How to Apply for an IPO Online via Zerodha (UPI & ASBA)
Introduction
Applying for an IPO through Zerodha is streamlined and secure. You can apply using two methods: the modern UPI‑based route directly via Kite/Console, or the traditional ASBA net‑banking method. This guide walks you through each step with screenshots, tips, and a detailed FAQ section so that both beginners and experienced investors can apply confidently.
Prerequisites: What You Need
- A Zerodha demat & trading account (active login via Kite or Console).
- A UPI 2.0‑enabled ID linked to your bank account registered under your PAN—only the applicant’s own UPI ID can be used .
- A bank account with net‑banking support offering ASBA (if using non‑UPI route).
- Sufficient funds (blocked via UPI mandate or ASBA).
- Familiarity with the IPO’s lot size and price band.
💡 Method 1: Apply via UPI using Kite Web or Console
Step 1 – Log in
Open kite.zerodha.com or launch the Kite app. IPO applications are submitted in Console, not Kite app itself for form entry—though Kite app lets you apply via the Bids section.
Step 2 – Go to IPO Section
In Console, navigate to Portfolio → IPOs, or in Kite app, tap Bids → IPO. A list of open and pre‑apply IPOs appears.
Step 3 – Select IPO & Review Details
Click on your desired IPO and view opening/closing dates, issue size, lot size, and Red Herring Prospectus (DRHP) info.
Step 4 – Enter & Verify UPI ID
Type your UPI ID and verify. The ID must correspond to your bank account—mismatched UPI leads to rejection.
Step 5 – Place Your Bid(s)
Enter bid quantity (must be multiple of lot size) and choose between Cut‑off price (if allowed) or a specific price within the band.
Step 6 – Submit & Accept Mandate
Tick to confirm you’ve read the issue details and submit. You’ll receive a UPI mandate to authorize a block on required funds. Accept it via your UPI app—this must be done before 5 PM on the closing day.
Step 7 – Checking Status & Allotment
After submission, you receive an SMS confirmation from the exchange. You can view bid status and allotment updates in Console/Kite. If shares are allotted, the blocked amount is debited and shares credited; else funds are released.
Method 2: Apply via ASBA using Net‑Banking (No UPI required)
If you prefer net‑banking or don’t have UPI:
- Log into your bank’s net‑banking portal offering ASBA.
- Locate the IPO or ASBA investment section.
- Enter Zerodha Demat details: 16‑digit Demat ID (found at console.zerodha.com/account/demat), Depository: CDSL, DP Name: Zerodha
- Place up to three bids (max blocked amount applies).
- Funds remain blocked until allotment. If allotted, amount debited; else released.
Pre‑Apply Window: Get Ready in Advance
Zerodha allows a “pre‑apply” one day before IPO opens. You can submit your bids early; the UPI mandate will be sent post 10 AM on the opening day. Allotment chances remain the same.
Special Cases
HNI Category (High Net-Worth Individuals)
Applications above ₹2 lakh fall under HNI. UPI can be used up to ₹5 lakh; above that, ASBA is mandatory. Note: cutoff price is not allowed for >₹2 lakh bids, and reductions in bid size post-submission aren’t permitted — only increases are allowed before the window closes at 4 PM on the last day.
NRIs Applying via Zerodha
NRIs can apply using NRE or NRO accounts linked to their PAN (but only one). Ensure PIS ledger is set up and verify using bank statements if required.
Advantages of Each Method
| Method | Advantages |
|---|---|
| UPI via Kite/Console | Simple, fast mandate acceptance, no need for bank special access |
| ASBA via Net Banking | Better for large amounts (>₹5 lakh), supports HNI or non‑UPI users |
Common Mistakes to Avoid
- Using wrong or unverified UPI ID (application gets rejected)
- Bidding in non‑multiples of lot size (bids invalid)
- Choosing cutoff price for HNI (>₹2 L) (not permitted)
- Placing bids after 4:30 PM on final day (may be delayed or rejected)
FAQs
Q1: Can I place multiple bids in one IPO?
Yes, up to 3 bids; the highest amount is blocked. In UPI, the highest of the three is processed
Q2: What if shares aren’t allotted?
Blocked funds are released; no deduction occurs.
Q3: How to modify or withdraw an IPO application?
Within retail category, you can delete or modify (reduce) before cutoff. But HNI bids (≥₹2 L) can only be increased—not decreased.
Q4: What is pre‑apply and should I use it?
Pre‑apply allows placing bids a day before open; mandate is sent on open day. It does not increase allotment chances, but ensures you’re ready early
Q5: Can I apply without UPI?
Yes, via ASBA from your bank’s net banking portal. Just enter your Zerodha demat details correctly
Conclusion
The Zerodha IPO application process is straightforward and investor-friendly. For most retail users, UPI via Kite or Console is faster and easier. HNI or large applications may be better served via ASBA. Make sure to follow bidding rules, verify your UPI, and accept mandate in time. With this guide, you’re well-prepared to apply confidently during your next IPO opportunity.
