Best Loan Against Shares & Mutual Funds in India 2025
Compare top lenders offering Loan Against Shares and Loan Against Mutual Funds. Get quick liquidity without selling your investments with India's best securities-backed loans.
Lower Interest Rates
3-5% lower than personal loans
Quick Processing
Get funds in as little as 24 hours
Keep Your Investments
No need to sell your securities
Find the Best Loan Against Securities for You
Loan Against Mutual Funds
A Loan Against Mutual Funds enables you to use your mutual fund investments as collateral. This option is perfect for investors who want to maintain their long-term investment strategy while accessing immediate funds.
- LTV Ratio: Up to 80% of your mutual fund portfolio value
- Interest Rates: Starting from 10.25% (banks) to 13.75% (NBFCs)
- Eligible Funds: Equity, debt, and hybrid mutual funds with good NAV
- Flexible Repayment: Multiple repayment options to suit your cash flow
Banks vs NBFCs: Key Differences for Securities-Backed Loans
Understanding the differences between banks and NBFCs is crucial when choosing a Loan Against Shares or Loan Against Mutual Funds provider.
| Features | Banks | NBFCs |
|---|---|---|
| Loan Limit | Limited to ₹20,00,000 as per RBI guidelines | Can disburse loans above ₹20,00,000 |
| Interest Rates | Generally lower (10.5% - 12.5%) | Slightly higher (11.5% - 14%) |
| Processing Time | 3-7 business days | 1-3 business days |
| Documentation | More extensive documentation required | Simplified documentation process |
| Eligibility Criteria | Stricter eligibility requirements | More flexible eligibility criteria |
| Repayment Flexibility | Less flexible repayment options | More flexible repayment structures |
Best Loan Against Shares Providers of June 2025
Compare the top lenders offering Loan Against Shares to find the best interest rates, LTV ratios, and processing times.
| Lender | Minemi Rating | Estimated APR | Loan Amount | Min. Credit Score | |
|---|---|---|---|---|---|
 HDFC Bank Best overall home loan provider Bank | 5/5 | 8.00% - 12.50% | ₹1,00,000 - ₹5 Cr | 750 | |
 ICICI Bank Best for existing bank customers Bank | 4.5/5 | 8.25% - 13.00% | ₹1,00,000 - ₹5 Cr | 740 | |
 Aditya Birla Finance Best for self-employed individuals NBFC | 4.5/5 | 8.50% - 14.00% | ₹50,000 - ₹3 Cr | 720 | |
 Bajaj Finserv Best for quick disbursals NBFC | 4.5/5 | 9.00% - 15.00% | ₹50,000 - ₹2 Cr | 710 | |
 Mirae Asset Best for quick processing Fintech | 4/5 | 9.00% - 15.00% | ₹50,000 - ₹2 Cr | 710 | |
 Tata Capital Best for flexible repayment options NBFC | 4/5 | 9.75% - 17.00% | ₹50,000 - ₹1.5 Cr | 700 | |
 Volt Best for digital experience Fintech | 4/5 | 10.00% - 18.00% | ₹50,000 - ₹1 Cr | 690 |
Many, or all, of the products featured on this page are from our partners who compensate us when you take certain actions on our website or click to apply on their website. However, this does not influence our evaluations. Our opinions are our own.
Best Loan Against Mutual Funds Providers of June 2025
Compare the top lenders offering Loan Against Mutual Funds to find the best interest rates, LTV ratios, and processing times.
| Lender | Minemi Rating | Interest Rate | Max LTV | Processing Fee | |
|---|---|---|---|---|---|
HDFC Bank Best overall for mutual fund loans Bank | 5/5 | 10.25-11.75% | Up to 65% | 0.50-1.00% | |
ICICI Bank Best for existing customers Bank | 4.5/5 | 10.50-12.00% | Up to 60% | 0.50-1.00% | |
Aditya Birla Finance Best for high-value loans NBFC | 4.5/5 | 11.25-13.25% | Up to 80% | 1.00-1.50% | |
Bajaj Finserv Best for quick processing NBFC | 4.5/5 | 11.50-13.50% | Up to 75% | 1.00-2.00% | |
Mirae Asset Best for digital experience Fintech | 4/5 | 11.75-13.75% | Up to 70% | 1.00-1.50% | |
Tata Capital Best for flexible repayment NBFC | 4/5 | 11.50-13.50% | Up to 70% | 1.00-1.50% |
Many, or all, of the products featured on this page are from our partners who compensate us when you take certain actions on our website or click to apply on their website. However, this does not influence our evaluations. Our opinions are our own.
Top Picks for Loan Against Securities
We've analyzed dozens of Loan Against Securities options to bring you the best lenders for different needs.
Best for Loan Against Shares
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Best for Loan Against Mutual Funds
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How Loan Against Securities Works
Pledge Your Securities
Pledge your shares or mutual funds as collateral for the loan without selling them.
Lender Evaluation
The lender evaluates your securities and determines the loan amount based on LTV ratio.
Quick Disbursement
After approval, the loan amount is disbursed to your account within 24-72 hours.
Repay & Release
Repay the loan as per the agreed terms, and your securities are released back to you.
Frequently Asked Questions About Loan Against Securities
What is a Loan Against Shares?
A Loan Against Shares is a secured loan where you pledge your equity shares as collateral to obtain a loan. The loan amount is typically 50-70% of the market value of the pledged shares, with interest rates starting from 10.5%.
What is a Loan Against Mutual Funds?
A Loan Against Mutual Funds is a secured loan where you pledge your mutual fund units as collateral. You can typically get up to 80% of your mutual fund portfolio value as a loan, with interest rates starting from 10.25%.
What is the difference between a bank and NBFC for securities-backed loans?
Banks are limited to providing loans up to ₹20,00,000 as per RBI guidelines, while NBFCs can offer higher loan amounts. NBFCs typically have faster processing times but slightly higher interest rates compared to banks.
Which securities are eligible for Loan Against Securities?
Eligible securities typically include shares listed on NSE/BSE, equity mutual funds, debt mutual funds, government securities, and bonds. Each lender maintains an approved list of securities that they accept as collateral.
What happens if I don't repay my Loan Against Securities?
If you fail to repay your loan, the lender has the right to liquidate your pledged securities to recover the outstanding amount. This could result in potential losses if the market value has decreased.
Can I continue trading with pledged securities?
Generally, you cannot trade the securities that are pledged as collateral. However, some lenders offer facilities where you can trade within certain limits while maintaining the required collateral value.
What is the margin call in Loan Against Securities?
A margin call occurs when the value of your pledged securities falls below a certain threshold. The lender will ask you to provide additional securities or repay part of the loan to maintain the required loan-to-value ratio.
Ready to Get a Loan Against Your Securities?
Compare Loan Against Shares and Loan Against Mutual Funds options from India's top lenders and find the perfect solution for your financial needs.