ASBA stands for Application Supported by Blocked Amount — a SEBI facility where your IPO application money stays blocked in your own bank account instead of being debited upfront. It's debited only if you're allotted shares; if you're not, the block is lifted and the money is simply usable again, with nothing to refund. On Rupeezy, you use its digital form, UPI-ASBA — you approve the block through a UPI mandate instead of filling a physical ASBA form at a bank branch.
Why does the money stay blocked instead of getting debited?
Before ASBA, applicants paid the full application amount upfront and waited for a refund if they weren't allotted shares (or were allotted fewer shares than they bid for). ASBA removes that wait: the bid amount is only marked as blocked in your bank account, still earns interest as your money, and is only pulled out on allotment day — for exactly the amount you're allotted, not a rupee more.
How does UPI-ASBA work on Rupeezy?
You enter a UPI ID on the IPO application form and approve the resulting mandate in your UPI app — that approval is what blocks the bid amount in your bank account. On allotment day, your bank debits only the allotted amount and unblocks the rest; if you get no allotment at all, the entire amount is simply unblocked.
Whose bank account does the money get blocked in?
- Individual accounts — any bank's UPI ID works, as long as it's registered in your own name; it doesn't have to be linked to the bank account on your Rupeezy profile.
- Joint accounts — the UPI ID must belong to the specific joint bank account linked to Rupeezy, and you must be one of its holders.
See "Can IPO bids be placed only through the UPI ID linked to the primary bank account at Rupeezy?" for the full rule.
Things to keep in mind
- ASBA isn't a separate payment step — it's why an IPO application never shows as a debit until allotment, only a block.
- Keep the bid amount available in the linked bank account until allotment is finalised; a block can't go through on an account that doesn't have the balance.
- UPI-ASBA support depends on your bank and UPI app, not Rupeezy — see "Which apps or banks currently support IPO applications through UPI ASBA?" if a UPI ID doesn't validate on the form.