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How To Convert Physical Certificate Into Demat?

What is a share certificate?
A share certificate is issued to a shareholder as a receipt for his or her purchase and to represent ownership of a set number of shares in the firm. Physical share certificates are rarely issued in today's financial world, with digital records replacing them in the vast majority of situations.
Is it still possible to obtain real share certificates?
Non-listed shares can still be held in tangible form by investors. Even after April 1, 2019, they will be entitled to sell or transfer the shares as they see fit. You may, however, advise that your non-listed firm join NSDL so that those shares can be dematerialized and owners can profit.
Do you want to transfer a share certificate?
An Indian person can no longer deal in actual share certificates, according to union government regulations. The physical share certificates must be converted into a dematerialized (Demat) or electronic version by the investor. The Securities and Exchange Board of India (SEBI) has already announced this. This will make the process of purchasing, selling, and transferring a company's shares easier for investors. The processes for converting Physical Certificate shares into a Demat account are given.

How to transfer Physical Certificates Into Demat?
To convert Physical Certificate shares into Demat form, the first step is to create a Demat account. (You may learn how to create a Demat account here.)
The investor must send a request application which is known as the “Dematerialization Request Form” from the depository participant.
The investor must next correctly fill out the DRF with the essential information and sign it.
After completing the DRF, send it to the DP along with the physical share certificates.
When submitting the DRF, the investor must include the words 'Surrendered for Dematerialization' on the actual share certificates.
The DP will begin processing the request only when the investor has delivered the actual share certificates for dematerialization.
Your DP will then forward the request to the company's designated Registrar and Share Transfer Agent (RTA).
Following that, the request for dematerialization will be authorised, and the physical share certificates will be shredded. In addition, the investor's Demat account will be charged with the correct amount of shares.

Demat Account Importance
Demat accounts are widely recognized these days due to their ease of use and improved security. The Demat account is more secure since it is impossible to falsify or counterfeit dematerialized shares. Then you can request that the physical share certificate be converted into a dematerialized format. You may verify all the status and positions online using e-certificates, and it is a clear way for the state to trace all the shares purchased by an investor. Several Dps now provide free Demat account opening.

In this post, you have explored how you can transfer your share certificate to demat. MUDS Mangement provides a transfer of share service by which you can transfer or transmit your lost or misplaced shares in your demat without any difficulty. To know more you can explore our website.

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