Depository

It can be compared with a bank, which holds the funds for depositors. A Bank – Depository analogy is given in the following table:

At present two Depositories viz. National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL) are registered with SEBI.

A Depository Participant (DP) is an agent of the depository through which it interfaces with the investor and provides depository services. Public financial institutions, scheduled commercial banks, foreign banks operating in India with the approval of the Reserve Bank of India, state financial corporations, custodians, stock-brokers, clearing corporations /clearing houses, NBFCs and Registrar to an Issue or Share Transfer Agent complying with the requirements prescribed by SEBI can be registered as DP. Banking services can be availed through a branch whereas depository services can be availed through a DP.

As per the available statistics at BSE and NSE, 99.9% transactions take place in dematerialised mode only. Therefore, in view of the convenience of trading in dematerialised mode, it is advisable to have a beneficial owner (BO) account for trading at the exchanges.

As per the available statistics at BSE and NSE, 99.9% transactions take place in dematerialised mode only. Therefore, in view of the convenience of trading in dematerialised mode, it is advisable to have a beneficial owner (BO) account for trading at the exchanges.

The benefits are enumerated below:-

• A safe and convenient way to hold securities.
• Immediate transfer of securities.
• No stamp duty on transfer of securities.
• Elimination of risks associated with physical certificates such as bad delivery, fake securities, delays, thefts etc.
• Reduction in paperwork involved in transfer of securities.
• Reduction in transaction cost.
• No odd lot problem, even one share can be traded.
• Nomination facility.
• Change in address recorded with DP gets registered with all companies in which investor holds securities electronically eliminating the need to correspond with each of them separately.
• Transmission of securities is done by DP eliminating correspondence with companies.
• Automatic credit into demat account of shares, arising out of bonus/split/consolidation/merger etc.
• Holding investments in equity and debt instruments in a single account.

To avail the services of a depository an investor is required to open a Beneficial Owner (BO) account with a Depository Participant (DP) of any depository.

First an investor has to approach a DP and fill up an account opening form. The account opening form must be supported by copies of any one of the approved documents which serve as proof of identity (POI) and proof of address (POA) as specified by SEBI. Apart from these PAN card has to be shown in original at the time of account opening from April 01, 2006.

All applicants should carry original documents for verification by an authorized official of the DP, under his signature.

Investor has to sign an agreement with DP in a depository prescribed standard format, which gives details of rights and duties of investor and DP. DP should provide the investor with a copy of the agreement and schedule of charges for their future reference. The DP will open the account in the system and give a unique account number, which is also called BO ID (Beneficial Owner Identification number) and used for all future transactions.

SEBI has rationalised the cost structure for dematerialisation by removing account opening charges, transaction charges (for credit or buy transactions of securities), custody charges and account closing charges.

Custody charges are now paid by the issuer companies. Broadly, investors are required to pay the charges towards:-

• Dematerialisation and Rematerialisation of their securities
• Annual account maintenance charges
• Transactions fees (only for sell transactions)

The DP may revise the charges by giving 30 days notice in advance.

Bank account details are necessary for the protection of interest of investors. When any cash or non cash corporate benefits such as rights or bonus or dividend is announced for a particular scrip, depositories provide to the concerned issuer /it’s RTA, the details of the investors, their electronic holdings as on record / book closure date for reckoning the entitlement of corporate benefit.

The disbursement of cash benefits such as dividend is credited directly by the Issuer/it’s RTA to the beneficiary owner through the ECS (Electronic Clearing Service wherever available) facility or by issuing warrants on which bank account details are printed for places where ECS facility is not available. The bank account number is mentioned on the dividend and warrant to avoid any fraudulent misuse. The bank account details will be those which are mentioned in account opening form or modified details that had been intimated subsequently by the investor to the DP.

