Loan Against Mutual Funds

Don’t Redeem it, Lien it Instead

Get instant financial assistance with Loan Against Mutual Funds and manage your unplanned expenses without having to liquidate your investments. Secure the funds you need within 15 minutes at just 9% p.a through an end-to-end digital process. Experience hassle-free process with digital loan against mutual funds.

What is Loan Against Mutual Funds

Loan Against Mutual Funds (LAMF) is a financial solution that allows you to create an overdraft facility against your mutual fund units. With Mirae Asset Financial Services, you can easily lien mark your funds digitally and raise the funds you need.

The loan is available as an overdraft facility, allowing you to access the funds you need and repay them at any time without additional charges Interest is charged only on the utilized amount and for the duration, the funds are utilized.

You can choose from a variety of approved mutual funds from various asset management companies (AMCs) in India and use them as collateral. To lien mark, you can use mutual funds registered with CAMS and KFintech (previously known as KARVY), Registrars & Transfer Agents (RTAs) as collateral. We suggest using a secured loan against mutual funds as a suitable option for short or medium-term financial needs.

Features & Benefits of LAMF

Get LAMF Limit Online Within Minutes
No need to wait for days. Complete 6 simple steps to get an overdraft limit against mutual funds within minutes using the MAFS mobile app. Your application will be processed instantly to provide you with a limit within minutes.
Zero Foreclosure Charges
No lock-in & no foreclosure charges if you decide to repay your outstanding's early. You can make payment towards your outstanding amount anytime with zero foreclosure charges.
Instant Disbursal
MAFS provide access to funds whenever you need them. Get the required amount credited directly to your provided bank account on the same day.
Large List of Approved Securities
Select from a large list of approved mutual funds from different asset management companies (AMCs) in India. You can lien mark mutual funds registered with both CAMS & KFintech (earlier known as KARVY), Registrars & Transfer Agents (RTAs).
100% Digital Process
No need of visiting branches or reaching out to relationship managers. With the MAFS mobile app you can complete your entire journey online from your mobile device without any need of submitting physical documents.
Retain Ownership
Allow your mutual funds to achieve long-term goals. You continue to retain ownership of your mutual funds and reap all the benefits that are associated with it.
Attractive Interest Rate
Avail loan at an attractive Interest rate starting 9% p.a (on utilized amount) with flexi payment option. Unlike term loans, interest on LAMF is levied only on the amount you use and for the number of days you utilize.
Loan Tenure
The overdraft limit provided against your mutual funds has a tenure of 12 months and is renewed thereafter.
Higher Loan Value
One place for all your financial requirements. With MAFS you can get a higher limit up to Rs 1Cr in case of equity mutual funds (45% LTV) and up to Rs 3Cr in case of debt mutual funds (80% LTV).
Easy Repayment
Manage your funds with more flexibility. You are required to service the interest amount accrued as per utilization on a monthly basis.

How to Avail?

You can easily avail loan on mutual funds by following these 6 simple steps. It is recommended to have your PAN, Aadhaar card, and bank account information readily available during the application process for a seamless experience.

To see a step-by-step video walkthrough,

  • Download app &
    register yourself
  • Select type of mutual funds
    (viz equity or debt mutual funds)
  • Complete one-time KYC registration with
    PAN & Aadhaar details
    (Details can be fetched directly from Digilocker if your Aadhaar is linked with your mobile number)
  • Lien mark at RTA's (CAMS / KFintech)
    portal through One-Time Password (OTP) authentication
  • Verify your bank account
    online via e-mandate
  • Read & sign loan agreement
  • Your overdraft
    facility is ready

Loan Details & Charges

We strive to meet your financial needs with complete transparency and without any hidden charges.
Maximum Loan Amount
Loan Against Equity
Mutual Funds

(45% LTV)
Loan Against Debt
Mutual Funds

(80% LTV)
Minimum Loan Amount
Loan Tenure
12 Months
& renewable thereafter
Fixed Processing Fees
+ taxes as applicable
Penal Interest Rate
ROI + 4.00% P.A. for the default period
Minimum Withdrawal Amount
₹1,000. However, there is no limit on the number of withdrawals.
Interest Rate
9% p.a. (on utilized amount) Interest will be due on 1st working day of every month and the same will be debited on 3rd working day of every month from your Bank Account via NACH mandate.
Stamp Duty
Foreclosure Charges
ZERO Foreclosure charges
Bounce Charges
₹500 + taxes as applicable
Annual Renewal Charges
Bank Mandate Swap Charges
Top Up/Security withdrawal Charges
Security Invocation Charges
(in case of default)
Collection Charges
(in case of default)
Legal Charges
(in case of default)
Annual Percentage Rate (APR)
9% to 24% per annum
(including fees)
Minimum Period
12 Months
Maximum Period
12 Months

* Taxes as applicable

Let's understand with an example:

If a customer takes a loan of ₹50,000 for a period of 12 months, at an annual interest rate of 9% APR, then the customer will pay monthly interest for 12 months of ₹375 per month. The total loan payment over 12 months will be ₹54,500* (including principal and interest). Total Cost of Loan = Interest Amount + Processing Fees + Stamp Duty = ₹4500 + ₹999 + ₹500 = ₹5,999

Eligibility & Documentation

The entire process is end-to-end digital, eliminating the need to submit any physical documents. You can apply for a limit, withdraw funds, and repay the used amount through the mobile app, without needing to visit any branches.
  • You should be a resident Indian individual
  • You should have a valid PAN & Aadhaar Card
  • You should hold mutual funds approved as per MAFS policy with CAMS & Kfintech (RTAs)
  • You should be between 18 to 75 years of age
  • You should have a valid email id and mobile number
  • You should have a valid bank account number and a cheque copy for the account to be linked

Digital Partners







Approved Funds from Multiple AMCs

UTI Mutual Fund | Union Mutual Fund | Tata Mutual Fund | Sundaram Mutual Fund | SBI Mutual Fund | quant Mutual Fund | PPFAS Mutual Fund | PGIM India Mutual Fund | Nippon India Mutual Fund | Motilal Oswal Mutual Fund | Mirae Asset Mutual Fund | Mahindra Manulife Mutual Fund | LIC Mutual Fund | L&T Mutual Fund | Kotak Mahindra Mutual Fund | Invesco Mutual Fund | IIFL Mutual Fund | IDFC Mutual Fund | IDBI Mutual Fund | ICICI Prudential Mutual Fund | HSBC Mutual Fund | HDFC Mutual Fund | Edelweiss Mutual Fund | DSP Mutual Fund | Canara Robeco Mutual Fund | Baroda BNP Paribas Mutual Fund | Axis Mutual Fund | Aditya Birla Sun Life Mutual Fund | Navi Mutual funds

To view, the list of approved mutual funds, click here.


  • Credit limit is at the sole discretion of Mirae Asset Financial Services (India) Pvt Ltd.
  • The Loan Against Mutual Funds is for personal use. The loan amount cannot be used for speculative activities, capital market-related purposes, or anti-social purposes.