How To Apply For ICICI Bank Insta Loan Against Mutual Fund?
Availing ICICI bank Insta loan against mutual funds is now easy. Read on to know the steps to apply for the same.
Customers of ICICI Bank now have the option of obtaining Insta loan against mutual funds. Simply put, an Insta loan against mutual funds is a paperless and fully digital tool that enables investors to obtain this loan quickly and easily as an overdraft without having to visit a branch and provide physical documentation. A customer can utilise this feature by placing a lien on the mutual funds managed by asset management firms registered with Computer Age Management Solutions Private Limited (CAMS).
Insta Loan Eligibility
A select group of pre-qualified account holders who have been holding mutual funds registered with CAMS and a savings account with ICICI Bank are eligible for this feature. It is available to both individuals holding portfolios and resident Indians.
How To Apply For ICICI Bank Insta Loan?
Follow the steps to learn how to apply for ICICI Bank Insta loan:
Step 1: Open ICICI Bank Internet Banking and log in
Step 2: Click on Loan Against Mutual Funds under Investment & Insurance
Step 3: Then choose the mutual fund type you want to indicate as having a lien on it
Step 4: Use One-Time Password (OTP) authentication on the CAMS interface to validate the request
Step 5: Read and agree to the terms and conditions of the instant loan
Step 6: Enter the OTP to open the loan against mutual fund Over Draft (OD) account right away
Step 7: After lien marketing confirmation, the limit will be put in the appropriate OD loan account
Step 8: Then start putting the money to use
Please note: Be sure to understand the procedure if the market value of the unit changes while the loan is being applied for.
ICICI Bank Insta Loan Against Mutual Fund: Points To Remember
Only certain ICICI Bank Account holders with individual mutual fund holdings are eligible for the facility.
For equity mutual funds, you can borrow up to 50% of the Net Asset Value (NAV), and for debt mutual funds, up to 80%.
A facility is offered in relation to the list of mutual funds to customers registered with CAMS and approved by ICICI Bank.
Interest is only applied on the amount that has been used and only for the period that has been used.
Customers’ portfolio of mutual funds are kept indefinitely without being liquidated.
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