What is DIS (Delivery Instruction Slip)? How to Use DIS for Share Transfer
A Delivery Instruction Slip, or DIS, is a form you submit to your depository participant to instruct them to transfer shares from your demat account to another demat account. It is the demat equivalent of a cheque. Just as you fill a cheque to transfer money from your bank, you fill a DIS to transfer shares from your demat.
When you sell shares on the exchange, the DIS process happens automatically through the settlement system. You do not need to fill a physical DIS for regular trades. The DIS becomes relevant for off-market transfers, where you want to move shares directly to another demat account without going through the exchange.
When Do You Need a DIS?
- Off-market transfers. Moving shares between your own demat accounts with different brokers.
- Gifting shares. Transferring shares to a family member's demat account.
- Estate distribution. Moving inherited shares to the heir's account after transmission.
- Private transactions. Transferring shares as part of a private deal.
How to Fill and Submit a DIS?
The DIS booklet is provided by your DP when you open your demat account. You fill in the target DP ID and client ID, the ISIN of the shares, the quantity, and sign the form. Submit it to your DP for processing. The transfer typically completes on the next working day.
Most brokers now offer electronic DIS through their apps and websites, which is faster and eliminates the risk of physical DIS misuse. CDSL's easiest and NSDL's Speed-e portals also support electronic delivery instructions.
What Are the Risks with Physical DIS?
A physical DIS booklet can be misused if it falls into the wrong hands, similar to a stolen cheque book. SEBI has introduced safeguards including the TPIN (Transaction PIN) and OTP-based verification for DIS instructions. Never pre-sign blank DIS slips and keep your DIS booklet secure.
Investments in securities market are subject to market risks. This article is for educational purposes only.
Frequently Asked Questions
Can I do an off-market transfer without a physical DIS?
Yes. Electronic DIS through your broker's platform or through CDSL easiest or NSDL Speed-e allows you to submit delivery instructions online with OTP or TPIN verification. This is safer and faster than the physical DIS process.
What is TPIN and why is it needed for DIS?
TPIN is a Transaction Personal Identification Number used to authenticate delivery instructions for share debits from your demat account. SEBI mandated TPIN along with OTP verification as an additional security layer to prevent unauthorised transfers. You need TPIN for both online and physical DIS processing.
How long does a DIS transfer take?
A properly submitted DIS is typically processed on the next working day. If there are discrepancies in the form, such as wrong ISIN, incorrect target account details, or signature mismatch, the DP will reject the instruction and you will need to resubmit.
Is there a charge for using DIS?
Yes. Your DP charges a fee for debiting shares from your account. This is typically Rs.25 to Rs.50 per ISIN or per instruction. There is no charge for receiving shares (credits). The charges vary between DPs.
What happens if I lose my DIS booklet?
Immediately inform your DP in writing. The DP will block the old DIS booklet to prevent misuse and issue a new one. Do not delay reporting a lost DIS as it can be used for unauthorised transfers if found by someone else.
Investments in securities market are subject to market risks. This article is for educational purposes only and does not constitute investment advice.
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