Q1. What is the maximum amount I can get against mutual funds?

Ans: You can get up to 70% of the value for equity funds. For debt funds, it's up to 85%. The final amount depends on the lender and the type of scheme.

Q2. Can I sell my pledged mutual funds?

Ans: No. Until the loan is repaid and the lien is removed, you cannot redeem or switch pledged mutual fund units. This is an important consideration when learning how to take loan against mutual fund holdings.

Q3. How quickly can I get a digital loan against mutual funds?

Ans: Most platforms, including My Mudra, offer loan approvals within 24 hours, provided the lien is successfully marked.

Q4. What happens if the value of my mutual funds drops?

Ans: The lender may raise a margin call. You will be asked to pledge more funds or repay part of the loan to maintain the loan-to-value ratio.

Q5. Is a loan against mutual funds better than a personal loan?

Ans: Yes, if you already have mutual fund investments. The interest rate is lower, approval is faster, and there’s no need to show income proof in many cases. For better results, it helps to learn how to get loan against mutual funds compared to unsecured borrowing.

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How to Get Loan Against Mutual Funds

Learn how to take loan against mutual fund with ease. Our guide explains the process, benefits, and digital loan against mutual funds to access quick cash smartly.

Anjali Singh

Assistant Manager

Published Date:Aug 19, 2025

Updated Date:Mar 13, 2026

Frequently Asked Questions

Anjali Singh

Assistant Manager

Hey there, I'm Anjali Singh. With over 6 years of experience in finance, I specialize in creating content on banking, loans, and financial planning. My goal is to simplify complex financial topics and help readers make informed decisions through my articles.

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