Type Of Securities

Now protect your investments from unplanned expenses. Avail loan against mutual funds or shares and get an overdraft facility at a 9.5% p.a interest rate. Select from a large list of approved securities. Lien mark mutual funds across different AMCs registered with both CAMS & KFintech and pledge shares held in demat with NSDL.

Loan Against Mutual Funds

Get Loan Against Mutual Funds within minutes. Enjoy the benefit of instant availability of funds and continue to retain ownership of your mutual fund investments to achieve your long-term investment goals.

Instant Disbursal
100% DigitalProcess
Attractive Interest Rates
Large List of Approved Funds
Explore

Loan Against Shares

Get Loan Against Shares the same day. Hold your shares as per your investment plan, meet your short-term to medium-term financial needs with Loan Against Shares.

Instant Disbursal
100% DigitalProcess
Attractive Interest Rates
Large List of Approved Shares
Explore
  • Loan Against Mutual Funds
  • Loan Against Shares

Loan Against Mutual Funds

Get Loan Against Mutual Funds within minutes. Enjoy the benefit of instant availability of funds and continue to retain ownership of your mutual fund investments to achieve your long-term investment goals.

Instant Disbursal
100% DigitalProcess
Attractive Interest Rates
Large List of Approved Funds
Explore

Loan Against Shares

Get Loan Against Shares the same day. Hold your shares as per your investment plan, meet your short-term to medium-term financial needs with Loan Against Shares.

Instant Disbursal
100% DigitalProcess
Attractive Interest Rates
Large List of Approved Shares
Explore

What Is Loan Against Securities?

Loan against securities (LAS) is a secured loan where you can avail of the loan by pledging your securities like mutual funds and shares as collateral. LAS is provided as an overdraft facility and is ideal for all your short to medium-term needs.

One of the main benefits of a digital loan against securities is that it allows borrowers to access cash without selling their investments. This means they can continue to earn returns on their securities while also using them to borrow money.

You can avail a loan against securities with Mirae Asset Financial Services at 9.5% P.A interest rate that too on utilized amount only. Avoid the hassle of visiting branches and experience 100% digital loan application process.

APPLY VIA WEB

How to Apply for a Loan Against Securities?

Get a Loan Against Securities in a few easy steps. We recommend keeping your PAN, Aadhaar Card & Bank Account details handy while applying, for a smoother experience.
  • 1
    Download the app or apply via web
  • 2
    Select type of loan and apply
  • 3
    Complete KYC using PAN & Aadhar details
  • 4
    Enter bank account & additional details
  • 5
    Pledge securities online as collateral via CAMS, KFintech or NSDL platform.
  • 6
    Verify your bank account via Net banking/ Debit card
  • 7
    Read & sign loan agreement online
  • Your loan account is ready
APPLY VIA WEB

Compare Loan Features

Let's compare loan against securities features with some commonly known secured and unsecured loans
Mirae Loan Against Securities Personal Loans Gold Loans Loan Against Property
Interest Rate
Interest Rate 9.5% p.a. (only on amount & duration utilized) 12% p.a. Onwards 14% p.a. Onwards 11% p.a. Onwards
Type
Type Secured Unsecured Secured Secured
Processing Fees
Processing Fees Rs 999/- + GST upto 2.5% of loan value + GST upto 2% of loan value + GST 1% - 3% of the loan amount + GST
Processing Time
Processing Time Loan against mutual funds: 15 Mins
Loan against shares: Same day
Digital Process: Instant
Physical Process: 1 to 2 days
Same day 10 to 30 days
Application Process
Application Process End to end digital process Both digital & physical process Physical process only Physical process only
Lock-in period
Lock-in period No lock-in 6 to 12 months No lock-in 6 to 12 months
Prepayment/ Foreclosure charges
Prepayment/ Foreclosure charges No Charges 2% to 4% of loan value + GST No Charges No Charges
Loan Tenure
Loan Tenure 1 Year upto 5 Years 1 Year upto 20 Years
Loan Value
Loan Value Loan against equity mutual funds & shares: 1 Cr Loan against debt mutual funds: 3 Cr upto 40 Lacs Based on value of collateral Based on value of collateral
Collateral
Collateral Mutual Funds & Shares No Collateral Gold Property
LTV
LTV Loan against equity mutual funds & shares: 45% Loan against debt mutual funds: 80% - 75% to 90% 75% to 90%
Income proof
Income proof Not Required ITR / Salary slip required Not Required ITR / Salary slip required
  • This data is prepared based on available information on the web and may differ from lender to lender.

Loan Against Securities Details & Charges

Our aim is to cater to your financial needs with utmost transparency and no hidden charges.
Maximum Loan Amount
Loan Against Equity
Mutual Funds & Shares

₹1,00,00,000
(Upto 45% LTV)
Loan Against Debt
Mutual Funds

₹3,00,00,000
(80% LTV)
Minimum Loan Amount
₹10,000
Loan Tenure
12 Months
& renewable thereafter
Fixed Processing Fees
₹999
+ taxes as applicable
Penal Charges
15.00% P.A. + taxes on the overdue amount for the default period**
Minimum Withdrawal Amount
₹1,000. However, there is no limit on the number of withdrawals.
Interest Rate
9.5% p.a. (on utilized amount) Interest will be due on 1st working day of every month and the same will be debited on 3rd working day of every month from your Bank Account via NACH mandate.
Stamp Duty
₹500
Foreclosure Charges
ZERO Foreclosure charges
Bounce Charges
₹500 + taxes as applicable
Annual Renewal Charges
₹999*
Bank Mandate Swap Charges
₹500*
Top Up/Security withdrawal Charges
₹500*
Security Invocation Charges
₹2,000*
(in case of default)
Collection Charges
₹5,000*
(in case of default)
Legal Charges
₹5,000*
(in case of default)
Annual Percentage Rate (APR)
9.5% to 26.3% per annum
(including fees)
Minimum Period
12 Months
Maximum Period
12 Months

* Taxes as applicable

**Applicable for new loans. The applicable penal charges on existing loans, shall be updated on our mobile application, website and also communicated over Email & SMS to all such borrowers, not later than 30th June 2024.

