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How to apply for LIC IPO using UPI? March 02 2022LIC IPO Updates

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How to apply for LIC IPO using UPI?

With LIC IPO fever gripping the country, many retail investors are looking to get in on the action. One of the ways retail investors can bid for shares in the IPO is to use their Unified Payment Interface (UPI) ID. The UPI mechanism is exclusively available to retail investors, eligible workers, and eligible policyholders, according to the LIC DRHP filed with SEBI.

As a payment option you can use your UPI ID to apply for an IPO. Simply instruct your broker to submit the IPO application using your UPI ID.

Eligible policyholders bidding in the Policyholder Reservation Portion can use the Applications Supported by Blocked Amount (ASBA) and the UPI Mechanism. Before submitting bids using the UPI Mechanism, retail investors must first authorize the UPI mandate request.

Investors must use their own bank account linked to their UPI ID, which must be UPI 2.0 recognized by the National Payments Corporation of India (NPCI).

What is UPI and how does it work?

The Unified Payments Interface (UPI) is a system that integrates several financial services, smooth fund routing, and merchant payments into a single mobile app (of any participating bank). It also takes care of "Peer to Peer" collection requests, which can be scheduled and paid as necessary and convenient.

"According to LIC DRHP, bidding using the Unified Payment Interface Mechanism "ensures that the contents of the Bid are evaluated and confirmed by accessing the attachment in the UPI Mandate Request and then proceeding to authorize the UPI Mandate Request using his or her UPI PIN."A RIB, Eligible Employee, and Eligible Policyholder Bidding through UPI Mechanism shall be deemed to have verified the attachment in the UPI Mandate Request containing the RIB, Eligible Employee, and Eligible Policyholder Bidding through UPI Mechanism application details and agreed to block the entire Bid Amount and authorized the Sponsor Banks to issue a request to block the Bid Amount specified in the UPI Mandate Request after authorizing the mandate using his/her UPI Mandate.

How to use UPI to bid on IPO shares?

Here's how it works,

Step 1: Fill out the IPO application form with your UPI ID and submit it.

Step 2: A fund block request will appear in your Google Pay app.

Step 3: Approve the request to use the Google Pay App to block the amount for the IPO.

Step 3: The funds will be held in your bank account until they are allotted, at which point they will be debited. Rs 2 lakh per UPI transaction is the maximum amount for an IPO application.

The following are the Do's and Don'ts to follow when bidding for an IPO using UPI, according to the LIC DRHP:

·         Do not use a third-party bank account or a UPI ID linked to a third-party bank account to complete the Bid Cum Application Form.

·         In the event of Bids submitted by RIBs using the UPI Mechanism, do not link the UPI ID to a bank account maintained with a bank that is not UPI 2.0 certified by the NPCI.

·         If RIBs are bidding using the UPI Mechanism, do not submit more than one Bid cum Application Form for each UPI ID.

·         If you are a RIB, Eligible Employee, or Eligible Policyholder bidding through the UPI Mechanism, do not submit incorrect DP ID, Client ID, PAN, or UPI ID details.

·         Investors that use the UPI Mechanism should only mention the Bidder's and the first Bidder's valid UPI IDs (in case of joint account.)

·         To apply for the Offer, they must utilize only their own ASBA Account or bank account linked UPI ID, and not the ASBA Account or bank account linked UPI ID of any third party.

Blog Enquiry

Prevent Unauthorized Transactions in your demat and trading account --> Update your Mobile Number/Email id with your Depository Participant and Stock Broker. Receive alerts on your Registered Mobile for all debit and other important transactions in your demat/trading account directly from CDSL and Stock Exchanges on the same day.........issued in the interest of investors...

1. Stock Brokers can accept securities as margin from clients only by way of pledge in the depository system w.e.f. September 1, 2020.

2. Update your Mobile Number & Email Id with your Stock Broker/ Depository Participant and receive OTP directly from Depository on your Email Id and/ or Mobile Number to create pledge.

3. Pay 20% upfront margin of the transaction value to trade in cash market segment.

4. Investors may please refer to the Exchange's Frequently Asked Questions (FAQs) issued by NSE vide. Circular No. NSE/INSP/45191 dated: July 31, 2020 and NSE/INSP/45534 and BSE vide Notice No. 20200731-7, dated: July 31, 2020 and 20200831- 45 dated: August 31, 2020 and dated: August 31, 2020 and other guidelines issued from time to time in this regard.

5. Check your Securities/ MF/ Bonds in the Consolidated Account Statement issued by NSDL/ CDSL every month.


  • 9 out of 10 individual traders in equity Futures and Options Segment, incurred net losses.
  • On an average, loss makers registered net trading loss close to ₹ 50,000.
  • Over and above the net trading losses incurred, loss makers expended an additional 28% of net trading losses as transaction costs.
  • Those making net trading profits, incurred between 15% to 50% of such profits as transaction cost
"As per the directives of CDSL and esteemed Exchanges, it has been made mandatory for every client to furnish their latest KYC details viz. Valid Mobile No., Email- Id & Income range on or before 31.05.2021 else your Account will be marked as Non Compliant and will be Freezed till the compliance of such requirement."
"No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorize your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account."
"KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary."
Dear Investor if you wish to revoke your un-executed eDis mandate, please mail us with ISIN and quantity on by today EOD."

INDIRA SECURITIES PVT.LTD. (SEBI REG.NO.):NSE TMID: 12866, BSE TMID: 663, CDSL DPID: 17000 SEBI REG. NO.: INZ000188930, MCX TM ID: 56470, NCDEX TM ID: 01277, CDSL REG. NO.: IN-DP-90-2015, CIN : U67120MH1996PTC160201




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