Yes. However, the investor must inform the DP regarding change in the bank account and corresponding change in MICR / IFSC code while updating their bank account details with DP. In the depository system monetary benefits on the security balances are paid as per the bank account details provided by the investor at the time of account opening. The investor must ensure that any subsequent changes in bank account details are informed to the DP.

Investor should immediately inform his DP along with necessary documents, who in turn will update the records. This will obviate the need of informing different companies.

SEBI has advised that from January 09, 2006, no charges shall be levied by a depository on DP and consequently, by a DP on a BO, when a BO transfers all the securities lying in his account to another branch of the same DP or to another DP of the same depository or another depository, provided the BO Account/s at transferee DP and at transferor DP are identical in all respects. In case the BO Account at transferor DP is a joint account, the BO account at transferee DP should also be a joint account in the same sequence of ownership.

All other transfer of securities consequent to closure of account, not fulfilling the above-stated criteria, would be treated like any other transaction and charged as per the schedule of charges agreed upon between the BO and the DP.

Yes. An investor can open more than one account in the same name with the same DP and also with different DPs. For all the accounts, investor has to strictly comply with KYC norms including Proof of Identity, Proof of Address requirements as stipulated by SEBI and also provide PAN number. The investor has to show the original PAN card at the time of opening of demat account.

No.

No. Depository / DP can be chosen by investor as per convenience irrespective of the DP of the broker.

No. The Demat account must be opened in the same ownership pattern in which the securities are held in the physical form. e. g. if one share certificate is in the individual name and another certificate is jointly with somebody, two different accounts would have to be opened.

In this case the investor may open only one account with ‘A’ & ‘B’ as the account holders and lodge the security certificates with different order of names for dematerialisation in the same account. An additional form called "Transposition cum Demat" form will have to be filled in. This would help you to effect change in the order of names as well as dematerialise the securities.

No. The demat account cannot be operated on "either or survivor" basis like the bank account.

Yes. If the BO authorises any person to operate the account by executing a power of attorney and submit it to the DP, that person can operate the account on behalf of the BO.

No. The names of the account holders of a BO account cannot be changed. If any change has to be effected by addition or deletion, a new account has to be opened in the desired holding pattern (names) and then transfer the securities to the newly opened account. The old account may be closed.

Yes. The investor can submit account closure request to his DP in the prescribed form. The DP will transfer all the securities lying in the account, as per the instruction, and close the demat account.

In case of any discrepancy in the statement of holdings, investor can contact his DP and in case of discrepancies in corporate benefits, one can approach the company / its Registrar and Transfer Agent. If the discrepancy is not resolved, the investor may approach concerned Depository (NSDL or CDSL).

Investor can freeze his account and/or ISIN and/or specific number of securities under an ISIN for any given period of time as per applicable Regulations of SEBI and Bye Laws of the respective depository.

In order to dematerialise physical securities one has to fill in a DRF (Demat Request Form) which is available with the DP and submit the same along with physical certificates that are to be dematerialised. Separate DRF has to be filled for each ISIN. The complete process of dematerialisation is outlined below:

• Surrender certificates for dematerialisation to your DP.
• DP intimates to the Depository regarding the request through the system.
• DP submits the certificates to the registrar of the Issuer Company.
• Registrar confirms the dematerialisation request from depository.
• After dematerialising the certificates, Registrar updates accounts and informs depository regarding completion of dematerialisation.
• Depository updates its accounts and informs the DP.
• DP updates the demat account of the investor.

ISIN (International Securities Identification Number) is a unique 12 digit alpha-numeric identification number allotted for a security (E.g.- INE383C01018). Equity-fully paid up, equity-partly paid up, equity with differential voting /dividend rights issued by the same issuer will have different ISINs.

Yes, odd lot share certificates can also be dematerialised.

Dematerialised shares do not have any distinctive numbers. These shares are fungible, which means that all the holdings of a particular security will be identical and interchangeable.

