To conveniently apply for an IPO through a broker, follow the procedures below:
- Sign in to your broker’s online account. You must register using your email and phone number if you don’t already have an online account.
- Go to the current IPO area by finding the IPO tab. From the current IPO list, choose the IPO’s name.
- Type in the number of stocks or the lot size that you want to bid on. Choose the bid price as well. Bidding at the cut-off price or the highest price at the top of the price range will boost your chances of getting an IPO allotment.
- In the following step, enter your UPI ID and click the Submit button. Your UPI app will need to approve the transaction before the exchange will accept your bid.
- Watch for the UPI app to notify you of the mandate. Up to the IPO allocation date, the application money will still be blocked.
Use Internet Banking to apply for an IPO by following the steps listed below:
- Use your login credentials to access your Internet Banking account.
- Look for and choose the ASBA (Application Supported by Blocked Amount) tab.
- Select the IPO from the list of IPOs by clicking on the “Apply IPO” option.
- Type the PAN and applicant name. Additionally, specify the price and bid quantity before clicking “Submit.” The bid will be accepted the same day if it is submitted before 2 PM on a workday. However, if you submit your bid after 2:00 PM, it will be considered the following day.
If applying for an IPO online makes you uncomfortable, you can also submit your application in person at the bank or brokerage business office that is most convenient for you. You must first complete an ASBA application and supply necessary KYC information. Following the allocation of shares, your funds will be frozen, and the invested amount will be deducted. For instance, only 1 lakh would be deducted from your bank account if you invested 3 lakhs and received shares worth 1 lakh.