Money Matrix Hub · Pillar guide · Reviewed 2026-04-25
Loan Against Securities (LAS) India 2026: Shares, MFs, Bonds
Loan Against Securities (LAS) lets you raise funds without selling — pledge listed shares, mutual fund units, bonds, or insurance policies for an overdraft line. RBI caps LTV at 50% for equity, 75% for debt MFs / bonds. Rates start 9.50% at private banks, with HDFC, ICICI, Axis, Kotak, IIFL leading the digital-lending push.
Quick eligibility check
Match your salary, age, CIBIL score, and existing-EMI ratio to each lender's 2026 cut-offs in 60 seconds.
Run eligibility calculator →Top 5 lender rates this week
| Lender | Min % | Max % | Max amount (₹ Cr) | Tenure (yrs) |
|---|---|---|---|---|
| IndusInd Bank | 10.49 | 24.00 | 0.5 | 6 |
| HDFC Bank | 10.50 | 21.00 | 0.4 | 6 |
| ICICI Bank | 10.85 | 16.50 | 0.5 | 6 |
| Axis Bank | 10.99 | 22.00 | 0.4 | 6 |
| Kotak Mahindra Bank | 10.99 | 16.99 | 0.4 | 6 |
Reviewed 2026-04-25. Always confirm with the lender before you apply.
How to apply: step-by-step
- Compare lender rates side-by-side. Use the rate board to shortlist 3-4 lenders matching your profile and tenure preference.
- Run an eligibility check. Match income, CIBIL, vintage, and existing-EMI ratios against each lender's published cut-offs.
- Collect KYC + income documents. PAN, Aadhaar, salary slips (3 months) or ITR (2 years for self-employed), bank statements (6 months).
- Submit application + soft-pull. Most digital lenders use soft credit pull at the offer stage so your CIBIL is unaffected.
- Sanction letter + acceptance. Read the sanction letter carefully — focus on processing fee, foreclosure terms, and reset clauses.
- Disbursal. Funds typically credited within 24-72 hours of acceptance for unsecured products.
FAQ
What is the maximum LTV for LAS on equity?
50% per RBI Master Direction. Some private banks offer 70-75% on debt MFs and bonds.
Which securities are eligible?
Listed equity shares (A/B group), debt mutual funds, equity MFs (with haircut), Govt bonds, corporate bonds (AA+), insurance with surrender value, and gold ETFs.
Are unlisted shares accepted?
Generally no — only listed securities with daily mark-to-market.
What is the typical interest rate?
9.50-12% at private banks; PSU banks 10-13%; some NBFCs 12-15%.
Is there a margin call?
Yes — if LTV breaches the lender's threshold (typically 60-70%), you must add cash / shares within 24-72 hours.
Can I sell pledged shares?
No — shares are pledged with depository (NSDL / CDSL); release requires loan repayment.
Are dividends still received during pledge?
Yes — dividends are credited to your bank as usual; pledge is on principal value.
What is the typical drawdown structure?
Overdraft against approved limit; interest only on utilised portion.
Can I add securities to increase the limit?
Yes — top up the pledge any time; limit revises.
Are tax saving deductions available?
No specific deduction for LAS interest unless used for an income-generating purpose (business / let-out property).
Related cluster topics
RBI guidelines for this product
This product is governed by RBI Master Directions and KFS / FPC requirements. Read the latest applicable circulars and ensure your lender complies before sanction.
View RBI circulars for this category →Related reads
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