Yes. The process is called rematerialisation. If one wishes to get back his securities in the physical form he has to fill in the RRF (Remat Request Form) and request his DP for rematerialisation of the balances in his securities account. The process of rematerialisation is outlined below:

• Make a request for rematerialisation.
• Depository participant intimates depository regarding the request through the system.
• Depository confirms rematerialisation request to the registrar.
• Registrar updates accounts and prints certificates.
• Depository updates accounts and downloads details to depository participant.
• Registrar dispatches certificates to investor.

In a bank account, credit to the account is given only when a 'pay in' slip is submitted together with cash/cheque. Similarly, in a depository account 'Receipt in' form has to be submitted to receive securities in the account. However, for the convenience of BOs, facility of 'standing instruction' is given. If you say 'Yes' for standing instruction, you need not submit 'Receipt in' slip everytime you buy securities. If you are particular that securities can be credited to your account only with your consent, then do not say 'yes' [or tick ] to standing instruction in the application form.

To give the delivery one has to fill a form called Delivery Instruction Slip (DIS). DIS may be compared to cheque book of a bank account. The following precautions are to be taken in respect of DIS:

• Ensure and insist with DP to issue DIS book.
• Ensure that DIS numbers are pre-printed and DP takes acknowledgment for the DIS booklet issued to investor.
• Ensure that your account number [client id] is pre-stamped.
• If the account is a joint account, all the joint holders have to sign the instruction slips. Instruction cannot be executed if all joint holders have not signed.
• Avoid using loose slips.
• Do not leave signed blank DIS with anyone viz., broker/sub-broker, DPs or any other person/entity.
• Keep the DIS book under lock and key when not in use.
• If only one entry is made in the DIS book, strike out remaining space to prevent misuse by any one.
• BO should personally fill in target account-id and all details in the DIS.
• If the DIS booklet is lost / stolen / not traceable, the same must be intimated to the DP immediately in writing. On receipt of such intimation, the DP will cancel the unused DIS of the said booklet.

Yes. Both NSDL and CDSL have launched this facility for delivering instructions to your DP over Internet, called SPEED-e and EASI respectively. The facility can be used by all registered BOs after paying the applicable charges.

Yes, it is possible to get securities allotted to in Public Offerings directly in the electronic form. In the public issue application form, there is a provision to indicate the manner in which an investor wants the securities to be allotted. He has to mention the BO ID, name and DP ID on the application form. Any allotment made will be credited into the BO account.

The procedure to pledge electronic securities is as follows:

• Both BOs, investor (pledgor) and the lender (pledgee) must have BO account with the same depository.
• Pledgor will have to instruct DP to create pledge in prescribed standard form (Pledge Request Form) with the details of the securities.
• The lender (pledgee) has to confirm the request through his/her DP.
• Once this is done, securities are pledged.
• All financial transactions between the pledgor and the pledgee are handled as per usual practice outside the depository system.

After the repayment of loan, pledgor can request for a closure of pledge by instructing the DP in a prescribed format. The pledgee on receiving the repayment will instruct his DP accordingly for the closure of the pledge.

Yes, if the pledge (lender) agrees, pledgor (investor) may change the securities offered in a pledge.

The securities pledged are only blocked in the account of pledgor (investor) in favour of the pledge (lender). The pledgor would continue to receive all the corporate benefits.

DPs have to provide transaction statements to their clients once in a month, if there is any transaction and if there is no transaction, then once in a quarter.

DPs also provide transaction statement in electronic form under digital signature subject to their entering into a legally enforceable arrangement with the BOs to this effect.

In case of any discrepancy in the transaction statement, BO can contact his DP. If the discrepancy cannot be resolved at the DP level, BO should approach the Depository.

In case of any investor complaint / problem / query one may first contact his DP. If DP is unable to solve the complaint / problem / query one should approach concerned depository. If one is not satisfied one may approach SEBI. One may also approach SEBI directly.

Only an individual can be a nominee. A nominee shall not be a society, trust, body corporate, partnership firm, Karta of Hindu Undivided Family or a power of attorney holder.

