I stopped trading in choice equity more than 1 year ago after I started trading in zerodha. My choice equity account still has shares of delisted companies. I didn’t transfer those shares to my zerodha account as I don’t want to spend dp charges and other charges required to transfer those shares. According to SEBI AMC for value of holdings up to Rs.50000 is NIL. Last year no AMC was deducted from my account. But today got sms from bse that my choice equity fund balance is Rs.-236. When I checked choice equity ledger I found that Rs. 236 is debited as AMC and balance is Rs.-236. Can they charge AMC if value of holdings is less than Rs.50000? Should i close the account after transferring those delisted shares? Will they file case against me if I don’t pay AMC?
The AMC is charged since you have more than 1 demat account.
You can check on this link for detailed info.
Thanks for your replay. I don’t intent to trade again using that account. Will they take action against me if I don’t pay AMC? Should I close that account after transferring all delisted shares?
Its always better to pay the amount as it can lead to interest charges for cash balance being negative(not sure about other broker).
In order to avoid any further AMC you can transfer it to Zerodha and maintain only 1 demat account.
It is only 300 odd rupees as amc charges for a year for such a valuable service like a demat account. Why think too much on saving such a small amount, considering how much money an average person is wasting away on junk food every day.