Gift or Transfer Stocks, Mutual Funds & ETFs to Others at Zerodha: Zerodha the largest discount broker in India is now offering its customers to transfer or gift stocks, MF & ETF easily. In this post, I will explain to you the process of gifting Stocks to others at Zerodha.
Before start let me explain the traditional method of share transfer in brief. There is no such option to transfer shares online. To transfer shares you will have to fill delivery instruction slip (DIS) and then send it to your broker thus the transfer happens.
Recently CDSL introduced its e-DIS (Electronic delivery instruction slip) that helps Zerodha to build an easy and online way to transfer or gift Shares, MF & ETF.
If you are not a zerodha customer visit this post and open an account.
So let’s begin
How do I gift or transfer stocks at Zerodha?
You can gift or transfer stocks, ETFs, and gold bonds to friends and family through this process.
- Login to your Zerodha Console page and visit stock gifting page on Console.
- Enter Recipient’s Name, Phone No. & Email and click on “Continue”.
- Now select stocks which you want to gift and enter quantity.
- Click the “Confirm & send” button. The recipient will receive an SMS and email with the details of the gift.
- Now the recipient has to accept the gift from Zerodha Console. If the recipient doesn’t have a Zerodha account, he or she can open an account online and accept the gift. The gift request is valid for a period of 7 days within which the recipient has to accept the gift, else the request is canceled.
- If the recipient has accepted the gift, you will receive an email and SMS notification from Zerodha asking you to verify the details of the recipient and approve the stocks to be transferred from your Demat to the recipient using the CDSL TPIN.
- Thus the process is an off-market transaction so after approving the transfer using CDSL TPIN, you’ll receive an email and SMS from CDSL with this link to verify the transaction through an OTP. You will be required to enter your PAN or 16 digit DP ID and generate the OTP. The OTP verification has to be done by 8 PM on the same day.
- Once the transaction is successfully verified using the CDSL OTP, the stocks are transferred from your Demat to the recipient’s Demat account. The holdings will show up in the recipient’s account from the next day of the transfer.
Now, start gifting stocks, mutual funds & ETF to your loved ones.