Nomination is helpful in smooth transmission of shares upon the death of the BO/s. The nomination once made can be changed at a later date as desired by the BO/s.

The claimant should submit to the concerned DP an application Transmission Request Form (TRF) along with the following supporting documents

1. In case of death of sole holder; where the sole holder has appointed a nominee
   • Notarised copy of the death certificate
2. In case of death of the sole holder; where the sole holder has not appointed a nominee
   • Notarised copy of the death certificate And anyone of the below mentioned documents:
     1. Succession certificate
     2. Copy of probated will
     3. Letter of Administration

The DP, after ensuring that the application is genuine, will transfer securities to the account of the claimant.

The major advantage in case of dematerialised holdings is that the transmission formalities for all securities held with a DP can be completed by interaction with the DP alone, unlike in the case of physical share certificates, where the claimant will have to interact with each Issuing company or its Registrar separately.

SPEED-e can be availed of by any demat account holder provided it’s DP has registered with NSDL for this purpose.

You can find out from your DP whether it has registered with NSDL for SPEED-e. Alternatively, you can log on to https://speed-e.nsdl.com and click on 'sign up now' to find out the list of DPs who are offering SPEED-e services.

If you wish to avail of this facility, you have the option of password based or smart card based access to SPEED-e. For password based access, you should fill up an online registration form by choosing your own 'User-Id' and 'Password' and then submit the duly filled-in registration form in person to your DP and sign an agreement with the DP. The DP will authorise your request and thereafter you can start using SPEED-e with the User-Id and password. For smart card based access, you should fill up the 'SPEED-e Application form' available on the SPEED-e website or can be obtained from your DP and then submit the duly filled-in form to your DP. After you sign an agreement with the DP, your DP will register you as a smart card user by assigning a User-Id and help you procure a Smart Card Kit, Digital Signature Certificate (DSC) and Personal Identification Number (PIN). Install the Smart Card Kit on to the computer and with the User-Id, DSC and PIN, you can start using SPEED-e.

In password based operation, the access is given on the basis of "What you know (User-Id & Password)". The User-Id should be 'Alphanumeric' with minimum of three and maximum eight characters. The password also has to be 'Alphanumeric' with a minimum of eight and maximum of sixteen characters. In smart card based operation, the access is given on the basis of "What you have" (smart card) and "What you know" (the PIN). The smart card based operation affixes digital signature to the transactions which is non-repudiable and authenticates that only the person possessing the smart card and knowing the PIN has submitted the instruction.

Apart from what is stated in Answer to Q.5, the following are the additional benefits of using a smart card.

• Smart card users can transfer securities to any account unlike password users where transfer of securities is permitted only upto three Pre-notified Clearing Member (broker) accounts.
• Single smart card can be used to access all your demat accounts opened with the same DP.
• Facility of Multiple Authorisation.
• Freeze / unfreeze of account(s) / ISIN(s) and / or specific quantity of securities under an ISIN (for Smart Card Clients only).

The password users using SPEED-e can deliver securities only in favour of Clearing Members (Brokers). At the time of registration, the user must notify the details of Clearing Members (upto a maximum of three) in whose favour the credit can be effected. These Clearing Member accounts are referred to as Pre-Notified Clearing Member accounts. It is not necessary that the Pre-Notified Clearing Member is also a user of SPEED-e.

SPEED-e is an Internet website that receives the delivery instructions from the registered users.

These instructions are downloaded by the DPs, in batches, from the SPEED-e website for execution in the DP's depository system. The status of execution of instructions is updated on SPEED-e website. The information regarding balances and transactions in demat accounts is available to the subscribers of IDEAS. Thus, you can check balances in your account, submit delivery instructions to your DP and verify the status of execution of those instructions.

