Need a lump sum urgently, but don’t want to break your mutual funds, shares, or insurance policies? Maybe you’re facing a sudden medical need, paying for your child’s tuition, or managing a personal or business emergency. With a Rs. 9 lakh loan against securities, you can access fast funds without having to sell your long-term investments.
Let’s understand how it works and how you can get started in just a few steps.
Did you know? You can raise up to Rs. 9 lakhs by pledging your existing mutual funds, shares, insurance policies, ESOPs, or without withdrawing or selling them.
What is a loan against securities?
A secured loan where you pledge your investments like mutual funds or shares instead of selling them for quick money.
- Borrow without selling your assets: Use your investments as collateral while they continue to earn returns.
- Works for multiple securities: Mutual funds, shares, insurance policies, ESOPs are all accepted.
- Stay invested, stay protected: No loss of ownership or interruption in long-term goals.
- Lower risk, quicker approval: Because it’s backed by collateral, approvals are simpler and faster.
- Use funds for any purpose: Education, emergencies, business needs there are no restrictions.
Your investments can give you liquidity without being sold. Apply for a loan against securities
Why not opt for unsecured loans?
Unsecured loans have higher interest rates and stricter eligibility. LAS offers better terms with fewer documents and faster approval.
- High interest rates: Unsecured loans often charge between 12–18% annually.
- Strict checks: Banks usually ask for salary slips, credit score, and IT returns.
- Fixed EMI burden: Fixed payments can feel heavy if your cash flow is irregular.
- More documentation: Unsecured loans usually require more paperwork and longer verification.
- Prepayment charges: Many unsecured loans penalize early repayment.
A secured loan lets you borrow more affordably with fewer formalities. Know your LAS benefits
Understanding Loan to Value (LTV) for your Rs. 9 lakh loan
LTV is the percentage of your investment’s value you can borrow. It affects how much loan you will get.
- It defines your loan amount: If your MFs are worth Rs. 12 lakhs, you can borrow up to 90% (Rs. 9 lakh).
- LTV varies by asset: Shares – 50%, MFs – up to 90%, Insurance – up to 90%.
- Safer for all: Prevents over-lending in case of market fluctuations.
- Know your worth: Understanding LTV helps set real expectations.
- Adjusts with the market: Your loan eligibility may increase or decrease based on investment performance.
When should you consider a Rs. 9 lakh loan against securities?
Ideal for urgent personal, business, or medical needs without breaking long-term investments or disturbing your portfolio.
- Pay for medical emergencies: Raise instant funds without breaking your insurance.
- Meet education expenses: Don’t liquidate your SIPs let them keep compounding.
- Small business needs: Use for working capital, vendor payments, or small upgrades.
- Manage home repair or weddings: Keep your savings intact while meeting immediate needs.
- Avoid redemption losses: Borrow instead of exiting at a low NAV or stock price.
Short-term need? Long-term investments? You don’t have to choose. Explore LAS now
4 ways to get a Rs. 9 lakh 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 |
Eligibility criteria for a Rs. 9 lakh loan
Getting a Rs. 9 lakh loan against securities is more straightforward than most other loan types. Since you're pledging your existing financial assets as collateral, your eligibility is primarily determined by the value and type of those investments. Here’s what you need to qualify:
- Age: Minimum 18 years; upper limit may extend up to 90 years (depending on lender).
- Nationality: Only Indian residents are eligible.
- Investment ownership: Securities (mutual funds, shares, bonds, or insurance policies) must be held in your name. Joint holders may require NOCs or declarations.
- Employment status: Open to salaried, self-employed, and business owners. Income proof usually not mandatory for strong portfolios.
- Portfolio value: Must meet the lender’s minimum portfolio value requirement. Typically starts from Rs. 50,000; Rs. 9 lakh loans need proportionate investment value based on LTV.
You don’t need a high salary or perfect credit score. If you own investments, you can avail a loan against securities. Apply now
Documents required for Rs. 9 lakh loan approval
The documentation for a Rs. 9 lakh loan against securities is minimal, especially when compared to traditional loans. In many cases, it’s 100% digital and can be submitted online. Here’s what you will typically need:
- PAN card: Used for identity verification and tax compliance. This is a mandatory document across all loan products.
- Address proof: You can provide your Aadhaar card, voter ID, passport, driving license, NREGA Job Card, Letter issued by National Population Register. To validate your current and permanent residence you can also provide utility bills not more than two months old.
- Passport-size photograph: Most lenders ask for a recent photo for the loan application records.
- Proof of security ownership: Depending on the security type, this could be:
- Demat holding statement (for shares)
- Mutual fund account statement or CAMS report
- Insurance bond or ULIP policy document
- Bond certificate or digital bond holding statement
- Bank details: A cancelled cheque or bank statement to ensure the disbursal reaches the correct account.
If you are pledging life insurance or ULIP policies, some lenders may ask for an assignment form or lien agreement from the insurance provider.
How to apply for a Rs. 9 lakh loan?
Getting a Rs. 9 lakh LAS is now easier than ever—most lenders offer a fully digital journey from application to disbursal.
Here’s a simple, step-by-step process to follow:
- Visit the LAS portal: Head to the official website of the lender and navigate to the Loan Against Securities section.
- Choose your investment type: Whether it's mutual funds, shares, insurance policies, or ESOPs, select the asset you wish to pledge.
- Start your application: Enter your name, PAN number, date of birth, mobile number, and email ID to begin the process.
- Upload KYC documents: Submit scanned or digital copies of your PAN card, Aadhaar, photo, and investment statements.
- Security verification and pledge creation:
- For MFs, complete the NSDL e-sign or create a lien on your folio.
- For shares, pledge your holdings via Demat account authorisation.
- For insurance, submit the assignment documents.
- Loan approval and disbursal: Once all documents are verified and your securities are successfully pledged, the loan is approved. Funds are usually disbursed within 24–48 hours.
Apply in minutes, access funds in hours it’s that quick. Apply now
Benefits of Rs. 9 lakh loan against investments
Choosing a Rs. 9 lakh loan against securities gives you a number of practical and financial advantages:
- No need to redeem investments: Your shares, MFs, or insurance continue to earn returns and grow, even while being pledged.
- Lower interest rates: Compared to unsecured loans, LAS typically offers interest starting from 8% p.a., saving you money.
- Fast disbursal: With digital processing, you can get funds in 24–48 hours after approval.
- No income documents required: In most cases, you won’t need salary slips or IT returns. Your investments are enough.
- Flexible end-use: Whether it’s education, emergency, wedding, home repair, or business it’s your call.
- Customised credit limits: You can increase your limit as your portfolio grows over time.
Conclusion
A Rs. 9 lakh loan against securities is a convenient and low-stress way to meet urgent financial needs. You don’t need to touch your savings or redeem long-term assets. Whether it’s a short-term gap or an opportunity you don’t want to miss, your investments can help you move forward.
Why withdraw when you can borrow smartly? Use your investments to fund your needs. Apply for a Rs. 9 lakh loan
