A Power of Attorney (POA) is a legal document that authorizes a third party, typically a broker, to manage your Demat account on your behalf. With the advent of online trading, the traditional process of managing accounts became impractical, making the POA necessary for efficient account operations.
The POA allows the broker to debit shares from your Demat account and transfer them to the exchange when you sell shares. It is also used to pledge shares as collateral for margin trading in futures and options.
While a POA is not mandatory for buying shares or trading futures and options, it is typically required when selling shares or pledging them, particularly in an online trading environment.
Steps to follow for DDPI (alternative to POA) submission online:
Step 1: Log in to the mobile application.
Step 2: Click on "View Profile."
Step 3: Select the "Personal" section.
Step 4: Scroll down to the option "DDPI Activation."
Step 5: Provide your consent and enter the OTP.
After completing the above steps, the activation process may take up to 1 to 2 hours.
Steps to follow for DDPI (alternative to POA) submission offline:
Step 1: Print the DDPI Form on simple A4 size paper.
- Download DDPI Form
Step 2: Fill details on the 1st page: name, email id, mobile no and pan card no.
Step 3: On the second page, do sign at client - 1st holder.
Step 4: One witness signature and the witness detail is required in the witness column.
After completing the form, you can send the hard copy through speed post or courier at our registered address:-