The most important benefit of SPEED-e is the convenience of submitting delivery instructions. You can access the SPEED-e website from anywhere in the world at any point of time, check balances in your account, submit the instructions and track its status.SPEED-e eliminates the requirement of having to give the delivery instructions in paper form. Further, if you are a smart card user, you get an added benefit of freezing account(s) / ISIN(s) and / or specific quantity of securities under an ISIN through SPEED-e, which cannot be unfrozen even by your DP.

Yes. Through IDEAS, Clients as well as brokers can view details of transactions and balances in their accounts. The Brokers can also download this information to update their back-offices.

IDeAS can be availed of by any demat account holder including Clearing Members (CMs) who have opened an account with any of the Participants under NSDL system. You can avail IDeAS as a Password or as a Smart Card user.

Existing SPEED-e users (i.e. both Password and Smart Card users) can click on the “Change Service” link and choose IDEAS. DP will authorise your request and thereafter you will be able to access IDEAS with the same User-Id and password/PIN as the case may be.

To register as a password user, Client should fill-up an online registration request for IDEAS at SPEED-e website, choose its own User-Id & password and submit duly signed print-out of the form to the DP. Based on the online request and the form submitted by the Client, DP authorises the request and thereafter with the User-Id and password, a Client can start using IDEAS.In case you want to register as a smart card user, download the 'Application form for IDEAS' for Smart Card Users from SPEED-e website or obtain it directly from your DP. Fill-up all particulars and submit the form to your DP who will assign a User-Id and help you procure a Smart Card Kit, DSC and PIN. Install the Smart Card Kit on to the computer and with the User-Id, DSC and PIN, you can start using IDEAS.

Brokers will be able to view the latest balances and transactions in their pool accounts in respect of settlements for the current pay-in date, previous four and next four pay-in days. The other salient features are:

Holding Statement:

A broker can view all its delivery instructions for a particular market type and settlement number which have been settled. These instructions can be viewed separately in the "Holding Statement".

Overdue Statement:

This feature enables the broker to view all its delivery instructions for a particular market type and settlement number, which are in 'Overdue' status. After the overdue instructions are settled, they can be viewed in the "Holding Statement".

Transaction File Download:

This feature allows brokers to download settlement related instructions (debit/credit) executed by their DPs across various market types and settlement numbers for a given transaction date. The data is for transactions relating to settlements for the current pay-in date, previous four and next four pay-in days. The date-wise download can be obtained in a 'plain text tab delimited format' and can be used for further processing in the back-office system.

ISIN Master Download:

This feature enables brokers to keep the back-office systems updated with the details of ISINs in NSDL system. ISIN master gives details of all ISINs along with ISIN code, ISIN description and their current status.

• Clients can view latest balances along with the value based on the previous day closing price in their demat account.
• Client can view transactions that have taken place in their demat accounts during the last 30 days.
• Clients can download month-wise statement of transaction for the previous months (maximum 12 months) bearing NSDL's digital signature, which can be verified by using a Signature Verification Utility. The said signature verification utility and detailed procedure regarding installation of Signature Verification Utility is available for download at https://speed-e.nsdl.com (i.e. Click the hyperlink download under New Users / IDeAS).
• Clients can access IDeAS by password or smart card.

Yes. SEBI has permitted the DPs to discontinue providing physical transaction statements to their Clients provided the Client subscribes to IDeAS. However, your DP will send a consolidated transaction statement, in physical form, for the entire financial year and the same shall be sent to you before 15th of May every year.

The balances and transactions on IDEAS are updated on an online but not real time basis. However, due to some technical reasons, the information may have been updated till the last half an hour. Users must check the latest position with their DPs.

If you are a password user, all you need is a computer with 32 MB RAM and Windows 95 / 98 / NT having either Microsoft Internet Explorer 5.5 or above or Netscape Navigator 4.7 with an Internet connection.

If you are a smart card user, you need to procure a smart card reader and a smart card with help from your DP. The computer configuration must be 64 MB RAM and Windows 98/NT having Microsoft Internet Explorer 5.5 or above with 128 bit encryption, with an Internet connection.

