. Following this, the next 8 digits are your client ID. 

 

Combining these two sets gives you a unique 16-character BO ID that helps secure your demat account. No two account holders, even of the same DP, can have the same ID. This ensures protection against the risk of theft and loss of securities. 

To understand this better, say your 16-digit BO ID is 8456951753984257. Here, 84569517 is your DP ID, and 53984257 is your client ID. So, all clients with the same DP will have the sequence 84569517 in the BO ID. However, the next 8 digits will be different for all demat account holders. 

As mentioned, your BO ID is your account number. As such, you need this number whenever you want to sell or buy any securities through your demat account. Simply put, your BO ID is as important as your bank account number when you want to transfer or receive funds.

 

Knowing your BO ID also helps you better manage and track your account. This further helps protect your account from any fraudulent or unauthorised activities. 

To know the BO ID, you can log into your demat account and check on your dashboard. You can also check the welcome letter received at the time of account opening. Furthermore, your demat account statements also contain your BO ID. 

 

Remember, if your DP is National Securities Depository Limited (NSDL), your account number (ID) will start with IN, followed by 14 digits. If your DP is CDSL, the ID will be a 16-digit number.

In simple terms, the BO ID is your demat account number, which is a combination of your DP ID plus your client ID. The Depository Participant Identification Number (DP ID) refers to the first eight characters of your account number. This sequence of digits represents whether your account is with CDSL or NSDL. 

 

Both depositories allot these numbers to the depository participant to distinguish them from one another. The client ID refers to the last eight digits of your account number, which is unique for every account holder. The BO ID, on the other hand, is the entire 16-character number of your account. 

 

Armed with this knowledge, you can manage your securities conveniently. To open a demat account without hefty charges, look no further than Bajaj Markets. Choose a suitable subscription pack and kick-start your investment journey with an affordable and easy-to-use platform.