positive
Recently
Use Portfolio Strength to Secure Lower Interest Rates
Mutual fund collateral enables cheaper borrowing compared to unsecured credit facilities.
Traditional credit depends on salary, but LAMF depends on wealth. Pledging mutual funds offers a "secured" status, leading to interest rates near 10.5%, much lower than credit cards. In 2026, banks view the ₹81 lakh crore mutual fund industry as excellent collateral. This shift allows disciplined savers to leverage their "portfolio strength" to access the cheapest capital, effectively rewarding them for their investments. Apply Now