Loan Against Securities

Loan Against Securities (LAS) enables you to take advantage of your investments by pledging financial assets such as Shares, Mutual funds, ETFs (Exchange Traded Funds), and Bonds as collateral to the lending institution to get a credit facility. You can borrow funds between INR 5 lakhs to INR 20 crore* against these financial assets at floating rates of interest ranging between 9.50% to 11.50%* per annum. Indian residents, in addition to owners of Sole proprietorships, Private Trusts, Public or Private Limited Companies, and HUFs, are eligible to apply for a Loan Against Securities (LAS).

Features and Benefits of Loan Against Securities (LAS)

A digital Loan Against Securities is a smart way to access funds without liquidating your investments. SMFG India Credit offers a seamless and efficient lending experience, backed by a wide range of approved financial instruments. Here’s what makes it valuable:

• Loan Amount from INR 5 Lakhs to INR 20 Crore*: Suitable for a variety of personal and business requirements.
• Wide Range of Approved Securities: Get a Loan Against Shares, Loan Against Mutual Funds, bonds, or ETFs, depending on your portfolio.
• Competitive Interest Rates on LAS: Enjoy attractive rates tailored to your profile.
• Seamless Processing and Faster TAT: Benefit from quick approvals and disbursals to meet urgent needs.
• Flexible Drawdown and Repayment Options: Optimise usage of funds throughout the loan tenure.

*Terms and conditions apply.

Approved Loan Against Securities (LAS)

SMFG India Credit accepts a wide range of financial instruments as collateral under its LAS facility. These enable borrowers to raise funds without liquidating their investments, while retaining ownership and potential capital gains.

Eligible Securities for LAS, LTV, & Borrowers

Borrowers must meet SMFG India Credit’s eligibility norms, and all pledged securities must be from the approved list. The LTV% is subject to change in line with regulatory guidelines or SMFG India Credit’s internal policies.

Maximum Sanction Amount for Loan Against Securities (LAS)

With SMFG India Credit’s LAS, you can access funding ranging from INR 5 lakhs to INR 20 crore*, depending on the type of security pledged. The sanction amount is determined by the applicable LTV ratio, which varies between 50% and 85%*, along with your overall eligibility, creditworthiness, and prevailing policies at the time of application.

Eligibility & Documents for Loan Against Securities (LAS)

The eligibility for LAS is simple and designed to accommodate a wide range of borrowers. General requirements include:

• Applicants must be at least 21 years old and able to demonstrate a steady source of income.
• A valid Savings, Current, and Demat Account is required.
• The applicant should hold approved securities with a minimum portfolio value of INR 10 lakhs.
• A minimum credit score of 600 is necessary.

*These are the basic eligibility criteria for a Loan Against Securities. Final loan approval will be subject to an overall assessment of the applicant’s profile as well as SMFG India Credit’s policies at the time of application.

Below is a list of indicative LAS documentation you may need to submit when applying:

* In line with your Know Your Customer policy

**As applicable

If you apply with a co-applicant, their PAN card, KYC documentation, and other essential documents must also be submitted.

The above list is indicative of the general documentation required for LAS. Depending on the applicant’s profile, the type of securities pledged, and SMFG India Credit’s policy at the time of assessment, additional paperwork may be requested.

Important Notes:

• Keep original identity and address proofs ready for onsite verification, unless digital KYC has been completed.
• If your submitted address proof does not match your current residence, you may provide any valid Deemed Officially Valid Document (OVD). Click here for the approved list.
• Within three months of submitting an initial address proof, you must furnish an OVD that correctly reflects your present address.

Loan Against Securities (LAS) Interest Rates and Charges

SMFG India Credit offers a competitive and transparent interest rates and charges  for its LAS facility. The charges are designed to remain cost-effective while giving borrowers flexibility. Below is a summary of the applicable fees and charges:

*Applicable for Securities in demat form

When to Use a Loan Against Securities (LAS)?

Investments are usually made to build wealth and achieve long-term financial goals. However, there may be times when you require liquidity to meet urgent needs or seize short-term opportunities, without disrupting your portfolio. In such cases, an instant Loan Against Securities can be the perfect solution. With SMFG India Credit’s LAS, you can access funds quickly while continuing to retain ownership of your investments.

• Contingency Expenses: Managing urgent medical bills or unexpected family-related costs when immediate liquidity is unavailable.
• Short-Term Investment Opportunities: Taking advantage of the right opportunities when cash flow is tight.
• Business or Personal Cash Flow Gaps: Covering periodic working capital needs, operational expenses, or personal obligations without selling your assets.

Additionally, you also benefit from the assistance of a dedicated Relationship Manager for guidance and support.

How to Apply for a Loan Against Securities (LAS) Online?

You can apply for a Loan Against Securities online in a hassle-free manner by following these easy steps:

• Click on the “Apply Now” button on this page.
• Fill in the basic details of your securities and personal credentials.
• A reference number will be generated, and our representative will get in touch with you.
• If you wish to apply for a loan offline, walk into any of our branches and get in touch with a customer care representative. Alternatively, you can call our toll-free number 1800 419 8900 from 9:00 AM to 7:00 PM (on all days except Sundays, the 4th Saturday of the month, and public holidays), or reach out at  .

Unleash The Power of Your Portfolio With A Loan Against Securities (LAS)

Unlock the potential of your investment portfolio with SMFG India Credit's Loan Against Securities (LAS). Whether you're looking to manage urgent expenses, fund personal projects, or obtain working capital, LAS can provide you with the financial flexibility you need while keeping ownership of your investments intact.

Apply online today to take advantage of competitive interest rates and maintain the freedom to stay financially empowered without sacrificing your long-term objectives.