Applying for an IPO in India has become much simpler with the introduction of UPI-based ASBA (Application Supported by Blocked Amount). Whether you are a first-time investor or a seasoned applicant, this guide covers everything you need to know to successfully apply for an IPO in 2026.
What is ASBA?
ASBA stands for Application Supported by Blocked Amount. When you apply for an IPO via ASBA, the application amount is blocked (not debited) in your bank account. The funds are only deducted if you receive an allotment. This ensures your money earns interest until the allotment date.
Method 1: Apply via UPI (Recommended for Retail Investors)
- Open your broker app or stock trading platform (Zerodha, Groww, Upstox, Angel One, etc.)
- Go to the IPO section and select the open IPO you want to apply for
- Enter the number of lots you wish to bid for (minimum 1 lot for retail)
- Enter your UPI ID (e.g., yourname@okaxis, yourname@paytm)
- Submit the application — you will receive a UPI collect request
- Open your UPI app (PhonePe, Google Pay, Paytm, BHIM) and approve the mandate
- The amount gets blocked in your account — not debited
- Wait for allotment results (usually 6 days after IPO close)
Method 2: Apply via Net Banking (ASBA)
- Log in to your bank's net banking portal
- Navigate to "IPO Application" or "ASBA" section
- Select the IPO from the available list
- Enter your Demat account details (DP ID + Client ID or 16-digit Beneficiary Account)
- Choose the bid price and quantity (lots)
- Confirm — the amount is blocked automatically
Important Deadlines
| IPO Open Date | Day 1 of subscription (usually 3 days) |
| UPI Mandate Deadline | 5:00 PM on IPO close date (Day 3) |
| Allotment Date | ~6 days after IPO close |
| Refund / Unblocking | ~7 days after IPO close |
| Listing Date | ~8 days after IPO close |
Retail Investor Lot Limits
Retail Individual Investors (RII) can apply for a minimum of 1 lot and a maximum of ₹2 lakh worth of shares. This typically translates to 13–14 lots depending on the lot size and price band. Note: For SME IPOs, the minimum retail application is often ₹1–2 lakh per lot, so 1 lot itself may exhaust the retail limit.
Common Mistakes to Avoid
- Applying at cut-off price ensures you are eligible regardless of final issue price
- Always approve the UPI mandate before 5 PM on closing day
- Ensure sufficient balance in your account (the full amount must be available to block)
- Do not apply from multiple accounts of the same PAN — it leads to rejection
- Check whether the IPO is on NSE SME or BSE SME — the lot size differs
Pro Tip: Apply at cut-off price for book-built IPOs. This means you are willing to pay whatever price is discovered during the bidding process, giving you the best chance of allotment.