If you are a newbie to the stock market and using Zerodha as your broker, you may have faced the cdsl authorisation process while trying to sell your stock holdings. It can be confusing for the first time, and we may not even remember things like the tpin we have from Zerodha at that time.
So, In this blog post, I will describe what is TPIN in Zerodha and how to generate, change, and use TPIN in Zerodha. So let’s get started.
What is tpin in Zerodha?
Zerodha is the number 1 discount stock broker in India, which serves a large number of customers. Zerodha is so popular because it charges low brokerage and provides maximum convenience to its customers. Zerodha also allows customers to use CDSL Tpin. Tpin is a six-digit code provided by Central Depository Services Limited (CDSL) to authorise the debit of securities from the Demat account with the CDSL depository.
The CDSL tpin was introduced on 1 June 2020 to stop the misuse of limited power of attorney (POA) given to brokers by customers. The CDSL tpin ensures easy and transparent transactions between customers and depository. The CDSL tpin provides a limited time of permissions given to Zerodha to withdraw the selected shares when selling them online. CDSL tpin is an alternative to the Power of Attorney (PoA) given to Zerodha while opening an account. TPIN allow Zerodha to sell the chosen shares from the customer’s Demat account with the depository when requested by the customer.
The Tpin facility is for non-POA customers, and it is a third-party service provided by Central Depository Services Limited. Customers who do not have a Zerodha PoA will receive a CDSL tpin when they open a Demat account with Zerodha. This tpin is sent to their registered mobile number and email address. Customers can generate new tpin or reset tpin on CDSL’s official website.
Zerodha being a depository participant with the CDSL means that the CDSL holds all the demat accounts opened with Zerodha. This means all securities, including shares, mutual funds, ETFs and others, are stored in the demat account with CDSL. The role of Zerodha is primarily to service the customer. It is important to note that Zerodha does not have account access by default. Access to Zerodha is provided only when the customer.
Why do we need Zerodha CDSL TPIN?
The Zerodha CDSL TPIN is needed to ensure the security of our trading activities. It is a personal identification number required to sell securities, convert sell orders to delivery orders, and provide margin benefits. It helps prevent unauthorised access and misuse of our accounts, offering extra protection for our investments.
How to generate Zerodha CDSL TPIN?
When you open a Demat account with a broker(Zerodha, Upstox, etc.), you will receive 6 digit TPIN from Central Depository Securities Limited (CDSL) on your registered email address and mobile number.
Still, if you don’t remember or find your CDSL TPIN on your email or mobile number, you can follow these simple steps to regenerate the TPIN:
- Visit the official CDSL website.
- Enter your BO ID (16-digit Demat Account Number) & PAN card number and click “NEXT“.
- Enter OTP received by register Email or Mobile Number.
- And You Will Receive TPIN in email and mobile number as “You have requested a TPIN to avail online DIS (e-DIS facility) for BOID – 1XX**********322. Following TPIN has been generated to avail CDSL’s e-DIS facility.”
- TPIN: XXX245
Note: You will require your Demat account number while generating TPIN.
How to change CDSL TPIN? (Reset TPIN)
The Zerodha CDSL TPIN is a 6-digit code that can be changed or reset anytime. The TPIN can be easily reset online using the official website of CDSL. Follow these easy steps to change the Zerodha CDSL TPIN:
1) Visit the official CDSL website and Go to the EDIS section.
2) You will find two options 1 for generating and 1 for changing TPIN; click on change tpin.
3) Enter your BO ID (16-digit Demat Account Number) And PAN card number and click NEXT.
4) Enter OTP received by Email or Mobile Number.
5) CDSL will send your TPIN to the registered mobile number or email ID used to send the OTP previously.
How to authorise Zerodha CDSL TPIN?
If you don’t have Zerodha PoA, you’ll need to authorize every ‘Sell’ order placed on Zerodha with CDSL TPIN. The Preauthorization/ Authorisation Process is as follows:
1) As shown below, a pop-up will appear when you ‘sell’ your holding stocks. And will ask for authorisation to trade.
2) Once you click on “Continue,” you’ll see the screen below.
3) “To select stocks you wish to authorise for selling, click on “manage authorisations” on this screen. With manage authorisations, you can select all your stock holdings to sell, so you don’t need to do this process multiple times. This authorisation is valid for one day, after which you will have to do the same process again.
4) Once you click on “Continue to CDSL,” It will open the CDSL page and ask you to enter your CDSL TPIN.
5) After successfully verifying TPIN, you can see a list of all the stocks selected to do authorized. Then to complete the authorisation, you must enter OTP sent by CDSL to your registered mobile and email address.
6) Once you have successfully verified OTP, you will see the confirmation message below.
7) And now you can sell the stocks on the kite platform.
What are the benefits of Zerodha CDSL Tpin?
The benefits of Zerodha CDSL TPIN are:
- Increased safety by eliminating the need for PoA.
- Easy management through the CDSL website to receive or reset TPIN.
- Third-party authentication by CDSL ensures security and prevents manipulation by Zerodha.
TPIN stands for Transaction Personal Identification Number. Once the investor or trader verifies the tpin with cdsl, they must authenticate transactions with OTP sent to register mail or mobile number by the CDSL.
I have discussed all aspects of TPIN in this post, so I hope you have a clear view of What is TPIN in Zerodha and how to generate it. Or if you want to change your CDSL TPIN, that is also clearly described in this post.
Keep in mind: For non-POA customers, the CDSL TPIN provides an additional security layer to prevent brokers from misuse of the Demat account. And managing CDSL TPIN is easy. Customers can easily change or generate the CDSL TPIN anytime by visiting the CDSL website.
Frequently Asked Questions
No, TPIN is not required for intraday trading.
The TPIN stands for - Transaction Personal Identification Number.
Yes, you can change your tpin anytime from the CDSL website.
TPIN is a six-digit code provided by CDSL to non-POA customers of brokers like Zerodha, Upstox, etc.