Do you still hold old paper share certificates? If yes, it’s time to convert physical shares to demat before they lose their value. The Securities and Exchange Board of India (SEBI) now mandates that all trading and transfer of shares must happen in dematerialized (Demat) form.
At Share Claimers, we specialize in helping investors and legal heirs convert physical shares to demat quickly and securely. In this guide, we’ll explain the complete process, required documents, and benefits — all in a simple, step-by-step format to make the conversion process smooth and hassle-free.
What Does It Mean to Convert Physical Shares to Demat?
To convert physical shares to demat means changing your traditional paper share certificates into electronic form. Dematerialization (or “Demat”) eliminates the need for physical certificates and allows you to hold and trade your shares digitally through a Depository Participant (DP).
Earlier, shareholders received paper certificates as proof of ownership. However, paper shares can be easily lost, damaged, or forged. In the demat form, shares are held electronically in your Demat account, making transactions faster, safer, and more reliable.
Share Claimers helps you complete the process accurately, ensuring all documents are verified and accepted by the concerned company’s registrar or depository.
Why Should You Convert Physical Shares to Demat?
Converting physical shares to demat is not just a choice anymore — it’s a necessity. Here are the top reasons why you should make the switch today:
- Mandatory by SEBI: You cannot sell or transfer physical shares unless they are in Demat form.
- Eliminates Risk of Loss or Damage: Paper certificates can be misplaced or torn; demat shares are 100% secure.
- Faster Transactions: Buying or selling shares becomes instant and online.
- No Paperwork Hassles: You don’t have to deal with lengthy transfer forms or delays.
- Easy Portfolio Tracking: You can monitor all your investments in one place digitally.
At Share Claimers, we ensure your physical shares are converted to demat with minimal effort and maximum accuracy.
Step-by-Step Process to Convert Physical Shares to Demat
If you’re wondering how to convert physical shares to demat, here’s a simple breakdown of the entire process.
Step 1: Open a Demat Account
The first step is to open a Demat account with a registered Depository Participant (DP) such as NSDL or CDSL. This account will hold your shares electronically.
You’ll need to submit:
- PAN card and Aadhaar card
- Passport-size photographs
- Bank account proof
Once your Demat account is active, you can begin the conversion process with Share Claimers’ expert assistance.
Step 2: Fill the Dematerialization Request Form (DRF)
After opening your Demat account, fill out the Dematerialization Request Form (DRF) provided by your DP. You must fill separate forms for each company’s shares.
Attach your original physical share certificates with the DRF and mark them as “SURRENDERED FOR DEMATERIALIZATION.”
Our team at Share Claimers helps you correctly fill the DRF to avoid rejection or discrepancies.
Step 3: Submission to Depository Participant (DP)
Once you’ve filled the DRF and attached the share certificates, submit them to your DP. The DP will verify the documents and send them to the Registrar and Transfer Agent (RTA) of the concerned company for validation.
Share Claimers coordinates directly with the RTA on your behalf to ensure all details are correct and the process moves forward smoothly.
Step 4: Verification by the Company or RTA
The RTA cross-verifies your application and physical certificates with company records. If everything matches, the RTA approves the dematerialization request and confirms it to your DP.
This verification ensures that the shares you hold are genuine and legally issued in your name.
Step 5: Credit of Shares to Demat Account
After successful verification, the physical share certificates are cancelled, and an equivalent number of shares are credited to your Demat account.
You’ll receive a confirmation from your DP once the process is complete. From that moment, your shares exist only in electronic form — secure, accessible, and easy to manage.
Share Claimers ensures that your entire dematerialization process is completed without delays or document errors.
Documents Required to Convert Physical Shares to Demat
To convert physical shares to demat, you must prepare the following documents:
- Original physical share certificates
- Dematerialization Request Form (DRF)
- PAN card and Aadhaar card
- Client Master Report (CMR) of your Demat account
- Bank account proof (cancelled cheque or passbook copy)
- Signature proof (to match with company records)
If there are name mismatches or joint holder discrepancies, Share Claimers assists in resolving them through affidavits or name correction documents.
How Long Does It Take to Convert Physical Shares to Demat?
The typical time frame to convert physical shares to demat is around 15 to 30 working days, depending on document accuracy and company verification speed.
At Share Claimers, we monitor your request throughout the process and keep you updated at every step until the shares reflect in your Demat account.
Common Challenges During Conversion
While the process sounds straightforward, many investors face challenges such as:
- Lost or misplaced share certificates
- Signature mismatch with company records
- Unlisted or delisted companies
- Joint holder issues
- Name change due to marriage or legal update
Share Claimers specializes in resolving these complex issues through legal documentation, duplicate certificate recovery, and direct coordination with RTAs and companies.
Benefits of Converting Physical Shares to Demat
Here’s why it’s wise to convert physical shares to demat today:
- Complete Safety: No risk of theft, damage, or loss.
- Easy Access: Track and manage all shares from your mobile or computer.
- Paperless Transactions: No need for transfer deeds or manual verification.
- Faster Settlement: Instant credit and transfer of shares during trade.
- Better Liquidity: Easily sell your shares on stock exchanges anytime.
With Share Claimers, you gain expert assistance and peace of mind throughout the dematerialization journey.
Role of Share Claimers in Dematerialization
Share Claimers is a trusted name in India for helping investors recover and dematerialize old or unclaimed shares. We provide:
- End-to-end guidance on the demat process
- Document verification and correction support
- Assistance with duplicate share certificates
- Legal support for transmission or name change cases
- Coordination with companies and RTAs
Our experienced professionals ensure that your physical shares are converted to demat efficiently and legally, saving you time and effort.
Conclusion
The decision to convert physical shares to demat is not only a regulatory requirement but also a smart financial move. It safeguards your investments, simplifies management, and provides instant liquidity when needed.
At Share Claimers, we understand how valuable your old shares are. Our expert team ensures that every step of the dematerialization process — from form filling to final approval — is handled with precision and care.
