Free Exit options is only available for Round 1. It is not available for 2nd, 3rd and Mop Up Rounds. Generally there is no 3rd Round and mop up round is conducted based on the seats available. For example if you are allotted a seat in Round 1, even if you do not join or resign the seat, you will not be penalised for it because of the free exit option. But for Round 2 or Mop up Round, if you do not join the allotted seat, you will have to forgo the security deposit because there is no free exit option there.

hello,

if you have not opted for the option given to you then you can leave it and choose for upgrade.  there won't be any penalty. if you get no option in the whole process then your counselling fee will  get refunded back to you.

Case for penalty is if you accepted the college option and later leave it for some reason then you have to inform the college and pay the penalty for it.

Hope it helps!