What is the difference between the existing IPO process and the IPOSmart process?
In the existing IPO process, the physical application forms along with cheque are to be submitted with any of the Syndicate Members, who would bid with the stock exchange and deposit the cheques with the collecting banker to present the cheques in clearing. Hence, bid amount was debited from your account upfront. Under IPOSmart, the amount will be debited from your bank account to the extent of successful allotment at the time of allotment. Until such allotment, the amount will remain blocked in your Axis Bank account.
