Why is a Power Of Attorney (POA) required?
Power Of Attorney (POA) is a limited level of permission that you give to your broker (in this case, us) to process your transactions with the exchange in a seamless manner.
A POA is required so that we can debit shares from your demat account and submit those to the exchange. It is this permission that enables us to process the selling of shares. Without it, we will not be able to debit shares from your demat account when you wish to sell them
At Upstox, you have the e-DIS (electronic-Delivery Instruction Slip) facility with which you can sell your shares online without having to courier a physical copy of the POA. Once you click SELL, you'll be prompted to give your permission to sell your shares. You can complete the transaction with the help of TPIN sent by CDSL on your mobile and email.
e-DIS facility is available only on Upstox platforms (Web, Android, iOS) and not on third-party platforms yet. Also, e-DIS is applicable for delivery trades and not intraday. You can sell up to Rs. 75 lakhs worth of stocks using e-DIS.
Here's a sample POA that you can take a look at before filling out the form.