Rs. 20 Lakh Loan

Learn how to get a Rs 20 lakh loan with options like ESOP financing, loans against bonds, mutual funds, shares, and insurance.
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3 mins read
13-August-2025

Need a big sum of money quickly maybe for business expansion, a medical emergency, your child’s education, or a home renovation? Instead of breaking your fixed deposits or selling your investments, you can get a Rs. 20 lakh loan by simply pledging your existing shares, bonds, mutual funds, or insurance policies. These are called secured loans against securities, and they’re often a smarter choice than high-interest personal loans. You keep your investments, they continue to grow, and you get access to the funds you need at lower interest rates.

Keep your investments growing while getting the funds you need. Explore LAS now

Why choose a secured Rs. 20 lakh loan over an unsecured loan?

With unsecured loans, you pay high interest because there is no collateral. But when you pledge investments, the lender has security which means you get a much lower rate and more flexible repayment terms. You do not have to liquidate assets and lose potential returns. Instead, you simply use them as a guarantee until you repay the loan.

6 ways to get a Rs. 20 lakh loan

Here are six secured loan options, their interest rates, and repayment terms:

Loan product

Interest rate

Loan tenure

ESOP financing

Up to 15% p.a.

Up to 36 months

Loan against bonds

8-15% p.a.

Up to 36 months

Loan against insurance policy

Up to 24% p.a. (Compounding for lock-in policies, simple interest for lock-in-free)

Up to 96 months

Loan against mutual funds

8-15% p.a.

Up to 36 months

Loan against shares

8-15% p.a.

Up to 36 months


All these loans offer fast approvals, minimal paperwork, and let you continue earning from your investments.

Borrow today, keep earning tomorrow, your assets keep working for you. Get started now

Eligibility criteria for a Rs. 20 lakh loan

Every lender has slightly different rules, but here are the most common:

  • Age: Typically, between 18 and 90 years at the time of loan maturity
  •  Income: A steady income from salary, business, or investments that reflects repayment ability
  • Employment status: Can be salaried or self-employed, with proof of stable work history
  • Asset ownership: Eligible investments such as shares, mutual funds, bonds, or insurance policies to pledge
  • Credit profile: A good CIBIL score and healthy repayment record
  • Loan-to-value ratio (LTV): The value of your pledged security should match lender requirements for the desired amount

Some lenders might also set a minimum investment value or look for a good repayment history.

Loan Against Shares
Loan Against Mutual Funds

Documents required for a Rs. 20 lakh loan

Having the right paperwork ready makes the process smooth and quick.

KYC documents:

  • Identity proof: Aadhaar, PAN, Passport, Driving Licence, Voter ID
  • Address proof: Utility bill, Passport, Driving Licence, Aadhaar card

Other documents:

  • Income proof: Salary slips, IT returns, or business statements
  • Bank statements: Last 6 months
  • Investment proof: Ownership papers for shares, bonds, mutual funds, or insurance
  • Loan application form: Completed and signed

How to apply for a Rs. 20 lakh loan?

Applying for a secured Rs. 20 lakh loan is straightforward and quick with the right preparation.

  1. Choose the loan type – Select the loan that best matches your investments and funding needs.
  2. Check your eligibility – Confirm that you meet the lender’s age, income, and asset ownership criteria.
  3. Prepare your documents – Keep your identity, income, and investment proofs ready to avoid delays.
  4. Apply online or offline – Submit your application through the lender’s website or nearest branch.
  5. Pledge your investments – Share details of the securities you’re offering as collateral.
  6. Verification – The lender reviews documents, checks asset value, and confirms repayment capacity.
  7. Approval & disbursement – Once approved, funds are typically transferred within a few working days.

Get fast access to Rs. 20 lakh by leveraging your investments quick approvals and smooth disbursal included. Apply now

Benefits of a Rs. 20 lakh loan against investments

Secured loans let you unlock large funds at lower interest rates without losing your investments’ growth potential.

  • Lower interest rates – Save more compared to high-cost unsecured personal loans.
  • Quick approval and disbursal – Funds can be in your account within days.
  • Keep your investments – Continue earning returns while using them as loan security.
  • Flexible repayment tenure – Choose between 12 and 60 months for comfortable EMIs.
  • High loan eligibility – Borrow up to 90% of your asset value based on lender policies.

Extra tips for smooth approval

Following these steps can speed up the process and increase your chances of approval.

  • Update investment records – Ensure your ownership documents are current and clear.
  • Maintain a good credit score – This builds trust with lenders and improves loan terms.
  • Avoid multiple applications – Applying with several lenders can lower your credit score.
  • Choose shorter tenure if possible – Save on interest by repaying faster.

Common uses of a Rs. 20 lakh loan

From business growth to personal milestones, a secured loan can meet various financial goals.

  • Business expansion – Invest in equipment, inventory, or operations.
  • Higher education – Fund tuition fees and living expenses for you or your children.
  • Medical expenses – Cover unexpected healthcare costs without selling assets.
  • Home renovation – Upgrade your property for comfort and increased value.
  • Major personal events – Weddings, travel, or other life milestones.

Whether for business growth or personal dreams, your investments can power the funding you need today. Apply now

Conclusion

A Rs. 20 lakh loan against investments offers a safe, cost-effective way to access large funds quickly. With lower rates, flexible repayment options, and the ability to keep your assets intact, it’s a smart alternative to unsecured borrowing. Always compare loan products, interest rates, and terms before applying to ensure you choose the best deal for your situation. Thoughtful planning ensures smooth repayment and maximum benefit from the borrowed amount.

Use your investments as a springboard for financial growth borrow wisely, repay comfortably, and keep building wealth. Apply for LAS today

Frequently asked questions

How to get a 20 Lakh Loan immediately?
To get a Rs. 20 lakh loan quickly, apply online with a lender offering instant approval. Ensure you meet eligibility criteria, have a high credit score, and provide necessary documents. Loans against investments like shares or mutual funds are faster to process than unsecured loans.

What is the minimum salary for a 20 Lakh loan?
There is no minimum salary requirement to avail of a Rs. 20 lakh loan against your investments. Instead, your eligibility depends on the value and type of securities you pledge such as shares, mutual funds, or insurance policies—approved by your lender. As long as your pledged investments meet the lender’s criteria, you can access funds without income-based restrictions.

What is the interest rate for a 20 Lakh Loan per month?
Interest rates for a Rs. 20 lakh loan may vary, depending on the lender and applicant profile. Monthly interest is calculated based on the annual rate, loan tenure, and repayment type. Secured loans offer lower rates than unsecured personal loans.

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