Individual Investors Can Use UPI for IPO Payments up to Rs 5 Lacs

Securities and Exchange Board of India (SEBI) announced on Tuesday that Individual Investors applying for IPO can now use UPI for payments up to Rs 5 Lacs.

[{"selector":"#anim-698802cb-89d7-492b-a37a-82b5faa290db","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-90f36ef6-498a-4a7f-9207-de01758b6694","keyframes":{"transform":["translate3d(-117.37705%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ac4fd3ca-26c6-4cb1-ae87-d116ba5c42b2 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(48.46367580617478%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}]

Previously, the limit was set at Rs 2 Lacs, restricting individuals who wished to invest a large sum of money.

[{"selector":"#anim-db22120c-3b64-4af6-8940-a92f325f81cd","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-04a57863-60ba-4bf4-8cd9-88d8fd6a75f1","keyframes":{"transform":["translate3d(-117.37705%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f9abac00-2f0b-4751-99eb-b809ca301547 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(48.24275352722226%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}]

Investors will also be asked to submit their UPI ID in the bid-cum-application form submitted with syndicate members, stockbrokers, and depository participants.

[{"selector":"#anim-34ffa35b-9bd7-40d9-8dc3-3409f8724ce2","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2a74f497-2ddb-4d28-97ce-3bf38844064e","keyframes":{"transform":["translate3d(-117.37705%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1ad8f49b-586b-422a-b207-c1eb023370ff [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(34.18425315078391%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}]

The new guidelines will come into effect for public issues opening on or after May 1, 2022, SEBI said in a circular.

[{"selector":"#anim-337c4895-ad65-45cf-a139-50e26f09a254","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-7406b3c7-623e-4eef-890e-4eb4ab7cb0ab","keyframes":{"transform":["translate3d(-117.37705%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-94d18e4b-d376-4e1b-bb03-d6c19ddc56c1 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(46.24999988622574%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}]

In December 2021, NPCI raised the per transaction limit in UPI from Rs 2 lakh to Rs 5 lakh for UPI-based Application Supported by Blocked Amount (ASBA) in IPOs.

[{"selector":"#anim-9bd9c9c4-b2e4-40bb-8c22-a699746520b1","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9d9752ac-a057-4805-97c3-c247d3c5a0fd","keyframes":{"transform":["translate3d(-117.37705%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a9d53507-960d-4c9b-aace-a69c14a47031 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(31.240844612732676%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-f1befb9f-3d69-4ef8-81ed-9b2c5bd44959","keyframes":{"opacity":[0,1]},"delay":600,"duration":1000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] Source: TOI

The new announcement has come ahead of the Initial public offering of India’s largest insurance company LIC.

[{"selector":"#anim-b5b31efa-5100-450a-9d46-c9b759e74f30","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-c84bebae-701c-4e61-8cba-ef485805ff3a","keyframes":{"transform":["translate3d(-117.37705%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-daf825b9-8de8-4078-b316-263f40f0310c [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(28.593749914669296%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}]