With the advancement of time, more and more people are getting interested to take the risk while investing. They are ready to invest, take the risk and earn more. When you have some shares, securities, bonds, insurance, etc., you can keep that as collateral with the lender and get a loan against securities.

You can apply for a loan against securities from registered brokers, private investors, banks, and NBFCs. Depending on the shares you have, your loan amount will depend. NBFCs usually offer loans against mid and small market capitalized stocks and other highly liquid stocks. If you apply for a loan in some renowned NBFCs such as Bajaj Finserv, you can get the loan against shares,Mutual Funds, Bonds, Insurance Policies, ESOP, IPO, and FMP.

You must remember one thing that the interest rates on loan against securities depend on the market fluctuations and liquidity of dependency.

Some factors that you need to consider while applying for a loan against securities are:

Loan Amount- The loan amount will be completely dependent upon the current share value, bank’s permissible margin, and your credit history.

The margin can be up to 50% depending on the volatility of shares and the loan amount can be up to 50% to 70% of the total value of the shares. You can get a loan amount of up to 10 crores.