In life, we tend to come across situations wherein we have an immediate need for money but owing to the already existing investments we do not have any funds with us. Such situations commonly arise when there is a marriage, someone is going abroad for education, there is a medical emergency or any other personal reason.

What we need during such times is a loan. However, most conventional loans do not cover such pressing issues. The answer in such times is loan against stocks. In other words, if you have stocks, you can use them as collateral to obtain a loan of up to Rs. 10 crores. The actual value of the loan which will be issued to you will depend on the present value of the stocks and your existing credit score among other considerations.

Just like any other loan, here too you can choose the tenor of repayment so that it does not put a strain on your budget. You get a dedicated relationship manager who is ready round-the-clock to assist you. You get an online account to check your loan-related details and as an added incentive, there are no part payment or foreclosure charges. This means that if in the future you have a sudden influx of funds, you can either pay out a part of your loan or you can pay it out fully before the completion of your tenor.

Apart from stocks, you can also use other securities such as mutual funds, IPOs, Shares, Bonds, and ESOPs as collateral. The documentation needed is minimal and includes the basic KYC documents, along with proof of your securities and passport-sized photographs.

If you are interested or require this kind of loan, then there are a number of lenders available who offer this facility. Check out the details online to make a comparison of the features offered by each so that you choose the best financial institution for availing this loan facility.