Secure liquidity without selling

Loan Against Mutual Funds

Access Funds quickly while staying invested. Lower rates (8-15% p.a.), same-day disbursal, and no foreclosure charges.

Ownership retained
RBI-regulated
Interest-only

How it works

Import MF holdings
Verify PAN & mobile to fetch units
Select amount & pledge
Choose amount and confirm units
Link bank & e-sign
Set up mandate and sign digitally
Review & disbursal
Lender reviews and disburses

Understanding LAMF

What happens to my mutual funds?

  • Units stay in your name with a lien
  • You keep earning returns/dividends
  • Lien is released once the loan is closed

Why choose LAMF over redeeming?

  • Rates start at 10.25% p.a.
  • No exit load or tax trigger
  • Top up or repay anytime

How do repayments work?

  • Interest auto-debited monthly via mandate
  • Withdraw again once you repay
  • Foreclose anytime without penalty
Loan Against Mutual Funds Calculator
Estimate eligible limit and monthly interest. This is illustrative only.
65%
Typical range varies by fund type and partner policy.
10.5
12
₹2,50,000
Max eligible: ₹3,25,000
Eligible limit
₹3,25,000
Chosen amount
₹2,50,000
Monthly interest (est.)
₹2,188
Interest-only. Exact amount varies with lender policy.
Interest over tenure
₹26,256
Illustrative calculation for selected tenure.

See how people like you used LAMF

Real examples from satisfied borrowers

Persona
Salaried professional
Need
₹3,00,000 for medical advance
Holdings
Equity + hybrid funds worth ₹6,20,000
Eligible: ₹3,72,000 (60% LTV)
Timeline
Application 10 mins, disbursal same day
Repayment
Interest-only ₹3,100/month; cleared in 5 months
Before: Funds locked for goals
After: Funds still invested + cash in bank
"I kept earning returns while clearing hospital bills."
Persona
Business owner
Need
₹12,00,000 to bridge inventory cycle
Holdings
Debt + liquid funds ₹20,00,000
Eligible: Drew ₹10,00,000 first, topped up by ₹2,00,000 later
Timeline
Partial withdrawals, no prepayment fee
Repayment
Reused line twice in a quarter
Before: Inventory cash flow gap
After: Flexible credit line + funds growing
"I borrow only what I need and repay as customers pay me."
Persona
HUF education fund
Need
₹35,00,000 fees for two siblings abroad
Holdings
Diversified portfolio
Eligible: ₹45,00,000 approved
Timeline
Assisted onboarding, document pickup
Repayment
Dedicated RM, lien release timeline after closure
Before: Education fees needed
After: Portfolio intact + fees paid
"The HUF portfolio stayed invested for long-term goals."

Get ready to apply

What you'll need

PAN card
Aadhaar/Passport/Voter ID
Consolidated Account Statement (CAMS/Karvy or demat)
Bank account + cheque
E-mandate consent
Registered mobile for OTP

Myth busters

Do I lose dividends?
No, payouts continue to your bank account even while units are pledged.
Is my credit score impacted?
Only the amount you draw is reported; unused limit doesn't show on credit report.
Can I redeem pledged units?
You'll need to close or partially repay before redemption. Units remain under lien until loan closure.

Before you start

Steady internet connection
5–10 mins uninterrupted time
Ensure mutual funds are not locked-in
Keep bank device handy

Your money stays protected

How pledging works

  1. Select funds you want to pledge
  2. Provide OTP consent for lien marking
  3. Lien marked in registrar system
  4. Funds available in your account

Lien release timeline

Loan closure request
Payment confirmation
Lender removes lien
Registrar update within 48–72 hrs

Compliance

  • RBI digital lending guidelines (2022 circular)
  • SEBI circular on MF lien marking
  • Data residency in India

Data security

  • Encryption at rest and in transit
  • Consent capture for all data sharing
  • Limited API scopes with smallcase

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Secure infrastructure
RBI-regulated lending partner
Compliant operations
ISO-certified infra
Enterprise-grade security

Features & benefits

Ownership retained

Pledge units as security and keep participating in market movements.

Continue earning dividends

Dividend payouts continue to your bank account even while units are pledged.

Lower cost vs unsecured loans

Backed by collateral, rates are typically more competitive than personal loans.

Fast, digital process

Guided application, e‑mandate, and e‑sign deliver a smooth experience.

Swap pledged units

Replace pledged units with others if needed, subject to lender approval.

Interest-only servicing

Pay interest only on the amount you draw, not the entire sanctioned limit.

Regular loans vs LAMF

Regular personal loan
  • Unsecured; higher interest rates (16%+)
  • EMI includes principal + interest from day one
  • Prepayment charges may apply
  • No benefit from market growth
  • Uses more credit bureau limit
Loan against mutual funds
  • Secured against MF units; typically lower rates (8-15%)
  • Interest‑only servicing in many cases
  • Flexible drawdown and repayment options
  • Stay invested and retain potential upside
  • Only pay interest on amount utilized

How to apply

  1. 1) Import holdings — verify PAN and registered mobile to fetch MF units.
  2. 2) Choose amount — confirm an amount within your eligible limit.
  3. 3) Link bank account — set up e‑mandate for interest servicing.
  4. 4) Pledge & e‑sign — confirm units to pledge and sign the agreement.
  5. 5) Review & disbursal — lender reviews and disburses to your account.
Things you'll need
  • PAN and MF‑registered mobile number
  • Valid ID and address proof for KYC
  • Active bank account for disbursal and mandate
  • Access to pledged MF statements for verification

How to maximize benefits

Borrow only what you need

Keep utilization within a comfort band so interest stays predictable; resize drawdowns instead of maxing the limit.

Pledge diversified, liquid schemes

Prefer large-cap equity, dynamic debt, or hybrid funds that are easier to pledge/release and less volatile.

Monitor LTV during volatility

Turn on alerts; if NAV dips, add collateral or repay part of the draw to avoid shortfall triggers.

Prepay when cash flows improve

Lump-sum repayments cut total interest because you only pay on the amount outstanding.

Key things you should know

Partner-set eligibility

LTV bands, approved AMCs, and limits are defined by the lending partner and can change.

Units stay invested

You keep earning returns/dividends while the lien is active; units unlock once the loan closes.

Shortfall handling

Missed interest or sharp NAV drops can lead to margin calls or partial liquidation—watch alerts.

Illustrative examples

All numbers shown on this page are sample calculations; final terms appear in your sanction letter.

View FAQ for more details →

Create your profile to begin

Enter a few details so we can set up your secure profile with our lending partner.

Frequently asked questions

LAMF lets you borrow funds by pledging your mutual fund units as collateral. You don't have to sell your investments—units stay in your name with a lien, and you continue earning returns while accessing liquidity.
View all FAQs
Disclaimer

The calculator, limits, and examples shown are illustrative only and do not constitute financial advice. Eligibility, rates, and charges are determined solely by the lending partner and may change without notice. Always review the sanction letter and loan agreement before proceeding.

Terms & Conditions (summary)
  • Eligibility, LTV and rate of interest depend on scheme category and partner policy.
  • Units remain under lien until loan closure. Redemption/switch may be restricted.
  • Missed payments or shortfalls can result in additional charges and recovery actions per agreement.
  • Detailed terms will be shown inside the application flow before you e‑sign.