Help with NRE PIS account transfer and fees


(jobugs) #1

I currently have a PIS account with ICICI Bank (jointly with my husband). I also have NRE and NRO Demat accounts with them. We are a U.S. citizens.

They have fees of
2500 per year for the PIS account
about 1300 a year for the four linked Demat accounts (PINs and nonPINS)
0.72% per trade

From my research, the cheapest option is a PIS account with Yes Bank (fees of 500 per year)

and demat accounts with Zerodha (a flat fee of Rs. 200 per trade).

I understand that Zerodha does not have a tie up with ICICI for PIS accounts.

What would be the procedure to accomplish this PIS transfer from ICICI to YEs Bank when I visit India? Would I be required to sell my shares? I don’t want to.

Are there any other brokerages with better options?

Any advice is much appreciated.


(Changu Mangu) #2

I believe as an NRI one cannot have multiple NRE PINS account with separate brokerages. At one time only one NRE PINS account is legally allowed. So to open an account with a new brokerage you will have to first close the currently open accounts. Do verify it as this as it is just my information which I am sharing in good faith.

No transfer is possible. With NRO PINS accounts one can do a sale and buy but you will pay the buy and sell transaction fees. It is possible to set up a sell from one account and a buy in another account only in NRO PINS wherein no one else can pick the stocks so you are not affected by the volatility. This depends on the value of the portfolio though if this support is expected from the broker.


(Jalal Funds) #3

I had NRE PINS account with Axis Bank and Trading Account with Sharekhan and then closed my NRE PINS and opened new NEW PINS, Trading and Demat Account with Canara Bank the charges are very reasonable(0.35% for Delivery and 600 Annual Charge for Demat. i am using this account almost 5 years overall service is poor but i trust them for long term stock holding ) for more information you can visit their website https://www.canmoney.in/nri-nonindivisual
and charges https://www.canmoney.in/Glossaryofcharges-NRIsPIO.PDF


(ajay patel) #4

I have NRI account with zerodha had tueup with axis bank and also with Hdfc…low brokerage n good experience.


(jobugs) #5

Thanks for all your inputs. After some calling around, I figured that the least expensive combination is PIS with Yes Bank (500 annual a/c maintenance plus 100 per contract) and Zerodha (200 per contract, 300 a/c maintenance).


(Yash Divecha) #6

Dear sir ,

As per your query i will sugest est to go Induaind bank they charges to low comapre to other bank also we introduce you brokrage house which the tie up with them they have the br.office n dubai they providing online trading platform along with dp service pls note the following detail

Pratibhuti Viniyog ltd.

mumbai office no. 912261485300 Mr. sunil
dubai office no. 97143915200 Mr. Prashant


(alim) #7

Dear jobugs,

How did you get Yes Bank information. I am also an NRI & was told by them that I need to be present in person to open demat account. If its OK with you please give me the contact details from where you get the Yes Bank information.

Thanks.
Alim


(jobugs) #8

I have messaged you with the details of the person who contacted me from YES Bank.


(jobugs) #9

It depends on your residency status when you had your first account. If you were not an NRI before, you would have to close your regular Demat account and start a new NRI account and a Portfolio Investment Scheme account as a pass through.

If you were an NRI, you can transfer both your PIS and Demat accounts. e.g. if I had a PIS account with Axis and an NRI Demat account with Angel Broking, and I want both to be transferred to ICICI, they list the procedure as follows:

http://content.icicidirect.com/nrifaq.asp#a32

7.2
What if I want to switch my exiting NRE and NRO account under PINS to ICICI Bank?

In such a case, you need to close your investment activities through existing NRE and NRO account and open new accounts with ICICI Bank. You need to apply to your existing designated bank to issue the necessary ‘no objection certificate’ which would give details of the latest status of your portfolio as on the date of the issue of ‘no objection certificate’.

The ‘no objection certificate’ issued by your existing bank along with previous approval document in original should be submitted to ICICI Bank. Based on the securities, cost of acquisition and date of acquisition mentioned in the certificate, ICICI Bank will create record of your portfolio in its books.

ICICI bank would open your NRE and/or NRO accounts, but the same shall be designated as accounts under the Portfolio Investment Scheme only after receipt of the ‘no objection certificate’.

7.3
What is the previous approval document?

If you an existing PIN relationship with any other Bank in India, you would have already an approval from RBI for the same. This permission/approval would have been taken by your bank on your behalf. Such permission or approval is referred as previous approval document.

7.4
Do I need fresh approvals under PINS after switching from existing bank to ICICI Bank?

Yes, you need to have fresh approvals, as the earlier approvals will no longer be valid. ICICI Bank itself would issue the necessary approval in this regard and you need not fill in any separate request/application for the same.

7.5
What if I already have a Demat account with other Depository Participant?

To avail of the advantage offered by the integration of the brokerage, Bank and the Demat account, all the three accounts will have to be opened with ICICI group. You can transfer your holdings from these accounts to the new Demat accounts opened with ICICI Bank.


(Raviraj) #10

Hi Jobugs,

My suggestion is don’t get carried away by low brokerage if your portfolio is considerably large, then better go with a bank that also provides demat & trading facility so that there will be less delays in funds transfer.
If you wish to transfer the demat & trading to another bank/broker then you can inform ICICI Bank and get a NoC certificate from them and transfer all the stocks to the new demat account. There is no need to sell the shares provided the name in the account (i.e., 1st & 2nd account holder) pattern is still the same in the old & new account.

If you’re trading frequently then better go for a discount broker like Zerodha though I’d still prefer to keep the major stock holdings with a bank rather than a broker.

Thanks.


(caravishah) #11

I have used YES Securities services …

Pathetic customer service 4 NRIs. RMs are sloppy (unanswered calls, no call backs, turnaround after 2-3 reminders, limited knowledge about processes - they have check for every small questions you may have).

Most IMP - they do not have option to link multiple brokerages with their PIS (i.e. only 1 brokerage ac can be linked with their PIS).

1 more thing - A/c opening will be smooth (their people come to you and do everything) but A/C closing is a nightmare experience.

Just wanted to share my bad experience so that people can choose wisely.


(Surendra) #12

Which bank allows to link the PIS account to more than one brokerage ?


(caravishah) #13

Surendra - I’m not aware of it.

My RM at YES Sec says it is allowed per RBI/SEBI rules and other banks are providing but we are not providing.


(Mohammed Rehan) #14

HDFC allows in case of NRO. Don’t know about NRE.


(ap1010) #15

Hi Jobugs, Do you know if zerodha provides investing in MF for NRI.


(jobugs) #16

Not sure. As far as I know they don’t. This is what I found online:

https://support.zerodha.com/category/mutual-funds/understanding-mutual-funds/articles/can-nris-invest-in-coin