How To Apply For An IPO As A First Time Investor

Before You Apply: Confirm It Is Actually Open

Check the IPO section of your broker's app, or the IPO pages on the NSE or BSE websites directly, for the exact opening and closing dates and times of the specific issue you want to apply for. Confirm whether it is a mainboard or SME issue while you are there, since the minimum application size and bidding mechanics differ between the two, covered in more detail in our earlier IPO guide.

Deciding Your Bid: Lots, Price, And Up To Three Bid Options

Every IPO sets a fixed lot size, the minimum number of shares you can apply for, disclosed in the RHP and shown on your broker's application screen. Retail investors can bid at the cutoff price, letting the system automatically apply whatever the final issue price turns out to be within the band, or specify an exact price of their own within that band.

Fewer first time investors realize that SEBI allows up to three separate bid options, different price and quantity combinations, within a single application, a way to express a range of what you are willing to pay rather than committing to just one number. Whatever combination you choose, your total application value has to stay at or under Rs 2 lakh to remain classified as a Retail Individual Investor rather than moving into the Non Institutional Investor category.

Bidding Choice	What It Means
Cutoff price	You agree to pay whatever the final issue price turns out to be, anywhere within the band
A specific price within the band	Your bid is only filled if the final issue price is at or below your specified price
Up to three bid options	You can submit up to three different price and quantity combinations in one application, not just one

Submitting Through ASBA And UPI

Select the IPO on your broker's app, enter your UPI ID, choose your lot quantity and bid option, and submit. A mandate request then arrives in your UPI app, and it has to be approved before 5 PM on the closing day of the bidding window, not just submitted on your broker's app before that time. The mandate only blocks the application amount in your bank account, it does not debit it, and the block is released automatically if you are not allotted shares.

Changing Your Mind Before The Issue Closes

Retail investors can revise the quantity or price on an existing application, or withdraw it entirely, through the same broker platform, any time before the issue's closing date and time. Once the issue closes, no further changes are possible, and the application stands as it was last submitted.

Checking Whether You Got Allotted

Allotment is typically finalized within a few working days of the issue closing, and shares, if allotted, are usually credited to your demat account about a day before the stock actually lists. You do not need to wait for your broker's app to reflect this.

Every IPO has a designated Registrar, commonly MUFG Intime, the company formerly known as Link Intime following a 2024 rebrand, KFin Technologies, or Bigshare Services among others, and that registrar's own website lets you check allotment status directly using your PAN, application number, DP or Client ID, or bank account number and IFSC code.

Method	What You Enter
PAN	Your Permanent Account Number
Application number	Printed on your application acknowledgement
DP or Client ID	Your demat account identifier
Bank account number and IFSC	The account used for the blocked UPI mandate

One safety note worth taking seriously: fake allotment check links and messages circulating over SMS and WhatsApp around listing time are a real and recurring problem. Only use the registrar's official website, never enter your OTP, UPI PIN, or demat login details on a page reached through a forwarded link, and treat any message asking for these directly as fraudulent regardless of how official it looks.

The registrar's own website is the only place that actually knows whether you were allotted shares. A forwarded link promising the same answer faster is not a shortcut, it is the scam.

If You Are Not Allotted

Nothing further is required on your part. The blocked amount in your bank account is released automatically, on a timeline that varies somewhat by bank and broker but commonly runs within a few working days of the allotment being finalized.

If You Are Allotted

Shares appear in your demat account ahead of the listing date, and trading in the stock begins on the exchange from listing day itself. No claim process or further action is required to receive shares you have been allotted, they settle into your account the same way any other purchase would.

Note: Our earlier guide for first time IPO investors covers the background worth knowing before you apply at all: reading the RHP, how investor categories and reservations work, why the grey market premium is not a reliable signal, and how IPO gains are taxed. This piece goes further into the mechanics this guide only briefly touched: bidding options, changing an application before the issue closes, and actually checking whether you were allotted shares once it does.

Disclaimer: This article is for general informational purposes only and does not constitute investment advice. IPO application mechanics, bidding rules, and registrar assignments vary by issue and may change with future SEBI or exchange circulars. Allotment is never guaranteed, even in undersubscribed issues. Confirm current details on your broker's platform and the specific issue's designated registrar before applying, and consult a SEBI registered investment adviser for guidance specific to your situation.