Checking a broker in the local register
Location of the official register
SEBI keeps a public register of every firm allowed to offer investment services in India. The register lives on the SEBI website, not on any broker's page. You reach it by typing the SEBI address yourself into the browser bar. Do not follow a link from an email, a chat message, or a search advertisement. Those links can lead to a copy that looks identical but shows false entries.
The register is free to search and needs no login. It lists intermediaries such as stock brokers, depository participants, and research analysts. Each record shows a registration number, a legal name, a status, and the activities the licence covers. The same page may also show the date the licence was granted or cancelled. All of that is public information.
A broker's own website often displays a registration number in small print near the bottom. That number may be real, but it may belong to a different company. The register is the only place where the number is tied to the legal name that holds it. If the website shows a number but the register shows a different name, the website is using someone else's licence.
What to type into the search box
Open the register and find the search box. Type the registration number exactly as it appears on the broker's page. Remove any spaces, slashes, or letters that are not part of the number. Press search. The result will show either one record or none. If none appear, the number is not in the register at all. That alone is a reason to stop.
If a record appears, read three fields in this order: legal name, current status, and activities covered. The legal name must match the company you are paying. The name on the bank account or UPI ID must be the same legal name. A mismatch means the money is going to a different entity. The status must say something like 'active' or 'registered'. Words like 'cancelled', 'suspended', or 'expired' mean the licence is not current.
The activities field lists what the licence allows. For example, it may say 'stock broking' or 'portfolio management'. If you were offered currency trading or advice on USD/INR, but the activities do not include that service, the licence does not cover what you were offered. You can also search by company name if you do not have a number. Type the exact legal name from the broker's payment page. Then compare the registration number that comes up with the one the broker showed you.
Answers that mean the licence does not cover the offer
Three answers should stop you from sending money. First, the legal name in the register differs from the name on the payment page. Second, the status is not current. Third, the activities list does not include the service you were offered. Any one of these means the licence does not cover what you were offered. Do not send money by UPI or bank transfer until all three match.
A cancelled licence is not a temporary problem. It means the firm is no longer allowed to carry out the activity. If you send money to a firm with a cancelled licence, no current registration stands behind it. The full amount you send is at risk. For example, if you plan to send ₹30,000, the entire ₹30,000 is at risk. There is no compensation from the regulator for a firm that was never properly registered for that activity.
Some brokers may show a registration number that belongs to a group company. The group company may be registered for a different activity. That does not cover the offer you received. You must check the exact legal entity that will receive your money. If the payment goes to a different name, the licence does not apply. Always match the legal name on the register with the name on the bank account or UPI ID.
Checking a registration number before sending ₹50,000
| Step | Amount | Note |
|---|---|---|
| Amount you plan to send | ₹50,000 | Your own figure, chosen before any check |
| Registration number shown on the broker page | INZ000123456 | Copied from the broker's own footer, not from a search result |
| Name returned by the register | A different company | The register matches the number to a legal name, not a brand |
| Status shown for that number | Cancelled | The register shows current status, not past status |
| Value of one pip on one standard lot of USD/INR | ₹10 | 100,000 x 0.0001, at a rate near 83.2500 |
| Rupee move on one standard lot if USD/INR moves 20 pips | ₹200 | 20 x ₹10; the same arithmetic applies to a loss |
The broker may round the exchange rate, charge a spread, or add a commission on top of the pip value. Those amounts vary between brokers, so ask for the full cost in writing before you send anything.
Doing it once, step by step
You will now check a broker's registration number step by step. Follow the order below before you send any money.
- 01
Open the SEBI register directly
Type the SEBI website address into your browser bar. Do not click links from emails or messages. Find the search box for intermediaries. This is the only official source.
- 02
Enter the registration number
Copy the number from the broker's page. Remove spaces and slashes. Paste it into the search box and press search. If no record appears, stop here.
- 03
Check the legal name
Read the legal name in the register. Compare it with the name on the bank account or UPI ID where you will send money. They must be the same. If different, stop.
- 04
Check the current status
Look at the status field. It must say active or registered. If it says cancelled, suspended, or expired, the licence is not current. Do not send money.
- 05
Check the activities covered
Read the activities list. It must include the service you were offered, such as currency trading or advice on USD/INR. If not, the licence does not cover the offer.
- 06
Ask for full costs in writing
Before sending money, ask the broker for all costs in writing. These include spread, commission, and any rounding of the exchange rate. These amounts vary between brokers. Do not rely on verbal promises.
