How does one know that the DP has updated the account after each transaction?
The DP gives a transaction statement/holding statement periodically, which will contain details of current balances and various transactions made through the depository account. DP may provide the transaction statement at intervals shorter than the stipulated ones at a cost.

At what frequency will the investor receive his Transaction Statement from his DP?
DPs have to provide transaction statements to their clients once in a month, if there are transactions and once in a quarter, if there are no transactions. Moreover, DPs can provide transaction statement in electronic form under digital signature subject to their entering into a legally enforceable arrangement with the Beneficiary owners (BOs) to this effect.

What is to be done if there are any discrepancies in transaction statement?
In case of any discrepancy in the transaction statement, one can contact his/her DP. If the discrepancy cannot be resolved at the DP level, the aggrieved investor should approach the Depository (NSDL or CDSL).

Who should one contact in case of any investor complaint / problem / query?
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. i.e NSDL and CDSL. If one is not satisfied, one may approach SEBI. One may also approach SEBI directly.

What is the procedure for selling dematerialised securities?
The procedure for buying and selling dematerialised securities is similar to the procedure for buying and selling physical securities. The difference lies in the process of settlement of shares i.e. delivery (in case of sale) and receipt (in case of purchase) of securities.

Following procedure is followed for settlement:

In case of purchase:-

1. The broker will receive the securities in his account on the payout day from the clearing corporation of the stock exchange.
2. The broker will give instruction to its DP to debit his account and credit investor’s account who has bough the shares.
3. Investor will give ‘Receipt Instruction to DP for receiving credit by filling appropriate form. However one can also give standing instruction for credit of securities in his account, which is convenient way of receiving shares as that will obviate the need of giving Receipt Instruction every time.

In case of sale:-The investor will give delivery instruction to DP to debit his account and credit the broker’s account with correct ISIN of the number of securities sold by him. Such instruction should reach the DP’s office at least 24 hours before the pay-in as other wise DP will accept the instruction only at the investor’s risk. DP will debit his account and credit the account of the broker through whom shares have been sold. The broker would then transfer the shares to the clearing corporation of the exchange where shares have been sold.

What is ‘Standing Instruction’ given in the account opening form?
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 investors, facility of ‘standing instruction’ is given. If you say ‘Yes’ for standing instruction, you need not submit ‘Receipt in’ slip every time you buy securities. Hence all credits to your account would be automatically facilitated for your convenience.