Punjab National Bank : Apply for ASBA

Organisation : Punjab National Bank
Facility :Apply for ASBA
Home Page : https://www.pnbindia.in/asba.html
Apply here :https://netpnb.com/

PNB Apply for ASBA

ASBA means “Application Supported by Blocked Amount”. ASBA is an application containing an authorization to block the application money in the bank account, for subscribing to an issue.

Related / Similar Service : PNB Parivar HRMS

If an investor is applying through ASBA, his application money shall be debited from the bank account only if his/her application is selected for allotment after the basis of allotment is finalized, or the issue is withdrawn/failed.

SCSB :
SCSB (Self Certified Syndicate Banks) is a bank, which is recognized as a bank capable of providing ASBA services to its customers.

How to apply in IPO through ASBA :
Investors can apply in any public/ rights issues by using their bank account. Investor submits the ASBA form (available at the designated branches of the banks acting as SCSB) after filling the basic details viz. name of the applicant, PAN number, demat account number, bid quantity, bid price and other relevant details, to their banking branch by giving an instruction to block the amount in their account.

Who can apply through ASBA facility :
SEBI has been specifying the investors who can apply through ASBA. In public issues w.e.f. May 1, 2010 all the investors can apply through ASBA. In rights issues, all shareholders of the company as on record date are permitted to use ASBA for making applications provided he/she/it
** is holding shares in dematerialized form and has applied for entitlements or additional shares in the issue in dematerialised form;
** has not renounced its entitlements in full or in part;
** is not a renouncee;
** who is applying through blocking of funds in a bank account with the Self Certified Syndicate Bank.

Applying through ASBA facility has the following advantages :
** The investor need not pay the application money by cheque rather the investor submits ASBA which accompanies an authorization to block the bank account to the extent of the application money.
** The investor does not have to bother about refunds, as in ASBA only that much money to the extent required for allotment of securities, is taken from the bank account only when his application is selected for allotment after the basis of allotment is finalized.
** The investor continues to earn interest on the application money as the same remains in the bank account, which is not the case in other modes of payment.

General Guidelines :
** From 01.01.2016, SEBI has made complusury that Investors applying in a Public Issue shall use only ASBA.

** ASBA can be submitted to the SCSB with which the investor is holding the bank account.
** Five (5) applications can be made from a bank account per issue.

** The entire bank account will not be blocked. Only the amount to the extent of application money authorized in the ASBA will be blocked in the bank account. The balance money, if any, in the account can still be used for other purposes.

** Investor can either fill up the physical ASBA form available with SCSB and submit the same to the SCSB or apply electronically/online through the internet banking facility (if provided by your SCSB).

** Investors need not necessarily have their DP account with the SCSB, where they are submitting the ASBA form.
** Investor can withdraw ASBA bids.

** i.During the bidding period he can approach the same bank to which he had submitted the ASBA and request for withdrawal through a duly signed letter citing your application number, TRS number, if any.

** ii. After the bid closure period, he may send withdrawal request to the Registrars before the finalization of basis of allotment, who will cancel the bid and instruct SCSB to unblock the application money in the bank account after the finalization of basis of allotment.

** If the withdrawal is made during the bidding period, the SCSB deletes the bid and unblocks the application money in the bank account.

If the withdrawal is made after the bid closure date, the SCSB will unblock the application money only after getting appropriate instruction from the Registrar, which is after the finalization of basis of allotment in the issue.

** Investors need not necessarily have their DP account with the SCSB, where they are submitting the ASBA form.