What are Account Maintenance Charges in Zerodha?
Account Maintenance Charges (AMC), also known as annual maintenance charges, are fees that Zerodha, a reputable brokerage firm, imposes to maintain demat accounts. These fees guarantee the accounts’ proper operation and maintenance. Let’s explore AMC’s specifics and ramifications.
The AMC for various sorts of accounts is summarised in the table below:
| Type of Account | Annual Charges | Quarterly Charges |
|---|---|---|
| Individual, HUF, and partnership firms | ₹300 + 18% GST | ₹75 + 18% GST |
| NRI | ₹500 + 18% GST | ₹125 + 18% GST |
| Corporates, i.e. LLPs and private & public companies | ₹1,000 + 18% GST | ₹250 + 18% GST |
| IL&FS demat (accounts opened before 15th Sep 2015) | ₹400 + 18% GST | ₹100 + 18% GST |
It is crucial to remember that AMC is billed quarterly, which means it is assessed every 90 days starting from the date the account was opened. The funds are promptly taken out of your Zerodha account. Users can see the funds statement at console.zerodha.com/funds/statement to view the AMC.
The AMC for Basic Service Demat Accounts (BSDA) is established depending on the holdings’ value. The fees for BSDA are listed in the following table:
| Holding Value | Annual Charges | Quarterly Charges |
|---|---|---|
| Up to ₹50,000 | No AMC | No AMC |
| ₹50,001 to ₹2,00,000 | ₹100 + 18% GST | ₹25 + 18% GST |
| Above ₹2,00,000 | ₹300 + 18% GST | ₹75 + 18% GST |
BSDA accounts offer cheaper maintenance fees for accounts with modest holdings in order to encourage small investors.
To guarantee compliance and prevent any hiccups with their trading activity, it is advised for account holders to stay up to speed with the AMC fees and relevant information given by Zerodha.
Conclusion
Zerodha charges Account Maintenance Charges (AMC) for maintaining demat accounts. The fees are assessed on a quarterly basis and vary based on the kind of account. For efficient account management, Zerodha account holders must be aware of these fees and maintain knowledge.