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NISM Certifications · NISM-Series-VI: Depository Operations · Functions of Depository Participant - Account Operations

A BO wishes to change the address recorded in his demat account. Which approach is most consistent with DP procedures?

The BO should submit a written request with valid proof of the new address, and the DP verifies it with the original document before updating records. A mere verbal request is not enough, the registrar does not make this change, and the BO need not close the account.

  1. ASubmit a request with proof of the new address, and the DP verifies it against the original document before updating the recordsCorrect
  2. BThe DP may change the address on a verbal request over the phone without documents
  3. CThe change can only be made by the issuer company registrar
  4. DThe BO must close the account and open a new one

Explanation

Change of address requires a written request along with valid proof of the new address, which the DP verifies against the original before updating its records and the depository system. A verbal request is not adequate, the registrar does not update DP records, and closing the account is unnecessary.

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