Liquidating a mutual fund before maturity is not a very sensible move despite the financial problems one must be facing. This is even worse if the investment is liquidated just a week or a month before the maturity date. When you do this, your investment fails and becomes incapable of yielding the desired amount of profits. The same can be avoided, especially under the above-mentioned circumstances, by applying for a loan against mutual funds.

A loan against mutual funds is a simple mortgage scheme with a twist: the mortgage in this particular credit facility is generally investment securities. For instance, someone willing to avail a loan at a low-interest rate can apply for the said scheme by mortgaging investment securities such as mutual funds, FD, life insurance bonds, and equities etc.

The perks of taking a loan in comparison to liquidating your investment to meet the cash needs, the maturity value of the investment is preserved while the applicant gets sufficient cash to get through his/her financial urgencies. Though as an applicant, you must always check the maximum amount offered by the loan before applying for it.

The application process is pretty easy and the same can be done using the online application process given the lender you choose has such a facility. If they have the online application feature, you can navigate to the online application form, fill it, and submit it along with the soft copies of all documents.