Short answer
Free exit means you can leave an allotted seat without losing your security deposit. In MCC UG counselling it applies only to seats allotted in Round 1. From Round 2 onwards, leaving or not joining an allotted seat is "exit with forfeiture" — you lose your security deposit.
Based on MCC's UG Counselling 2026 Information Bulletin (revised 20.08.2026). The 2027 bulletin hasn't been published yet — rules can change, so check it when it is.
Who this applies to
Candidates in MCC counselling for AIQ, Deemed, Central University/Institute, AIIMS, JIPMER and B.Sc. Nursing seats
The rule, explained
Round 1: if you don't want to join your allotted seat, you can exit without forfeiting your security deposit. Candidates who were allotted a seat but didn't join (free exit candidates) are eligible for Round 2.
Round 2: if you don't join the seat, or join and then resign, you lose your security deposit. To take part in Round 3 after that, you must pay the security deposit again.
Round 3: once you join a Round 3 seat, you are not allowed to leave it. If you exit with forfeiture of the security deposit, you are removed from further rounds.
What the official document says
Round-1 allotted candidates have FREE EXIT Option. Those who do not want to join the allotted seat can Exit without forfeiture of security deposit.
Medical Counselling Committee (MCC), DGHS · Revised UG Counselling 2026 Information Bulletin dated 20.08.2026 (NEET-UG MBBS/BDS/B.Sc. Nursing), PDF page 58 (opens the official site)
Exit with forfeiture means if a candidate is allotted a seat in 2nd round or subsequent round of Counselling and does not want to join the allotted seat he can leave the seat with forfeiture of security deposit (losing security amount deposited).
Medical Counselling Committee (MCC), DGHS · Revised UG Counselling 2026 Information Bulletin dated 20.08.2026 (NEET-UG MBBS/BDS/B.Sc. Nursing), PDF page 53 (opens the official site)
Such candidates can participate in Round- 3 only with Fresh Payment of security deposit.
Medical Counselling Committee (MCC), DGHS · Revised UG Counselling 2026 Information Bulletin dated 20.08.2026 (NEET-UG MBBS/BDS/B.Sc. Nursing), PDF page 59 (opens the official site)
Once you join third round seat, you will not be allowed to vacate from allotted 3rd round seat. However, if you Exit with Forfeiture of security deposit, you will get eliminated from further rounds.
Medical Counselling Committee (MCC), DGHS · Revised UG Counselling 2026 Information Bulletin dated 20.08.2026 (NEET-UG MBBS/BDS/B.Sc. Nursing), PDF page 60 (opens the official site)