Let's understand with an example:

If a customer takes a loan of ₹50,000 for a period of 12 months, at an annual interest rate of 9.5% APR, then the customer will pay monthly interest for 12 months of ₹396 per month. The total loan payment over 12 months will be ₹54,752* (including principal and interest). Total Cost of Loan = Interest Amount + Processing Fees + Stamp Duty = ₹4752 + ₹999 + ₹500 = ₹6,251*

* Taxes as applicable

Things You Should Know About Loan Against Securities

Everything you need to know before and after availing an overdraft loan against securities.

Yes, you can partially depledge securities digitally without visiting a branch or any physical paperwork. If you want to replace one security with another, you will have to complete depledge of the security via partial security withdrawal facility & add another security using top-up facility.

The revised eligible limit will be calculated on the basis of revised collateral value of underlying securities. Eligible limit = Collateral value x LTV%.

For partial security depledging follow below steps

  • - Login to mobile app or web.
  • - Go to transaction tab and click security withdrawal.
  • - Select loan account & application number under which securities are pledged.
  • - Select the securities and number of units to depledge.
  • - Click calculate to check revised collateral value, revised available limit & revised total limit.
  • - Verify via OTP authentication. Your request is submitted.

Your request will be reviewed and processed accordingly. The securities will be released within 24 working hours.

Note: Security withdrawal charges of Rs 500/- + Taxes will be applicable in case of partial security withdrawal. There are no charges for the foreclosure of loan account.

An interest rate of 9.5% p.a. is charged only on the utilized amount and for the number of days you utilize the amount. The interest is calculated on the utilized amount daily at the end of day, Interest = (utilized amount x interest rate)/ 365. The interest will be accrued till the end of month and will be due on 1st working day of every month. The same will be debited on the 3rd working day of next month from your registered Bank Account via NACH mandate. You will be notified on your registered email ID to maintain sufficient balance.

Note: Payments made via Pay Now facility will not be adjusted against the interest amount.

Example: Vijay availed a loan against securities by pledging equity securities of value Rs.10 lakhs and got an eligible limit of Rs.4.5 lakhs (assuming the pledged securities have an LTV of 45%). He made a withdrawal of Rs.1 lakh on 5th Jan 23 and Rs.1 lakh on 10th Jan 23. Vijay repaid Rs.1 lakh on 20th Jan 23 and Rs.1 lakh on 25th Jan 23. Vijay will receive an intimation on 1st Feb 23 to maintain sufficient balance to pay interest of [(9.5%/365)x{(5x1,00,000)+(10x2,00,000)+(5x1,00,000)}] = Rs.781 which will be auto debited on the 3rd Feb 23.

At present, it is not possible to digitally lien mark or pledge Mutual Funds held in demat form through Mirae Asset Financial Services.

You may check the list of banks facilitating e-mandate process here https://www.npci.org.in/PDF/nach/live-members-e-mandates/Live-Banks-in-API-E-Mandate.pdf

Securities value changes on a daily basis. Since the eligible limit of the loan account is dependent on the underlying collateral value (Eligible limit = collateral value x LTV%), the eligible limit of the loan account also changes as per change in collateral value. This revaluation of loan account happens on a daily basis. NAV as on previous day’s closing is considered to calculate collateral value.

Example: Arun has availed loan against securities by lien marking or pledging securities worth Rs 10 lakhs. The eligible limit of his account is Rs 4.5 lakhs (10 lakhs x 45% LTV) (assuming an LTV of 45%). If the value of underlying securities drop to 9.5 lakhs, the revised eligible limit will drop to 4.05 lakhs (9.5 lakhs x 45% LTV).

Yes, lien marking or pledging of securities is safe. The pledging of securities happens at the RTAs (CAMs and/or Kfintech) or Depository (NSDL), firms registered with SEBI with proper authentication.

If your loan account creation fails after pledging the securities, your securities will be absolutely safe and secure since the lien marking or pledging happens at RTAs/Depository. You can reach customer support at 1800 2099 180 (Monday to Friday, 9am to 6pm) or write at mcare@miraeassetfin.com. The support team will either clear the issue faced or send your securities for de-pledging to RTAs/depository.

On maturity, you have an option of renewing your loan account for further 12 months. If renewed, any principal amount utilized is carried forward to the next year. If you wish not to renew your loan account, you will be requested to repay the outstanding amount before maturity date. The utilized amount if any on maturity will become overdue and the same needs to be repaid within 7 days.

Your withdrawal request may take up to 4 working hours to process. Any request received after 5 pm and on a non-working day will be processed on the next working day.

If the money is debited from the bank account and is not reflected in the loan account, the transaction may be pending at your bank. It will reflect in the loan account within 72 working hours or the amount will be refunded back to the bank account. If the transaction remains pending beyond this timeframe, please contact your bank, as the transaction is still in process on their end.

Disclaimers

  • Credit limit is at the sole discretion of Mirae Asset Financial Services (India) Pvt Ltd.
  • The Loan Against Securities is for personal use. The loan amount cannot be used for speculative activities, capital market-related purposes, or anti-social purposes.
  • In case of repayment, payment is considered successful upon reflection or settlement within Mirae Asset Financial Services' system; additionally, interest will accrue (if applicable) until the settlement date.