Can I apply for both Loan Against Shares and Loan Against Mutual Funds simultaneously?

Yes, as long as you meet the eligibility criteria for both types of loans.

What happens if the value of my shares or mutual funds decreases after taking the loan?

For LAS, a margin call may be triggered, requiring you to provide additional collateral. For LAMF, the lender might adjust the loan amount.

Are there any tax benefits for taking a loan against shares or mutual funds?

No direct tax benefits are available for these loans. However, the interest paid may be claimed as an expense if the loan is used for business purposes.

Can I continue receiving dividends or interest income while my shares or mutual funds are pledged?

Yes, dividends and interest income from your pledged investments continue to be credited to your account.

Is a credit score required for availing of a loan against shares or mutual funds?

While credit score requirements are lenient for these secured loans, a good credit score may help negotiate better terms.

Loan Against Shares vs Loan Against Mutual Funds

Loan Against Shares vs Loan Against Mutual Funds - Liquify

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