ASBA means “Application Supported by Blocked Amount”. ASBA is an application containing an authorization to block the application money in the bank account, for subscribing to an issue. If an investor is applying through ASBA, his application money shall be debited from the bank account only if his/her application is selected for allotment after the basis of allotment is finalized, or the issue is withdrawn/failed. In case of proportionate allotment only the relevant amount is debited to his bank account and the freeze on the balance amount is automatically withdrawn. In case of rejection of bid, the freeze on the bank account under ASBA is automatically removed. What is the procedure of applying in IPO through ASBA? Under ASBA facility, investors can apply in any public/ rights issues by using their bank account.