No. You can submit paper instructions to your DP. However, if you have given instructions through SPEED-e, you are not required to submit paper instructions to your DP.

Yes. A POA can operate your demat account through SPEED-e. But, for subscribing to SPEED-e, the original account holder(s) must sign the agreement and the application form. In fact, you may not find the need for a POA to operate your account as you can now operate your account from anywhere in the world, provided you have access to Internet and the necessary infrastructure mentioned in the Answer to Q 19.

Yes. You can operate all your demat accounts through SPEED-e provided your DP has joined SPEED-e and you have registered each of your account separately with distinct User-Ids (applicable for both password and smart card based users). In case you are a smart card user, you can use the same smart card to operate all your demat accounts.

Yes. First you will have to discontinue the password based access by following the steps mentioned in Answer to Q.50. and then apply for smart card based access as mentioned in Answer to Q.4.

For password based operation, only one user can operate the account. Joint Holders will have to give a POAto one among themselves. For smart card based operation, besides what is stated above, all the joint holders can operate the account independently or jointly using Multiple Authorisation facility.

The following are the steps involved in submitting an instruction using a smart card.

• Login to SPEED-e website using the User–Id.
• Select the certificate from the Browser.
• Input the PIN on the smart card reader.
• Submit the Delivery Instruction.
• Confirm the Instruction and repeat steps (b) and (c) again, to digitally authorise the instruction.

If you are a Client using SPEED-e/IDEAS as a password user and forget your User-Id, you cannot access SPEED-e/IDEAS. Approach your DP for revocation of your present User-Id by quoting your Client Id. After revoking your User-Id, you will be required to re-register on SPEED-e/IDEAS. If you are a Client/Clearing Member using SPEED-e as a smart card user, please contact your DP which will provide you the User-Id.

If you are a Clearing Member using IDEAS as a password or smart card user, please contact NSDL which will provide you the User-Id.

If you are Client using SPEED-e/IDEAS, log-on to SPEED-e website, submit your User-Id, click on 'Forgot Password' and fill-up an online ' Password Reset Request' form by supplying the new Password, Client Id & other personal details. A print-out of this form has to be given to your DP which will then authorise the Password Reset Request.

If you are a Clearing Member using IDEAS, log-on to SPEED-e website, submit your User-Id, click on 'Forgot Password' and fill-up an online ' Password Reset Request' form by supplying the new Password & CM BP Id. A print-out of this form has to be given to NSDL which will then authorise the Password Reset Request.

Yes. For your own safety, you should change your password as frequently as possible by selecting the option ' Change Password'. However, if the password is not changed for a period of sixty days, then the system prompts for the same and a new password has to be entered.

Multiple Authorisation is a facility that allows multiple users of an account to digitally authorise delivery instructions while submitting the instructions through SPEED-e. This facility is available only to Smart Card Users. To avail of this facility, the users must state the Number of Persons who would authorise an instruction (minimum of two and a maximum of three). Once you enable your account for multiple authorisation, instructions from that account will always require two or three users as the case may be, to digitally "authorise" the instruction using the smart card. The Users can login separately at their convenience, and "capture" or "authorise" a delivery instruction based on the functional rights assigned to them. E.g.

1. In case of a depository account with 3 joint holders where all the three have been registered as SPEED-e users and the Number of Authorisations (NOA) can be specified as three, then all the 3 joint holders must "authorise" the instruction, to be successfully submitted through SPEED-e.
2. n case of a corporate account having 5 authorised signatories and all are registered as SPEED-e users and the number of authorisations has been specified as three, then any three out of the 5 signatories can "authorise" the instruction, to be successfully submitted through SPEED-e.

