Frequently asked questions
You can avail a loan against security by providing any of the following securities:
- Shares
- Mutual funds
- Insurance policy
*Only Bajaj Allianz, ICICI Prudential Life Insurance, Max Life & TATA AIA Unit Linked Insurance Policies are accepted.
**Loan against bonds and insurance policies are not available through the Bajaj Finserv App. Send us your requirement at las.support@bajajfinserv.in for further details.
LTV is loan to value ratio. This is the ratio of the loan amount outstanding to the value of pledged securities. A minimum of 50% LTV is always required to be maintained for loan against shares facility.
Your EMI is influenced by the loan amount, interest rate, tenure, and repayment frequency. A longer tenure may lower your monthly EMI, but increase total interest paid. The type of mutual funds pledged can also affect interest rates, impacting EMI.
Yes, you can prepay your loan against mutual funds, either partially or in full, before the end of the tenure. Some lenders may offer this facility with zero or minimal prepayment charges, helping you save on interest and close the loan faster.
The loan amount typically ranges from Rs. 10,000 to Rs. 5 crore, depending on the lender and the value of your pledged mutual fund units. Equity funds usually offer higher loan-to-value ratios compared to debt funds, affecting how much you can borrow.
It estimates your monthly instalment based on the loan amount, interest rate, and tenure you enter. The tool uses a standard EMI formula to give you a quick snapshot of expected repayments before you apply.
You usually need to enter the desired loan amount, expected interest rate, and preferred tenure. Some calculators may also let you adjust values to compare multiple EMI outcomes instantly.
The EMI shown is an approximation. Your final EMI may differ slightly based on the lender’s assessment, applicable charges, and the exact interest rate offered after evaluating your mutual fund portfolio.
Yes, most calculators display not just the EMI but also the total interest payable and the overall repayment amount. This helps you understand the full cost of borrowing before taking a decision.
Yes, calculators allow you to enter any eligible loan amount irrespective of fund type. Since approval depends on the fund category, you can test various scenarios even before uploading details.
Not necessarily. Some lenders may offer interest-only repayment structures or flexible options. EMI-based repayment is common, but the exact structure depends on the lender’s product features.
A longer tenure reduces your EMI but increases total interest payable. A shorter tenure raises your EMI but lowers borrowing costs. Adjusting the slider in the calculator helps you compare both outcomes instantly.
Yes, calculators are typically linked to application journeys. Once you find a suitable EMI, you can proceed to the application form where your mutual fund details and profile are evaluated for eligibility.
No. EMI calculators are completely free to use. They are designed to help you plan repayments, compare scenarios, and make informed borrowing decisions without any cost or commitment.
