How to Apply for IPO in India

A comprehensive guide to applying for IPOs via UPI apps and Net Banking (ASBA).

Prerequisites for Investing in IPO

Before you begin, ensure you have the following ready:

  • A Demat Account (with brokers like Zerodha, Groww, AngelOne).
  • A active UPI ID (Google Pay, PhonePe, BHIM) linked to your bank.
  • Sufficient funds in your bank account blocked for the application.

Method 1: Apply via UPI (Most Popular)

Using UPI is the easiest way for retail investors to apply for an IPO. Follow these steps:

  1. Login to Broker App: Open your trading app (e.g., Kite, Groww).
  2. Go to IPO Section: Find the 'IPO' tab usually in the 'Orders' or 'Discover' section.
  3. Select IPO: Choose the active IPO you want to apply for from the list. Check the IPO GMP before deciding.
  4. Place Bid: Enter the quantity (Lot size). Always select the 'Cut-off Price' to maximize allotment chances.
  5. Enter UPI ID: Type your VPA (e.g., yourname@oksbi) and submit.
  6. Approve Mandate: Open your UPI app. You will see a 'Mandate Request'. Approve it to block the amount.

Note: The money is not deducted immediately. It is only 'blocked'. It will be deducted only if you get the allotment.

Method 2: Apply via ASBA (Net Banking)

ASBA (Application Supported by Blocked Amount) is available via your bank's net banking portal (HDFC, SBI, ICICI, etc.).

  1. Login to Net Banking.
  2. Look for 'IPO' or 'e-Services' section.
  3. Select the IPO and enter your Demat Account details (DP ID).
  4. Enter bid quantity and price.
  5. Submit to block funds directly.

Tips for Higher IPO Allotment Chance

Since most good IPOs are oversubscribed, allotment is a lottery. Here are some tips:

  • Apply at Cut-off Price: Always tick the cut-off price option.
  • Avoid Last Minute: UPI mandates can delayed on the last day. Apply 1 day before closing. Check Close Dates.
  • Multiple Accounts: Apply via different family members' Demat accounts to increase probability (1 lot per account).

What happens after applying?

After applying, wait for the Allotment Date. You can check your status on our IPO Allotment Status page.