At the time of registration for smart card based access, you will have to intimate to your DP, the Number of Authorisations (NOAs) that are required to execute an instruction along with the functional rights of 'Capture' or 'Authorise', to be assigned to each user. ('Capture' right allows the user to only 'Capture' an instruction while 'Authorise' right allows the user to both 'Capture' and 'Authorise' an instruction). While intimating the functional rights to the DP, you must ensure that there are as many users with 'Authorise' rights as the NOAs. e.g. if there are 5 authorised signatories who are registered as users and the NOA has been specified as 2, then it must be ensured that there are at least 2 users with "Authorise" rights. The other users may have either "Capture" or "Authorise" rights.

If there are three authorised signatories and the NOA has been specified as two, then there should be at least two users with "Authorise" rights and the other user may either have "Capture" or "Authorise" rights. If the NOA has been specified as three, then all three users should have "Authorise" rights, so as to successfully execute the instructions through SPEED-e.

Yes. The user should intimate to its DP regarding the change in the NOAs and the modifications in the functional rights of the users from 'Capture' to 'Authorise' or vice versa.

Yes. All users having a smart card based access to SPEED-e, can avail of this facility.

No. It is not mandatory for corporate accounts to opt for this facility. They can still have one authorised signatory who would be able to both 'Capture' as well as 'Authorise' Instructions.

No. An instruction once captured cannot be modified. If the person having the right to authorise finds any errors / discrepancies in the instructions already captured, he should not authorise such instructions and instructions which are not authorised will not have any effect. In such cases, the correct instruction will have to be captured and duly authorised.

The instruction should be authorised before expiry of the execution date or 15 days from the date of capture whichever is earlier. Instructions should be authorised in a timely manner so that the instructions are received by SPEED-e atleast one clear working day prior to the execution date. (e.g. if the execution date is on a Friday, the instructions must be received by SPEED-e atest by Wednesday). If the instructions are authorised late, the DP may execute the same on a best effort basis, at the risk of the concerned account holder.

Yes. As soon as the authorised signatory who has the right to authorise, logs on to SPEED-e using his User-Id, he would be alerted regarding the number of instructions pending for authorisation from the 'Pending Authorisation Summary' in the opening screen.

Yes. It can be disabled by intimating to the DP to put the NOA as one. All the Authorised Signatories / joint holders will have to sign the form intimating the change.

Freeze is a facility available in the NSDL system, which allows the demat account holder (Beneficiary) to freeze account(s) / ISIN(s) and / or specific quantity of securities under an ISIN by giving suitable paper based instructions. Unfreeze facility is for removal of the freeze applied.

Yes. NSDL has introduced this feature on SPEED-e, whereby smart card Clients can directly freeze/unfreeze their account(s) / ISIN(s) and / or specific quantity of securities under an ISIN by giving instructions through SPEED-e. You can freeze your account by 'Suspending for debit' or 'Suspending for debit and credit'. Freeze request executed by you through SPEED-e cannot be unfrozen by your DP.

Yes. You can freeze/unfreeze your demat account through your DP by giving necessary paper based instructions.

No. You can unfreeze your demat account frozen through SPEED-e, only through SPEED-e. To unfreeze an account frozen through SPEED-e, you must give necessary instructions through SPEED-e. Similarly, an account frozen through your DP cannot be unfrozen through SPEED-e.

If you are SPEED-e/IDEAS Client, then you have to apply to your DP for revocation of DSC (unique digital certificate embedded in the original smart card) issued to you for SPEED-e/IDEAS operation. You will also have to apply for issue of a new smart card, DSC and PIN to operate SPEED-e/IDEAS by following the steps mentioned in Answer to Q.4. You may also consider requesting your DP to suspend your SPEED-e/IDEAS in the interim period, as an added precaution.

If you are a Clearing Member who has subscribed to IDEAS, then you have to apply to NSDL for revocation of DSC (unique digital certificate embedded in the original smart card) issued to you for IDEAS operation.You will also have to apply for issue of a new smart card, DSC and PIN to operate IDEAS by following the steps mentioned in Answer to Q.14.

