Loan Against Shares features

Read on the know why our loan against shares is the best option for you.

Features and benefits of our loan against shares

What is Loan Against Life Insurance Policy? 00:30

What is Loan Against Life Insurance Policy?

Unlock the potential of Loan Against Life Insurance Policy with Bajaj Finance. Learn how it works and its advantages in this informative video.

  • Pre-assigned loan limit

    Pre-assigned loan limit

    Get a pre-assigned loan limit of up to Rs. 5 crore with just 3 documents.

  • Approved shares

    1100 approved shares

    With our comprehensive list of 1100 shares, you can avail loan of up to 50% of your share value. Check the approved list of share.

  • Tenure of to 36 months

    Tenure of to 36 months

    Convenient tenure and repayment options starting from 7 days to 36 months.

  • Continue earning your dividends

    Continue earning your dividends

    You keep earning dividends on your shares while availing loan against it.

  • Only pay interest on loan amount utilised

    Only pay interest on loan amount utilised

    Pay interest on the withdrawn loan amount, for the utilised period. You do not need to pay EMI on the total approved loan.

  • All third part DP shares acceptable

    All third party DP shares acceptable

    All company’s or DPs(depository participants) DEMAT accounts are acceptable with us.

  • Extra credit for increased share value

    Extra credit for increased share value

    If the value of your share increases during the tenure of the loan, the eligible pre-assigned loan limit will increase. Similarly in case the value of share falls, the pre-assigned loan limit will reduce proportionally. This would be subject to “Sanction limit” not getting breached.

  • Swap pledged shares when required

    Swap pledged shares when required

    You have the flexibility to swap the pledged shares at any point of time during the tenure.

  • Dedicated customer portal (My Account)

    Dedicated customer portal (My Account)

    Download your loan statement, release share, and manage your loan online with our customer portal – My Account.

How to apply for a loan against shares

Video Image 00:45
   

Step-by-step guide to apply for loan against shares

Step 1: Click on the ‘Apply Now’ button.
Step 2: Enter your mobile number to Sign in and click ‘GET OTP’.
Step 3: Enter the OTP sent to your mobile number. On successful verification, you will be redirected to our online application form.
Step 4: Enter your basic details like – PAN, DOB and email ID.
Step 5: Check your loan eligibility by entering your security name and quantity.
Step 6: Choose the loan amount you wish to avail.
Step 7: Get your KYC done using Digilocker or by manually uploading the documents.
Step 8: Enter your bank details and verify.
Step 9: Proceed for e-agreement and e-mandate by authenticating it via OTP.
Step 10: Your loan will be disbursed after successful pledging and verification

Frequently asked questions

What are the features of loan against shares?

A loan against shares is a type of loan offered by banks and financial institutions, where a borrower can pledge their shares as collateral to obtain a loan. Here are some of the features of a loan against shares:

a. Collateral: Loan against shares is a secured loan where shares are used as collateral. The amount of loan depends on the value of the shares pledged.

b. Loan amount: The loan amount is typically a percentage of the market value of the pledged shares. For Bajaj Finance it is up to 50% of the market value of the shares.

c. Repayment: The borrower can repay the loan amount in EMIs (equated monthly installments), which includes both principal and interest.

d. Prepayment: Bajaj allows the borrower to prepay the loan amount before the due date at up to 4.72% of the loan amount (inclusive of applicable taxes).

What securities can be pledged for a loan against shares?

For loan against shared with Bajaj Finance, you can pledge over 1100 shares from 40+ AMCs.

Click here to check the list of approved shares.

What are the benefits of a loan against shares?

A loan against shares is a type of loan that allows individuals to borrow money by pledging their shares or securities as collateral. Here are some benefits of taking a loan against shares:

  • Lower interest rates: Since the loan is secured, lenders usually offer lower interest rates compared to unsecured loans. The interest rates are determined based on the value of the shares, the loan amount, and other factors.
  • No need to sell shares: By pledging shares as collateral, the borrower can get access to funds without having to sell their shares. This can be beneficial in case the borrower is holding shares that are expected to appreciate in value.
  • Flexible repayment options: The repayment options for loan against shares are usually flexible, allowing borrowers to choose a tenure that suits their needs.
  • Interest only on utilised amount: Of the total assigned limit against your shares, the customer has the option to withdraw only the required amount, and interest is paid only on the withdrawn amount.
  • Multipurpose use: The funds obtained through a loan against shares can be used for various purposes like funding a business, purchasing a property, financing education, medical expenses, etc.
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Disclaimer

* Subject to sole discretion of Bajaj Finance Limited and regulatory guidelines.