https://v2.webnotes.in/tags/power-of-attorney/Recent content in Power of Attorney on WebNotesHugoen-INTue, 12 May 2026 00:00:00 +0000https://v2.webnotes.in/how-to-convert-poa-to-ddpi/Tue, 12 May 2026 00:00:00 +0000https://v2.webnotes.in/how-to-convert-poa-to-ddpi/<p>This guide explains how to transition an existing Power of Attorney (PoA) registered with Zerodha to the Demat Debit and Pledge Instruction (DDPI) introduced by SEBI in 2022, covering the regulatory background, the practical differences between the two instruments, and the specific steps on Zerodha&rsquo;s Console platform.</p> <aside class="callout callout--key" role="note"> <strong class="callout__label">Prerequisites</strong> <div class="callout__body"><ul> <li>A Zerodha account opened under the old PoA framework (accounts opened before September 2022 may have a PoA on file; accounts opened after that date use DDPI by default).</li> <li>Access to the Aadhaar-registered mobile number to complete the Aadhaar e-sign.</li> <li>No physical documents are required for the PoA-to-DDPI conversion; the entire process is done online through Console.</li> <li>Understand the difference: the PoA granted Zerodha broad authority over the demat account (including off-market transfers in some older versions), while the DDPI is a more restricted standing instruction limited to delivery sell settlement, margin pledge, and buyback/OFS tender. The DDPI is more protective of the client&rsquo;s interests.</li> </ul> </div> </aside> <hr> <h2 id="step-by-step-procedure">Step-by-step procedure</h2> <h3 id="step-1-understand-the-poa-to-ddpi-transition">Step 1: Understand the PoA-to-DDPI transition</h3> <p>The older PoA framework was introduced by brokers as a mechanism to simplify the debit of securities for sell order settlement. Without a PoA or DDPI, each debit requires a separate Electronic Delivery Instruction Slip (eDIS) authorised by the client.</p>https://v2.webnotes.in/poa-to-ddpi-transition/Mon, 11 May 2026 00:00:00 +0000https://v2.webnotes.in/poa-to-ddpi-transition/<h2 id="overview">Overview</h2> <p>For most of the history of modern Indian securities markets, brokers obtained a power of attorney (POA) from clients as part of the account-opening process. The POA granted the broker broad authority to operate the client&rsquo;s demat account, enabling the broker to debit shares for settlement of sale transactions without requiring the client to issue a separate instruction for each trade. While operationally convenient, the POA model created significant scope for misuse: brokers with POA access could, in principle, pledge or transfer client securities beyond the narrow purpose of settlement.</p>