The mistake most people make here
The common mistake is to trust the number printed on the broker's own page, or to trust a search result that looks official. Anyone can copy a real number onto a fake site. Instead, open the register yourself, type the number into the search box, and read three things: the legal name, the current status, and the activities the licence covers. If the name does not match the company you are paying, or the status is not current, or the activities do not include what you were offered, stop. Do not send money by UPI or bank transfer until all three match.Check yourself
You plan to send ₹30,000. The register shows the number belongs to a company with a cancelled licence. What is the correct next step, and how much of the ₹30,000 is at risk if you send it anyway?
Do not send. The licence is not current, so the register does not cover what you were offered. If you send anyway, the full ₹30,000 is at risk, because no current registration stands behind the firm.
USD/INR is near 83.2500. One standard lot moves 15 pips against you. What is the loss in rupees, and what does that show about position size?
One pip on one standard lot is ₹10, so 15 pips is 15 x ₹10 = ₹150. That is the loss on one standard lot for a 15-pip move. It shows that a small rate change can be a large rupee amount, so the number of lots must be chosen before the trade, not after.
Questions that come up next
What if the register shows the number belongs to a company with a similar name but not exactly the same?
A similar name is not the same name. The legal name in the register must match the name on the bank account or UPI ID you are paying. If even one word differs, the licence does not belong to the firm you are dealing with. Do not send money until the names match exactly.
How do I know if the activities listed in the register cover what I was offered?
Read the activities field carefully. It lists the services the licence allows, such as stock broking or portfolio management. If you were offered currency trading or advice on USD/INR, check that those words appear. If they do not, the licence does not cover that service. Ask the broker to show you where the register lists that activity.
What does 'current status' mean in the register?
Status tells you whether the licence is active right now. Words like 'active' or 'registered' mean the firm is allowed to operate. Words like 'cancelled', 'suspended', or 'expired' mean it is not. If the status is not current, the register does not cover the firm. Do not send money.
Can I check a broker that is not in the SEBI register at all?
If the broker is not in the register, it is not allowed to offer investment services in India. That alone is a reason to stop. No registration number means no licence. Do not send money by UPI or bank transfer.
What should I do if I already sent money to a broker with a cancelled licence?
Contact your bank or UPI provider immediately and report the transfer. They may be able to freeze or reverse it if you act quickly. Also report the matter to SEBI. Keep all records of the payment and any communication with the broker. The sooner you act, the better the chance of recovery.
How often should I recheck a broker's registration?
Check before every new deposit, not just the first time. A licence can be cancelled or suspended after you start using a broker. The register is updated, so a check that was clean last month may not be clean today. It takes a minute and costs nothing.
In India
- Regulator
- SEBI
- Where the register is
- On the SEBI website, under the section for registered intermediaries
- What to type
- The registration number exactly as shown, with no spaces added or removed
- What to compare
- The legal name, the current status, and the permitted activities
- Payment methods
- UPI and bank transfer; send only to an account in the name shown in the register
The words used on this page
- register
- A public list kept by SEBI of every firm allowed to offer investment services in India. It shows registration numbers, legal names, statuses, and covered activities. You can search it for free on the SEBI website.
- legal name
- The exact name of the company as recorded in the register. It must match the name on the bank account or UPI ID you are paying. If it does not match, the money is going to a different entity.
- current status
- A field in the register that tells you whether the licence is active right now. It may say 'active', 'cancelled', 'suspended', or 'expired'. Only an active status means the firm is allowed to operate.
- activities covered
- The list of services a licence allows a firm to provide. Examples include stock broking or portfolio management. If the service you were offered is not on that list, the licence does not cover it.
- UPI
- A payment system used in India to send money between bank accounts using a mobile app. It is fast and convenient, but once sent, the money is gone unless the recipient returns it. Always check the recipient's legal name before sending.
- pip
- A small unit of price change in a currency pair. For USD/INR, one pip is 0.0001. On one standard lot, one pip is worth about ₹10. That helps you estimate the rupee value of a rate move.
What to take away
- Always open the SEBI register yourself and type the registration number exactly as shown.
- Check three things: legal name, current status, and activities covered. All three must match what you were offered.
- If any of the three does not match, do not send money by UPI or bank transfer.
- A small rate change on a large position can be a large rupee loss, so choose your position size before you trade.