Dematerialisation of your holdings is not mandatory. You can hold your securities either in demat form or in physical form. You can also keep part of your holdings (in the same scrip) in demat form & part in physical form. However, a select list of securities announced by SEBI can be delivered only in demat form in the stock exchanges connected to NSDL.
Only securities admitted by depositories can be dematerialised.
Only securities registered in the name of the account holder can be dematerialised.
Dematerialisation is normally completed within 15 days after the share certificates have reached the issuer/ its R&T Agent. Thus it may take you a month from the date you hand over shares, to receive demat credit.
Dematerialisation would be done only when the issuer / its R&T Agent is satisfied of genuineness of securities & ownership status.
All the joint holders should sign the DRF.
In case of joint holdings, if the same set of joint holders held securities in different sequence of names, the securities can be dematerialised in the same account even though share certificates are in different sequence of names. For this purpose, Transposition-cum-Demat form should be submitted to the DP.
Demat requests with name(s) not matching exactly with the name(s) appearing on the certificates merely on account of initials not being spelt out fully or put after or prior to the surname, would be processed, provided the signature(s) of the client(s) on the DRF tallies with the specimen signature(s) available with the issuer / its R & T agent.
If the signature in the DRF does not match with the signature available with the issuer/ its R & T agent, the issuer/ its R & T agent may at the time of demat confirmation, ask for additional documentation (like bank attestation/ notarisation, etc.) to prove that the certificate belongs to the person who forwarded the DRF.
In case there is any problem in processing the DRF, contact your DP and if he cannot resolve the problem you may contact NSDL.