APPLICATION SUPPORTED BY BLOCKED AMOUNT (ASBA) FACILITY IS AVAILABLE IN THE BANK?
ASBA is 'SIMPLE', 'SAFE' & 'SMART' way of Application?
ASBA is a supplementary process for applying in public issues. ASBA facility can be used for Initial and Follow-on Public Offers (IPO and FPO), Rights Issues, and Debt Issues. Under ASBA, funds will continue to earn interest during the application processing period, if held in an interest bearing account. Bank will mark a lien on the deposit account of the investor to the extent of the application money. The lien will be removed immediately after finalization of the basis of allotment. If bid is successful, the deposit account will be debited and the alloted shares will be transferred to the applicant's Demat account.
ASBA is a better way of applying to issues by simply blocking the fund in the bank account; investor will continue to enjoy interest in his account at contractual rate.
An Investor can apply through ASBA, provided he/she:
Most Important Terms & Conditions
1. An investor should be from the approved category as per SEBI guidelines. 2. An investor should maintain a Savings Bank or Current Account with Us. 3. An investor should have Demat account with any of the DP. 4. An investor should have Permanent Account Number (PAN). 5. An investor should have sufficient clear credit balance in the Savings Bank or Current account for application money?
Debt:- = => Multiple applications by a single investor are allowed. ==> An investor can withdraw the application during the bidding period but cannot modify the application. = = > An Investor can make 5 applications from a single deposit account in the name of different persons.?
==> A Retail Individual Investor (Individual, HUF, Trust, Employee or shareholder who applies up to200,000/-) can also modify, revise or delete the bid within the bidding period.
==> Investors from all other categories cannot withdraw / delete the application and can modify / revise the bid only for a higher amount.
==> Multiple applications by a single investor are not allowed, however an investor can make .5 applications from a single deposit account in the name of different persons.
For More On ASBA ,Contact your Nearest branch? :-
Click here For ASBA e-Forms of National Stock Exchange (NSE)
Click here For ASBA e-Forms of Bombay Stock Exchange ( BSE )