Financial Instruments Against Which You can Take a Loan
While investments help you create a safety net for your future, you can also sell them during emergencies to meet urgent financial requirements. However, this is a popular yet unprofitable option. This is because you will lose interest, have to pay an exit fee and will also lose ownership of your investment.
So in a situation where your investment hasn’t matured yet and you need funding, it is best that you take a loan against securities. This helps you retain ownership, enjoy returns from your investment and tackle short-term needs.
Additionally, when you apply for a Loan Against Securities from top lenders like Bajaj Finserv, you can get loans of up to Rs.10 crore at a nominal LAS interest rate with zero part pre-payment and foreclosure charges. You can also benefit from having your own relationship manager who is available to you 24×7.
So, take a look at the various financial instruments that you can pledge as security.
- Mutual funds
- Fixed maturity plans
- Employee Stock Ownership Plans (ESOPs)
- Initial Public Offering (IPO)
- Insurance policies
Substantial loan amount and easy repayment
Taking a loan against investment instruments such as shares can help you access funds up to Rs.10 crore for your immediate needs. This is especially useful when you need urgent funding and are expecting a lump sum income in the next few months but cannot afford to wait for the same.
Additionally, you can enjoy nominal LAS interest rates on these loans as they are granted against a security. You can also benefit from zero charges on pre-payment and foreclosure of your loan, and a tenor of your choice ranging from 3 to 12 months. What’s more, you can repay through NEFT, RTGS and cheque or even sell a portion of your shares to do so.
Simply application and swift disbursal
While you can make the most of high loan amounts at nominal interest rates, you need not be inconvenienced to apply for this loan. Top lenders allow you to apply for a loan against security online with instant approval. Further, Bajaj Finserv offers you disbursal of funds within 72 hours of your loan approval, which means you can tackle emergencies in a timely manner.
Minimal requirements to avail funding
One of the many benefits of a loan against securities is that it isn’t difficult to acquire. In order to be eligible for a loan against securities from top lenders you only need to be an Indian citizen over the age of 21 years with a regular source of income. Additionally, your shares need to be above the value of Rs.10 lakh. You only need to submit minimal documents such as a passport sized photo, identity proof, address proof and verified reports of the securities/shares you own to complete your application.
Now that you know how to make the most of your financial instruments without losing out on future returns, use a loan against securities/shares the next time you need funds instead of an unsecured loan.