What is the minimum amount required to apply for an IPO?

The minimum amount depends on the IPO price band and lot size. Typically, retail investors need ₹10,000 to ₹15,000 for a single lot application.

Can I apply for an IPO without a Demat account?

No, a Demat account is mandatory to hold shares in electronic form. You need to open a Demat account before applying for any IPO.

What happens if my funds are blocked for an IPO?

The funds are blocked in your bank account and not debited. If you get allotment, the amount is debited. If not, funds are automatically unblocked.

Can I apply for an IPO through mobile banking?

Yes, most banks offer IPO application through their mobile banking apps. You can also use UPI-based trading apps for IPO applications.

How to Apply for an IPO (Step-by-Step Guide)

An IPO (Initial Public Offering) lets retail investors buy shares of a company when it goes public. Modern IPO applications in India are completely online — no paperwork, no cheques. You can apply through your broker trading platform or your bank's ASBA facility.

What You Need Before Applying

A Demat account (to hold shares)
A trading account or bank ASBA access
A valid PAN card linked to your bank account
A UPI ID (for UPI-based IPO applications)
Sufficient funds in your bank account

These are mandatory SEBI requirements for IPO participation.

Methods of Applying for an IPO

Apply via UPI (Trading App)

Select IPO on your trading app
Enter UPI ID linked to your bank
Choose bid price & quantity
Approve mandate request

✔ No charges
✔ Funds are blocked, not debited
✔ Mandate approval till IPO closing

Apply via ASBA (Bank Net Banking)

Login to net banking
Go to IPO / ASBA section
Enter bid & Demat details
Funds remain blocked

IPO Multiple Bids – Practical Example

IPO Price Band: ₹100 – ₹105

Bid	Number of Shares	Bid Price	Total Bid Amount
Bid 1	150	₹101	₹15,150
Bid 2	150	₹102	₹15,300
Bid 3	150	Cut-Off (₹105)	₹15,750

Which Bid Gets Considered for Allotment?

Final Issue Price	Eligible Bid
₹103 or higher	Bid 3
₹102	Bid 3 (higher quantity between Bid 1 & Bid 3)
₹100	Bid 2 (largest quantity)

Only one bid is finally considered for allotment, even if you place three bids.

How Much Money Gets Blocked?

Highest bid amount is blocked.
Blocked Amount in this example: ₹15,300 (Bid 2)

✔ Funds remain blocked until allotment
✔ Excess funds are automatically unblocked

Why Use Multiple Bids?

✔ Improve chances of allotment
✔ Participate at different valuation levels
✔ Optimize IPO strategy
✔ Reduce price mismatch risk

When Can You Apply?

IPO opens at 10:00 AMCloses at 4:30 PMPre-apply window does not affect allotment

Application Tips & Rules

Up to 3 bids allowed per IPOUPI mandate must be approved before closingOnly one application per PAN is allowed

Check Allotment Status

NSE IPO BSE IPO Registrar (KFintech)