Zerodha is a popular Indian brokerage firm offering investors online trading services. One of the unique features of Zerodha is that it allows minors to open trading accounts. This facility is known as the Zerodha minor account. In this article, we will discuss the various factors of the Zerodha minor account.

Zerodha minor account

A minor account is a trading account that is opened in the name of a minor, i.e., an individual who is under the age of 18 years. In India, minors are not allowed to enter into a contract, which includes trading in the stock market. However, with the Zerodha minor account, minors can participate in the stock market with the help of their parents or guardians.

To open a Zerodha minor account, the parent or guardian of the minor needs to open a regular trading account with Zerodha. Once the regular trading account is opened, the parent or guardian can then link the minor's account to their own account. This linkage is done to ensure that the parent or guardian can supervise the minor's trades and monitor their investments.

Documents required to open a minor account in Zerodha:

• Passport-size photographs of the minor and the guardian to attach to the applications.
• A copy of the minor's PAN was signed by the guardian.
• A self-attested copy of the guardian's PAN.
• Address verification
• An Aadhaar card, passport, bank passbook, or bank statement in the minor's name, signed by the guardian.
• For the guardian, any of the following Aadhaar, driver's license, passport, or voter ID, all signed by a guardian.
• A canceled cheque or the most recent month's bank statement for the minor's bank account.
• Any of the following minor documents: Birth certificate copy, school leaving certificate, Passport, and mark sheet issued by the higher secondary board.

Benefits of Zerodha Minor Account

The benefits of Zerodha’s minor account are as follows:

• Minors can learn about the stock market and investments at an early age with the help of their parents or guardians.
• The Zerodha minor account allows minors to invest in the stock market and potentially earn profits, with the profits being credited to their account.
• Parents or guardians can supervise the minor's trades and monitor their investments, ensuring that the trades are made based on sound research and analysis.
• Zerodha offers a range of educational resources for minors, such as webinars, articles, and videos, to help them understand the stock market better.
• The Zerodha minor account charges the same brokerage fees as regular accounts, so parents or guardians should consider the fees before placing trades on behalf of their minors.
• Trading in the stock market involves risks, and minors should not be allowed to trade without the supervision of their parents or guardians.
• The Zerodha minor account can be a great way for minors to develop sound financial habits and prepare them for their future.
• The Zerodha minor account is easy to open and links to the parent or guardian's account, making it accessible to a wide range of investors.
• The Zerodha minor account can be a great tool for parents or guardians to teach their children about money management and investment strategies.

Conclusion

Zerodha minor account is an excellent initiative that allows minors to learn about the stock market and potentially earn profits. However, parents or guardians should exercise caution while trading on behalf of their minors and ensure that the trades are made based on sound research and analysis. The Zerodha minor account can be a great way for minors to develop sound financial habits and prepare them for their future.

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