As per circulars issued by the depositories, i.e., Central Depository Services Ltd (CDSL) dated April 5, 2021 and National Securities Depository Limited (NDSL) dated April 7, 2021, certain KYC attributes must be updated mandatorily before July 31, 2021. These include:
a)Name
b)Address
c)PAN
d)Valid mobile number
e)Valid email ID
f)Income range
If these details are not updated, then your demat account will be deactivated by the depository and will not be activated till you update these details. Prakash Gagdani, CEO, 5Paisa.com says, “If all the KYC attributes are not updated, especially the verification of mobile number and email ID, the demat account shall remain under ‘Pending for Activation’. It means that demat accounts will not be activated by depositories till all the KYC attributes are updated. In case of updation of mobile number and email ID, these will be verified before the demat account is activated.”
He adds, “If demat account cannot be activated, there would be hindrance in activating of trading account as well. Even if the client buys shares, the shares cannot be transferred to his demat account till the time KYC attributes are updated and verified.”
As per emails sent by the Stockholding Corporation to their clients, if KYC details with regards to PAN is to be updated, then one should ensure that their PAN is linked with Aadhaar in the income tax database. Similar emails have been sent to their clients by ICICI Bank Demat Services.
With regards to the income range, account holders have been asked to choose and specify as to which income range their income falls in from a list given in the email. The list of income ranges from which account holders have to choose, as per the email, are:
For individuals (annual):
a)Below Rs 1 lakh
b)Rs 1 lakh – Rs 5 lakh
c)Rs 5 lakh to Rs 10 lakh
d)Rs 10 lakh to Rs 25 lakh
e)More than Rs 25 lakh
For non-individuals (annual):
a)Rs 20 lakh
b)Rs 20 lakh to Rs 50 lakh
c)Rs 50 lakh to Rs 1 crore
d)More than Rs 1 crore
