When should you consider a Rs. 20 crore loan against securities?
A Rs. 20 crore loan against securities is a highly strategic option when you need access to large capital quickly, without the friction of traditional loans or the downsides of selling high-performing investments. It’s best suited for professionals, CXOs, business owners, and HNIs who value both speed and financial control. Here are some ideal use cases:
- You want to avoid capital gains tax – Borrowing against investments allows you to retain your portfolio and avoid tax liabilities that come with redemption.
- You are managing a business acquisition or expansion – Quickly raise capital without giving up equity or going through lengthy business loan approvals.
- You are funding a real estate purchase – Secure premium property bookings or down payments without breaking long-term funds.
- You need high-value bridge financing – Use it to meet cash flow gaps, refinance a short-term debt, or fund business transitions without disruptions.
- You want to act fast – With LAS, you can raise Rs. 20 crore within 24–48 hours, enabling faster decision-making and execution.
This option is about unlocking liquidity without sacrificing ownership or future growth. It’s ideal for those who believe in preserving wealth while accelerating goals.
4 ways to get a Rs. 20 crore loan
Choose from five eligible asset types to structure your Rs. 20 crore loan.
Loan product
|
Interest rate (p.a.)
|
Tenure
|
Loan against mutual funds
|
8–15%
|
Up to 36 months
|
Loan against shares
|
8–15%
|
Up to 36 months
|
Loan against insurance
|
Up to 24%
|
Up to 96 months
|
Esop financing
|
Up to 15%
|
Up to 36 months
|
Convert your existing portfolio into a Rs. 20 crore credit line, quick, flexible, and cost-efficient. Compare all LAS options
Eligibility criteria for a Rs. 20 crore loan
To qualify for a Rs. 20 crore loan against securities, your eligibility is primarily based on the size and quality of your investment portfolio. Here's what lenders typically require:
- Age – You must be at least 18 years old. Some lenders offer LAS products to applicants up to 90 years, depending on the security pledged and tenure.
- Residency – Indian citizens and residents only are eligible for LAS. A valid Indian address proof is required during the digital onboarding and KYC process.
- Eligible securities – You must legally own the financial assets you’re pledging. If they are jointly held, additional declarations or approvals may be required by the lender.
- Minimum portfolio value – Your portfolio should match the lender’s Loan-to-Value (LTV) criteria. For example, at 90% LTV, a Rs. 27 crore portfolio may be needed for a Rs. 24 crore loan.
- No income proof required – Since the loan is secured by your portfolio, most lenders don’t require salary slips, ITRs, or other income documents to approve your loan.
Documents required for Rs. 20 crore loan
To apply for a Rs. 20 crore LAS, you only need a few basic documents. Most of the process is paperless and can be completed from anywhere:
- PAN card – This is used to verify your identity and link your investment holdings. PAN is also required for tax compliance.
- Address proof – Submit a valid document showing your current residential address. This is a key part of your KYC (Know Your Customer) process.
- Recent photo – a recent photo is typically required for account creation and lender records.
- Investment proof – Submit digital statements of the securities you wish to pledge. These documents help the lender verify asset ownership and calculate your loan eligibility.
- Bank details – This ensures that your approved loan amount is directly credited to your active savings account with no delays.
How to apply for a Rs. 20 crore loan?
The application process for a Rs. 20 crore loan against securities is fully digital and can be completed in just a few easy steps:
- Visit the Loan Against Securities portalHead to the official LAS page and choose the investment type you wish to pledge.
- Choose your investment typeSelect the category of securities mutual funds, shares, insurance policies, ESOPs, or bonds—that you want to offer as collateral.
- Fill in basic KYC details (PAN, DOB, contact info)Enter your PAN, date of birth, and mobile number to start your digital onboarding journey. These are used for instant ID verification.
- Upload documents and investment proofsSubmit scanned or digital versions of your KYC and investment documents. This allows the lender to assess your profile and loan eligibility.
- Authorise pledge digitally via NSDL, CAMS, or insurerDepending on the security type, you will need to digitally authorise a lien or pledge via platforms like NSDL, CDSL, CAMS, or your insurer’s portal.
- Get the loan amount in your bank within 24–48 hoursOnce your documents and pledges are verified, the loan amount is transferred directly to your bank account—usually within 24–48 hours.
Apply digitally. Pledge securely. Get Rs. 20 crore disbursed without delays. Apply now
Benefits of Rs. 20 crore loan against investments
A Rs. 20 crore LAS offers speed, flexibility, and low-cost funding, ideal for high-net-worth individuals and business owners.
- Stay invested: Your assets keep compounding while you borrow against them.
- Lower interest rates: Pay significantly less than unsecured business or personal loans.
- Quick disbursal: Get funds within 24–48 hours with minimal documentation.
- No foreclosure charges: Repay early without penalties.
- Flexible usage: Use funds for business, real estate, tax, or personal needs.
- No income proof needed: Eligibility is based on your portfolio, not salary.
- Custom loan limits: Get tailored loan amounts based on your portfolio value and LTV.
- Revolving credit available: Withdraw and repay as needed, like an overdraft.
Interest rates and charges on a Rs. 20 crore loan
Large-ticket loans such as Rs. 20 crore often come with customised pricing. Rates and fees depend on collateral, borrower profile, and lender policy. Key points to note:
Interest rate: Usually ranges between 8%–15% p.a., higher if risk or collateral liquidity is low.
Processing fee: One-time charge, often a small percentage of the loan amount.
Prepayment / foreclosure charges: May apply if you repay early, generally a few percent of the outstanding.
Annual maintenance charges: Levied for account servicing and collateral management.
Bounce / late payment penalty: Fixed fee per instance plus penal interest on overdue amounts.
Legal, documentation, valuation costs: Payable upfront depending on asset type and state laws.
Depository or pledge charges: Applicable if securities are pledged as collateral.
Conclusion
A Rs. 20 crore loan against securities is not just about raising capital it’s about doing it smartly. Whether you're managing a large business transaction, funding an asset purchase, or bridging short-term liquidity needs, this loan gives you the flexibility to act fast without disturbing your long-term investments. You continue to earn returns on your portfolio while accessing funds at competitive rates and minimal documentation. It’s the ideal financial solution for those who want to stay invested and stay in control.
Let your portfolio power your next big move get a Rs. 20 crore loan without selling a single investment. Apply now
