What is Power of Attorney (POA) and why is it required?

When you open an online trading & demat account with any broker, they will always ask you for a physically signed POA. This is a very important document which will be required by your broker if you want to sell shares from your demat account.

TradingBells is both - a Broker (registered with all the major stock exchanges in India), as well as a Depository Participant (registered with both NSDL & CDSL). This is why you can open a trading as well as a demat account with us.

When you buy shares from the stock market, these shares are received by the broker in our Pool Account and then transferred to your own Demat Account. Similarly when you sell shares, we will have to debit (i.e. remove) these shares from your Demat Account and deliver it to the buyer. However, just like we cannot remove money from your bank account without your permission (which is usually given in the form of a cheque or online transfer), similarly we need your permission when we need to remove shares from your Demat Account. This permission can be given in either of the below two ways

DIS (Delivery Instruction Slip) - You have to fill a DIS every time you want to sell shares and send it to us in physical. Due to the inconvenience, this method is almost never used by anyone.

POA (Power of Attorney) - You authorise us to debit the shares from your Demat Account everytime you sell them in the market.

POA is mandatory for the online selling of shares and is required for smooth operation of your Demat account.

Not sending a POA would not restrict you from Intraday or F&O trading, also you will be able to buy shares. However you won't be able to sell them, so it is important to send the POA to us as soon as your account is activated to avoid unnecessary delays later.

If you haven't submitted your POA yet, you may do so by downloading the format here and sending it to us at the below address. For any queries, feel free to reach out to us on helpdesk@tradingbells.com or give us a call on 022-33756300

TradingBells, 4th Floor Dwarka Tower, 17 Jaora Compound, Indore (M.P.) - 452001
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