Linking TWO Demat Accounts with ONE SB Joint Account

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K V Subba Rao (Querist)
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19 April 2008 At present, I have (a) two seperate Demat Accounts with ICICIDIRECT, first one in my name and the second one in my spouse's name and (b) two seperate Savings Bank accounts, first one in my name and the second one in my spouse's name. I am primarily operating SB Accounts for the limited purpose of applying for IPOs etc.

I have seen a news item according to which ICICI Bank will hike the minmum Average Quarterly Balance (AQB) from present Rs 5000 to Rs 10000 from Jul 08 onwards

So I now propose (a) to continue two seperate Demat Accounts (b) to close SB account in the name of my spouse and (c)convert the SB account now in my name as Joint Account with my spouse on either or survivor basis.

It appears as though ICICIDIRECT does not permit such arrangement. Could you pl. suggest alternaive courses of action available.

R.V.RAO

R.V.RAO (Expert)
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19 April 2008 AS LONG AS YOUR JOINT BANK ACCOUNT SERVES THE PURPOSE OF THE BANK FOR DR. OF YOUR DEMAT SERV. CHARGES / AMC ETC...,THE BANK CANNOT OBJECT TO YOUR CLOSING ONE S.B AND OPERATE THE JOINT S.B A/C FOR BOTH DEMAT ACCOUNTS .
THE BANK OBJECTION ( YOU BETTER ASCERTAIN WHAT EXACTLY IS THE OBJECTION ) COULD BE THAT NAME OF DEMAT HOLDER BEING SINGLE,HOW CAN BANK DR. JOINT S.B A/C? BUT THIS IS A SILLY OBJECTION.
IT IS ALSO POSSIBLE FOR YOU (IT IS ONLY A SUGGESTION) TO MAKE THE DEMAT A/C JOINT BY TRNSFR. OF ALL SPOUSE SHARES TO YR. DEMAT A/C AS YOU ARE NOW PAYING TWO A.M.C CHARGES FOR TWO DEMAT ACCOUNTS.
R.V.RAO

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