Here's how loan against securities is a better option than personal loans

Interest rates on loans against securities are lower and they come with flexible repayment options

Instead of liquidating your investments during emergencies, a better option could be to take a loan against them

The investments continue to grow while pledged, and the borrower continues to receive  dividends, bonuses, etc, during the period of the loan

There are many securities a borrower can to get a loan. Common ones include demat shares, mutual funds (equity as well as debt), insurance policies and bonds.

For each of these instruments, lenders have a list of what is acceptable and what is not. They may, for example, accept mutual funds from specific fund houses only or life insurance from three-four companies. Many