What Is TPIN in a Demat Account?

The TPIN full form is Transaction Personal Identification Number. In the context of demat accounts, TPIN means a six-digit numeric code issued by the Central Depository Services Limited (CDSL) and used as part of the electronic authorisation framework for debiting securities from a demat account.

In practical usage, the TPIN meaning relates specifically to transaction authorisation rather than account access. It is applied during delivery-based sell transactions to confirm that the account holder has approved the debit of securities, in line with SEBI-mandated e-DIS procedures. TPIN is generated and managed at the depository level and operates independently of broker login credentials.

It is sometimes queried whether a 4 digit TPIN means a valid transaction code. Under current CDSL processes, this is not the case. TPINs are issued only as six-digit numbers, and any reference to a four-digit TPIN generally relates to older broker-specific authorisation methods or is a misunderstanding of the present system.

Overall, clarifying what TPIN means and how the TPIN full form applies in demat transactions helps distinguish it from other identifiers and confirms its role within the regulated securities authorisation process.

Before June 2020, debit of securities from demat accounts was commonly authorised through Power of Attorney (PoA) arrangements granted to brokers. To standardise and digitise the authorisation process, SEBI introduced changes requiring depositories to implement electronic debit instruction mechanisms.

TPIN was introduced as part of this regulatory transition, enabling demat account holders to authorise debit transactions electronically through CDSL’s e-DIS system, without relying on blanket PoA arrangements.

The Transaction Personal Identification Number (TPIN) forms part of the authorisation framework used for debiting securities from a CDSL-linked demat account. It was introduced following regulatory changes aimed at shifting sell authorisation from standing arrangements, such as broad Power of Attorney (PoA), to transaction-specific electronic confirmation mechanisms.

Within the current demat operating structure, TPIN functions as an account-level credential that enables CDSL to validate whether a debit instruction has been approved by the account holder for a specific trading day. This approach aligns sell-side authorisation with exchange and depository workflows, using OTP-based confirmation to complete the approval process.

From a system perspective, TPIN establishes a standardised method for demat debit authorisation across brokers and platforms, while maintaining separation between trading access and depository-level approvals under applicable SEBI and CDSL guidelines.

In delivery-based sell transactions, TPIN functions as the electronic authorisation mechanism for permitting the debit of securities from a Demat account through CDSL’s e-DIS system.

The authorisation flow generally follows this sequence:

• A sell order is initiated on the broker’s trading platform for securities held in the demat account.

• The platform redirects the transaction to CDSL’s electronic authorisation (e-DIS) interface.

• The Demat account holder enters the six-digit TPIN linked to the account.

• A one-time password (OTP) is sent to the registered mobile number and email address for verification.

• Upon OTP validation, the selected securities are authorised for debit, enabling the sell order to proceed for exchange execution.

TPIN remains mapped to the Demat account until it is changed by the account holder. However, each TPIN-based authorisation combined with OTP verification is valid only for the trading day on which it is generated.

CDSL also provides a pre-authorisation facility, allowing multiple securities (within prescribed limits) to be authorised in a single session. Such authorisations expire at the end of the same trading day and do not carry forward.

This transaction-specific authorisation structure ensures that securities are debited from the Demat account only after explicit confirmation through CDSL’s system.

TPIN generation, reset, and modification are carried out through Central Depository Services Limited (CDSL)’s electronic authorisation framework. These actions can be initiated either directly on CDSL’s platform or via broker interfaces that redirect the request to the depository system.

The process typically involves:

• Entry of the demat account’s 16-digit BO ID and PAN details on the CDSL interface

• OTP authentication sent to the registered mobile number and email address

• Issuance or replacement of the existing six-digit TPIN upon successful verification

When a TPIN is generated or updated, any previously issued TPIN linked to the Demat account is automatically replaced. The updated TPIN becomes effective shortly after confirmation, and details are communicated through the registered contact information.

The TPIN remains associated with the Demat account until it is changed again. However, each OTP-based authorisation completed using the TPIN is valid only for the trading day on which it is generated.

