All the Documents Required for Loan Against Shares
Many people invest in shares, stocks and shares as a means to grow their finances and keep money handy for sudden needs. These investments are also great for retirement planning or for your child’s future education. However, when the need arises, you need not withdraw the invested amount. Instead, you could take a loan against these shares while your investment continues to grow.
Bajaj Finserv offers self-employed individuals a Loan Against Shares that can go up to INR 15 crore. This loan can be used to help your business interests or for any other requirement.
Even if you’re a salaried individual, a sudden need for extra finance could come up. Loans Against Shares for salaried borrowers are also available with Bajaj Finserv. You could get a loan against your mutual fund units, demat shares, insurance policies, non-convertible debentures and more. If you would not like to take a loan against shares, Bajaj Finserv also offers a Loan Against Fixed Deposit.
Are You Eligible for a Loan Against Shares?
Taking a loan against shares is an attractive option as it gives you liquidity without dissolving your bonds or stocks. The most commonly asked question while applying for this kind of loan is “What are the documents needed for a loan against shares?” Eligibility documents for a loan against shares include,
- Photo identity proof
- Proof of stock ownership
- Address proof
- Income proof such as your salary slips
- Form 16
- Proof of employment, such as an appointment letter
- Demat account statements and bank statements.
Besides eligibility documents for a loan against shares in India, there are other criteria that you will have to meet. Your shares should be completely paid for and they should be on your lender’s approved list. These shares should also be in marketable lots.
If you are the director of your own firm, you cannot use the shares of that firm to take a loan. Also, any shares which are in the name of minors in your family cannot be used to get a loan.
Remember, if you already have another loan, you should submit bank statements on that loan as well. Keep all your loan against shares documents in order before applying for a loan, so you can submit them on demand.