Get a cheaper, faster and safer loan against your mutual funds.
Stop paying high interest on personal loans. Get a personal line of credit quickly and easily without any documentation. All you need are existing mutual fund investments and an HDFC bank account.
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Low interest compared to personal loans
Escape from high interest personal unsecured loans. Current Rate of Interest is 10.85%*. Lower interest means more money for you.
Get the loan easily without documentation
Free yourself from the hassles of never ending documentation and waiting in banks to get your loan disbursed.
No-EMI flexible use and repayment
It's simple - borrow as much as you want, when you want and repay when you are able to. No fixed EMIs and you only get charged interest on the net borrowed amount.
The only solution for your borrowing needs
Need money until your next salary is credited? Don't want to redeem your mutual fund investments but need liquidity? Want to pay off a high interest credit card bill? Self employed and banks won't give you a personal loan? Now there is a solution powered by India's biggest bank - HDFC Bank.
Let's get started
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It's quick.
We mean it when we say it. It's secure, fast and easy - no documentation, or income proofs. No long lines. No probing questions from your RM.
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1
Provide Basic Information
Provide us your basic details and log on to the HDFC platform to get started. Remember to use our partner code to get the best interest rates!
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2
Choose your funds and loan amount
Choose which mutual funds you want to a loan against and get instant information on loan amount. You are just setting a max limit - borrow as much as you want, when you want.
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3
Get money in your HDFC account
Once you complete the basic process above, the loan amount can be accessed immediately.
Moneyjar™ is trusted by thousands of customers
I have grown to expect Moneyjar™ to provide the best of services, whether it was investing through their jars or borrowing against mutual funds. Their advice and easy to use platform is well appreciated!
Ashish P.
Never knew that I could borrow against my mutual fund investments. Now I don't have to worry about running out of money beore my salary is credited. I always have a ready line of credit in case of need. Thanks to Moneyjar™!
Sahil R.
How is this different from a personal loan?
Loan against mutual funds is an overdraft loan. Overdraft loans are very powerful - read below to know how they can be used to your advantage.
Traditional
Personal loan
High interest rates (more than 15%) Fixed compulsory EMI Complicated documentation Regular income proof Multiple loans affect CIBIL score
New
Loan against mutual funds
Low interest rates (~10.7%) Flexible repayment No documentation or income proof 3-minute online disbursement One loan account for varied needs
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Frequently asked questions
What is a loan against mutual fund?
Loan against mutual fund is a loan taken by providing mutual fund investments as security. As mutual fund prices are widely known, there is very little additional documentation required to complete the process (no income proof, etc. required). Also, due to the inherent safety of mutual funds, banks provide the loan at a lower cost to you. The typical funding margin is 50% of equity mutual fund investment and 80% of debt mutual fund investment.
The loan is given as an overdraft loan.
What is overdraft loan?
Overdraft loan is where a maximum line of credit is set for you and you can choose to borrow as much as you like and repay when you can. The interest charged is only on the net borrowed amount as compared to a personal term loan where you are charged interest on entire amount outstanding.
For example, if you have ₹10,00,000 worth of equity mutual funds, you will be given a maximum line of credit of ₹5,00,000. This is the maximum amount you can borrow at any given time. However, interest is not charged on ₹5,00,000 but on the net amount you borrow.
So, if you borrow ₹1,00,000 today and then repay ₹20,000 you are only charged interest on net borrowed amount of ₹80,000. Your net borrowed amount can never be more than ₹5,00,000.
You can increase maximum limit by providing further mutual funds as security.
What is the procedure?
You provide us basic details. You are then redirected to the HDFC loan platform where you login using your netbanking credentials. Here you provide some more details and input our channel partner code to get a great rate of interest. Once you enter this, you are redirected to the CAMS platform. Here you choose which funds you want to borrow against. Do remember you will have to go through this process twice for debt and equity funds. Once this is done, you will see the line of credit setup in a separate overdraft account in your HDFC netbanking console.
Why can’t I see all my funds?
Currently, only mutual funds serviced by the CAMS RTA can be used. Those managed by Karvy, Franklin and Sundaram can't. Karvy funds will be added very soon.
Why do I have separate accounts for debt funds and equity funds?
According to RBI regulations, debt and equity products have different allowable margins and interest rate. In order to ensure this difference is honoured, there are separate current accounts.
Are there any limitations on amount of loan?
Minimum value of ₹1,00,000 and maximum value of ₹10,00,000 on equity funds and ₹1,00,00,000+ on debt funds.
What is the margin to which I get funded?
The typical funding margin is 50% of equity mutual fund investment and 80% of debt mutual fund investment.
Can I get a loan online if I'm an NRI?
Currently only Indian residents can apply for this loan online. If you're a Non-Resident Indian and want a loan against mutual funds or shares, please call or WhatsApp us at
Other than mutual funds, what can I take a loan against?
Shares, Insurance, KVP, NSC, and others can also be used. Call or WhatsApp us at
Are there any processing fees associated with the loan?
Yes, there is a one-time processing fee of ₹1,499 + GST plus loan franking charges, which vary from state to state (0.1% of loan amount in Maharashtra). All charges applicable will be part of the terms and conditions that you go through before loan is disbursed.
How do I extinguish the loan?
You need to fill a de-pledge form that either we can provide or you can order from HDFC. Post this, you can sell your mutual fund holdings anytime you want.
Where can I contact if there are any issues?
Call or WhatsApp us at