A Transaction Personal Identification Number (TPIN) is issued by the Central Depository Services Limited (CDSL) as a permanent six-digit authorisation code linked to a demat account. Once generated, the TPIN remains valid until it is changed or reset by the account holder through authorised channels.

While the TPIN itself does not expire daily, each debit authorisation completed using the TPIN requires an additional one-time password (OTP). This OTP-based authorisation is valid only for the trading day on which it is generated and cannot be carried forward to subsequent trading sessions. Any unused authorisation automatically lapses at the end of the day.

If a TPIN is forgotten or compromised, a new TPIN can be generated through CDSL’s electronic authorisation system or via supported broker platforms, following identity verification protocols.

Verification of demat holdings refers to the process through which account holders view securities credited to their dematerialised account after trade settlement. This information is maintained at the depository level and reflected across broker-linked trading platforms once transactions are completed.

For demat accounts maintained with CDSL, access to holdings details on trading platforms is enabled through TPIN-based authorisation. The TPIN functions as a verification mechanism that allows the account holder to view securities held in the demat account, including quantities credited, settlement status, and updates arising from corporate actions such as dividends, bonuses, or splits.

TPIN-based authorisation is part of the electronic Debit Instruction Slip (e-DIS) framework implemented by CDSL in line with SEBI’s regulatory direction. It defines how securities are authorised for debit from a demat account during delivery-based sell transactions.

One characteristic of TPIN is that authorisation for debiting securities is initiated at the account-holder level. The demat account holder provides confirmation through a combination of a six-digit TPIN and a one-time password (OTP), which is generated and validated by CDSL during the transaction flow.

The TPIN mechanism operates independently of broker systems for authorisation purposes. While sell orders are placed through trading platforms, the confirmation to debit securities is routed through CDSL’s e-DIS infrastructure. This separation establishes a defined process boundary between order placement and demat debit authorisation.

TPIN-based authorisation is conducted through electronic channels and does not involve physical documentation such as manual Debit Instruction Slips (DIS). The process is executed digitally using registered contact details, with OTP-based confirmation limited to the trading day on which the authorisation is provided.

From a regulatory standpoint, TPIN forms part of SEBI’s framework to standardise and digitise demat debit authorisation. It serves as an alternative to earlier Power of Attorney (PoA) arrangements and operates alongside other permitted mechanisms such as DDPI, depending on the authorisation structure in place for a demat account. 

• TPIN is required only for delivery-based sell transactions and is not used for purchases, intraday trades, derivatives, or credit of securities

• TPIN is distinct from trading account login credentials and is used solely for debit authorisation

• TPIN and OTP serve different functions, with OTP used for transaction-specific verification

• Pre-authorisation allows multiple debit instructions within a single trading day

A TPIN is communicated by the depository at the time it is generated and is linked to the contact details registered with the demat account. Knowing how to know the TPIN number depends on whether it has been previously generated or needs to be retrieved again.

Where is TPIN available

Once generated, the TPIN is sent by CDSL to the registered mobile number and email address associated with the demat account. It is not displayed on trading platforms or account dashboards for security reasons.

If the TPIN message is not accessible, the number can be regenerated through the CDSL e-DIS facility or via broker platforms that redirect to CDSL’s authorisation system. This process requires verification using the BO ID, PAN, and a one-time password sent to the registered contact details. Upon completion, a new TPIN is issued and communicated through the same registered channels.

From a system perspective, the TPIN remains associated with the demat account until it is changed or regenerated, and access to it is limited to communication initiated by the depository.

TPIN functions as an electronic authorisation mechanism for debiting securities from a demat account under the CDSL e-DIS framework. Issued and managed by the depository, it replaces earlier authorisation practices with transaction-specific verification using OTP. TPIN operates within defined regulatory parameters and forms part of the standard process for delivery-based sell transactions in demat accounts.

This content is for informational purposes only and the same should not be construed as investment advice. Bajaj Finserv Direct Limited shall not be liable or responsible for any investment decision that you may take based on this content.