SEBI regulations require all investors to hold shares in demat form for transfers, sales, or succession. If you still hold old physical share certificates, convert them before they become inaccessible. ClaimMyFunds handles the complete dematerialisation process end to end.
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Quick answer: To convert physical shares to demat: open a demat account, submit a Dematerialisation Request Form (DRF) with your original certificates to your depository participant, who forwards them to the company's RTA — credit usually takes 15–30 days. If the certificate carries a deceased holder's name, a signature mismatch, or an old name, that issue must be resolved with the RTA first.
Since April 2019, SEBI has made it mandatory to hold shares in demat form for all transfers. Physical certificates are at risk of loss, damage, and are ineligible for trading or succession without conversion.
Demat shares cannot be lost, stolen, torn, or forged. They are held electronically with NSDL or CDSL — permanently secure.
Only demat shares can be legally transferred, sold on the stock exchange, or transmitted to heirs. Physical shares cannot be traded as per SEBI rules.
Demat shares are far easier to transmit to legal heirs after the death of a shareholder, without the paperwork burden of physical certificates.
The dematerialisation process involves your Depository Participant (DP), the company's Registrar and Transfer Agent (RTA), and the depository (NSDL or CDSL). ClaimMyFunds coordinates all three on your behalf.
If you do not already have a demat account, you must open one with a SEBI-registered Depository Participant such as Zerodha, HDFC Securities, ICICI Direct, Sharekhan, or any bank DP. We help identify the right DP based on your case.
The Dematerialisation Request Form (DRF or SH-8) contains details of your folio number, share certificate serial numbers, ISIN number, and quantity of shares. All entries must exactly match the physical certificate and RTA records. We review and prepare this form for you.
Physical share certificates must be defaced (marked "Surrendered for Dematerialisation") and submitted to the DP with the filled DRF form. The DP will not accept certificates without this defacement.
The Depository Participant logs the request in the depository system (NSDL/CDSL) and generates a DRN. This number is used to track the request through the RTA verification stage.
The RTA (such as KFin Technologies, Link Intime, or Bigshare Services) verifies the certificate details, shareholder KYC, folio records, and confirms to the depository. This is the most critical stage — any mismatch in name, signature, or address can cause delays. We coordinate with RTAs directly to resolve such issues.
After RTA confirmation, the physical certificates are destroyed and the shares are credited electronically to your demat account — typically within 15 to 30 working days from the date of DRN generation.
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Call +91 90818 47140| Feature | Physical Shares | Demat Shares |
|---|---|---|
| Can be Traded | No | Yes |
| Risk of Loss / Damage | High | None |
| Transfer After Death | Complex | Simpler |
| SEBI Compliant | Non-compliant for transfers | Fully compliant |
| Dividend Receipt | May be delayed / lost | Directly to bank |
| Bonus / Split Benefits | May be missed | Automatic credit |
Most conversion delays are caused by mismatch or documentation issues that require RTA intervention. ClaimMyFunds has resolved hundreds of such cases.
The shareholder's name on the certificate may differ from PAN or Aadhaar. Requires affidavit and name correction before demat conversion proceeds. Learn more
Signatures on old certificates may differ from current bank records. Notarized signature verification documents are required. Learn more
If shares were unclaimed for 7+ years, they may have been moved to IEPF. In such cases, an IEPF claim must be filed before demat conversion. IEPF Claim Help
Torn, faded, or mutilated certificates require special handling including affidavits and indemnity bonds before the RTA accepts them for dematerialisation.
If the company has been delisted, merged, or acquired, shares may still be recoverable under the new entity. ClaimMyFunds traces such historical corporate changes.
Physical shares in the name of a deceased person must first be transmitted to legal heirs before dematerialisation can proceed. Transmission help
Yes. ClaimMyFunds acts as an investor-side physical share agent — verifying certificates, resolving name or signature mismatches with the RTA, preparing the Dematerialisation Request Form, and coordinating until the shares are credited in demat form.
Yes. SEBI has mandated that no physical share transfer can take place after April 1, 2019. Physical shares can still be held but cannot be traded, sold, or transferred without first converting them to demat form. Failure to convert does not invalidate ownership, but makes the shares illiquid.
A standard conversion takes 15 to 30 working days from the date the DP submits the dematerialisation request. Cases involving name mismatch, signature mismatch, damaged certificates, or IEPF shares take longer — typically 2 to 6 months depending on the complexity and RTA processing speed.
If the original physical certificate is lost, you must first obtain a duplicate share certificate through an FIR, newspaper publication, and indemnity bond process, and then proceed with dematerialisation. ClaimMyFunds manages both the duplicate certificate process and the subsequent demat conversion.
Yes, but you must complete the transmission of shares first. The shares need to be legally transferred to the legal heir or nominee under the shareholder's estate. Once transmission is complete, dematerialisation can proceed normally. ClaimMyFunds handles both steps together.
The case review is completely free. Our service fee is charged only after successful dematerialisation of your shares. There are no advance charges. Call +91 90818 47140 to discuss your specific case and get an accurate estimate.
Our experts review your case for free and handle every step — DRF preparation, RTA coordination, and depository submission — until shares are credited to your demat account.