Full Service brokers have recently been launching investment kit which offers 3-in-1 accounts which includes – Savings account( normal bank account), Demat account( Depository account for you shares) and trading account(which allows you to trade in equity, F&O and Currency). The advantage these account provide are seamless integration between these 3 accounts making funds transfers and withdrawal a breeze apart from saving you the hassle to deal with multiple companies. This product is perfect for someone who is just starting to trade in Stock market.
3-in-1 Trading Account = Savings Bank Account + Equity Trading Account + Demat Account
Using these accounts, you can directly buy share without transferring the funds in your Demat account and they money would be directly debited from your linked bank account. Same way when you sell any shares, the money would automatically be credited to your bank account.
But these type of brokers are generally expensive and they brokerage they charge is in the range of .5% of traded volume. This makes the cost of trading pretty high with them but if someone is just starting to trade, these brokers can hold your hand and explain you things if you have any questions. They also provide investment advice and other reports which make it easier for new investor to trade.
The charges for opening these account which banks also advertise as investment Kit are for Axis Securities is Rs 1,275 for opening while Kotak charges Rs 750. HDFC provide the basic kit in Rs 499 while a premium account which provides value-added service like access to special reports, service to relationship manager cost Rs 1,300. Apart from this, there would be a yearly Demat account charge of Rs 400. So if you are interested in opening these account, make sure that you close your other Demat account else you would be charged for multiple demat account.
The account opening is pretty simple and you just have to fill couple of forms and provide documentations required for completing the KYC norms. The bank generally will send someone to your house to help you complete the account opening formalities.