Transfer charge refunds and no AMC for the first year

We have two big updates going live from June 1st.

First, if you’re moving your holdings from another broker to Zerodha, we’ll refund the depository charges your current broker charges for the transfer, up to ₹500.

This isn’t limited to new accounts. If you already have a Zerodha account and are transferring holdings from another broker, you’ll be eligible for the refund too.

Second, no account maintenance charges (AMC) for the first year on all new Zerodha accounts. In many cases, the actual AMC is either zero or very low because of BSDA. But just knowing there’s a recurring charge can make people pause before opening an account. So for the first year, we’re removing it entirely.

Both changes are meant to remove small costs that often feel bigger than they actually are when you’re just getting started or switching brokers.

Refund on transfer charges

When you transfer holdings from one broker to another, your current broker usually charges a fee for each stock you transfer. These charges are typically ₹10 to ₹30 per stock. If you hold 15 to 20 stocks, this can add up to a few hundred rupees. From June 1st, if you transfer your stock holdings from another broker to Zerodha, we’ll refund these transfer charges up to ₹500.

There’s also no brokerage on equity delivery trades at Zerodha, which helps you save even more.

Also, when you transfer holdings to Zerodha, you can add the original purchase details on Console to track your portfolio accurately.

How to transfer your holdings to Zerodha

You can transfer your holdings online or offline, depending on where your current demat account is held.

Online via CDSL Easiest

If both your current broker and Zerodha are on CDSL, you can transfer your holdings online through easiest.cdslindia.com. Once you register on the Easiest platform, you can submit transfer instructions without any physical paperwork.

Offline via DIS slip

If your current broker is on NSDL, submit a Delivery Instruction Slip to your current broker with Zerodha’s DP details. The transfer is usually processed within one to two working days.

Zerodha’s DP details:

• DP Name: Zerodha Broking Ltd
• DP ID: 12081600/12081601/12081602
• Client ID: Your 8-digit Zerodha client ID

For a step-by-step guide, refer to this support article on transferring holdings to Zerodha.

Once you have transferred your holdings, you can create a ticket here to claim your refund.

No AMC for the first year

The second change is for people who are opening a new Zerodha account.

We’ve never advertised aggressively or used offers to push people to open accounts. But we kept hearing one concern from people who wanted to start investing: “Will I have to keep paying just to keep the account open?”

In many cases, the actual cost was either zero or very low. For many first-time investors, AMC may not be a meaningful cost even after the first year because of BSDA. But the idea of a recurring maintenance charge was still enough to make people delay opening an account.

So we’re removing that concern for the first year.

From June 1st, all new Zerodha accounts will have no AMC for the first year, regardless of the value of holdings. We also have zero AMC for minor accounts.

Zerodha already has zero brokerage on equity delivery, zero brokerage on direct mutual funds through Coin, and free account opening. With no AMC for the first year, there’s one less cost to think about when getting started.

If you’re opening a demat account for the first time, you’re also automatically eligible for BSDA, the Basic Services Demat Account. SEBI introduced BSDA to reduce the cost of holding a demat account for small investors.

Under BSDA: 

Happy investing.