If you are SPEED-e/IDEAS Client, then you have to apply to your DP for revocation of DSC issued to you for SPEED-e/IDEAS operation. You will also have to handover your smart card to your DP and apply afresh for a new DSC. You will be able to use SPEED-e/IDEAS only after a new certificate is issued to you. You should initialize your smart card using PIN entry ‘1234’ before handing it over to the DP.

If you are a Clearing Member who has subscribed to IDEAS, then you have to apply to NSDL for revocation of DSC issued to you for IDEAS. You will also have to handover your smart card to NSDL and apply afresh for a new DSC. You will be able to use IDEAS only after a new certificate is issued to you. You should initialize your smart card using PIN entry ‘1234’ before handing it over to NSDL.

NSDL charges the DPs. DPs have their own charge structure for their Clients. You can contact your DP for charges. However, for freezing your account through SPEED-e, NSDL has advised the DPs not to charge more than Rs. 125/- per instruction.

Clearing Members have to pay an Annual subscription fee (inclusive of service tax) every financial year to avail IDeAS. Please contact NSDL for charges.

All transactions executed through SPEED-e are in a safe and secure environment as SPEED-e uses 128 bit SSL (Secure Socket Layer) technology. This ensures that the User communicates with an authentic Internet website set up by NSDL and confidentiality is ensured as the data exchanged over the Internet is encrypted. In addition, internal controls and procedures, put in place by NSDL make the entire system robust and virtually tamper-proof. The website also features firewall security, intrusion detection system and hardware redundancy to maximise the availability of service.SPEED-e also displays the date and time of your last visit so that you can check whether there was any unauthorised log-in. Following are the additional safety features:

• For Password Users: Debit instructions only in favour of pre-notified broker accounts who will be required to submit a consent letter that in case of any unintended / erroneous transfer(s), the broker will deliver the securities back to the User. Also stringent password norms viz; Alpha-numeric password, automatic expiry once in sixty days and disabling of login after three attempts due to wrong password entry, ensure additional safety.
• For Smart Card Users: Ultimate security lies in the hands of the User by safe keeping the Smart Card and secrecy of PIN. Smart Card-the hardware token and PIN-the remembered information, together provide "what you have & what you know" security. Digital Signature Certificate embedded on the Smart Card ensures User-Identification, authentication and non-repudiation of transactions executed on SPEED-e.

SPEED-e facility is protected by firewall. The facility uses authentication gateway for access authorisation. The system uses 128 bit SSL protocol for encrypted communication. The physical access to infrastructure is restricted to authorised personnel. Monitoring and logging systems are setup for access audit.

The robust security systems architecture of SPEED-e/IDEAS does not allow computer viruses to permeate the system so easily. This can be complemented with good discipline at the client side computing viz.; preventing unauthorised use of computing resources and use of latest anti-virus softwares.

It is advisable to work from your own computer. However, SPEED-e can be accessed from a public terminal / cybercafe as long as the computer meets with the minimum configuration. The Users must take necessary precautions like closing the browser after use, ensuring that your key strokes are not captured by a software which can be replayed after you leave the cybercafe and deleting the temporary Internet files. Smart Card Users will have to install the necessary software and smart card reader in the computer before using SPEED-e. After the use, you must remove the software and drivers that were installed for the smart card.

If you are Password User, go to "Change Service" option in SPEED-e menu and click on the check box for disabling any/all of the services. This will disable you from the service(s) you have opted for. If you are a smart card user go to "Change Service" option in SPEED-e menu and click on the check box for disabling any/all of the services. Based on your request, your DP will authorise the request for revocation.

You will be required to check whether your DP has subscribed to SPEED-e. If yes, you need to complete registration formalities with your DP and make an online request by clicking on the "Change Service" link and select SPEED-e option. Your DP will authorise your request after which you will be able to use SPEED-e.