DDPI (Demat Debit and Pledge Instruction) is a digital service introduced by SEBI to streamline the process of debiting securities from a demat account and pledging them for margin requirements. It replaces the older Power of Attorney (PoA) method, offering enhanced security and control to investors.
Key uses of DDPI include:
- Transferring securities from the client’s demat account to Groww’s demat account when selling a stock.
- Pledging/re-pledging securities to meet margin needs.
- Debiting mutual funds during sales.
- Debiting shares when participating in tender offers.