1. Can I pledge dematerialised securities?
Yes. In fact, pledging dematerialised securities is easier and more advantageous as compared to pledging physical securities.

2. What should I do if I want to pledge electronic securities?
The procedure is as follows:

• Both you (pledgor) as well as the lender (pledgee) must have depository accounts;
• You have to initiate the pledge by submitting to your DP the details of the securities to be pledged in a standard format;
• The pledgee has to confirm the request through his DP;
• Once this is done, your securities are pledged
• All financial transactions between the pledgor and the pledgee are handled as per usual practice outside the depository system.

3. How can I close the pledge after repayment of my loan?
After you have repaid your loan, you can request for a closure of pledge by instructing your DP in a prescribed format. The pledgee on receiving the repayment will instruct his DP accordingly for the closure of the pledge.

4. Whether pledgee account can be in a different DP?
Yes. The pledgee can have an account with a different depository participant of NSDL.

5. Can I change the securities offered in a pledge?
Yes; if the pledgee [lender] agrees, you may change the securities offered in a pledge.

6. Who would receive the corporate benefits on the pledged securities?
The securities pledged are only blocked in the account of pledgor in favour of the pledgee. The pledgor would continue to receive all the corporate benefits.