NMB Bank Limited has officially started charging a fee for its C-ASBA service, which was previously offered free of cost. Investors now need to pay Rs. 5 per application when applying for IPOs through the bank’s C-ASBA system.
Background: What is C-ASBA?
C-ASBA (Centralized Application Supported by Blocked Amount) is a system that allows investors to apply for public offerings without moving money from their bank accounts. It is widely used in Nepal for IPO applications.
Although the bank had been providing this service for free, recent developments have led NMB Bank to implement a Rs. 5 charge per IPO application. This change is in line with Securities Board of Nepal (SEBON) guidelines, which allow banks to charge a maximum of Rs. 5 for the service.
NMB is not the only bank to introduce this fee. Many other banks have already been charging similar amounts. Only a few banks still offer the service for free, such as:
- Nabil Bank
- Rastriya Banijya Bank
- Sanima Bank
If you frequently apply for IPOs, this Rs. 5 fee could add up over time. For investors looking to avoid this charge, it might be worth considering an account with banks that continue to provide C-ASBA service for free.
