InvestorQ : What is the use of reading the fine print of demat account
Nishant Chandani made post

What is the use of reading the fine print of demat account

Aditi Sharma answered.
3 years ago
Have you heard the old saying, “The devil lies in the details”? Don’t just sign your demat agreement without understanding what you are getting into. There is something called rights and obligations section in the demat account opening form. Familiarize yourself with the rules and regulations. Are you signing the auto credit? Are you signing for power of attorney? Every signature you make should be justified. Do you know your rights if you don’t get credit on time? You must also know your rights if your demat account has been wrongly debited with shares or with some costs. In a relationship with the DP, you are only bound by the DP agreement. So, lesson number one; read the fine print of your DP agreement. You normally have the sales guy sitting on your head to get your signature. Ask them to leave the DP agreement with your for a day and take time to read the fine print. Also, ask questions when required and where required. You must sign the agreement without reading the fine print and without the understanding your rights and obligations and your DP’s rights and obligations under various circumstances.