Eligibility

This facility is available to our existing individual customers enjoying a past satisfactory relationship with SBI and maintaining their DEMAT Account with SBI Cap Sec. It is offered as an Overdraft or Demand Loan. Loan can only be availed in single name. NRIs are currently not eligible for this loan.

Purpose

For meeting contingencies and needs of personal nature. Loan will be permitted for subscribing to rights or new issue of shares against the security of existing shares. Loan will not be sanctioned for (i) speculative purposes (ii) inter-corporate investments or (iii) acquiring controlling interest in company / companies

Loan Amount

Minimum Loan Amount : Rs 50,000/-
Maximum Loan : Rs 20.00 lacs
(Loans against shares not to exceed Rs 10 lacs if the purpose is for subscribing to IPOs.)

Repayment Schedule

Demand Loan: To be liquidated in maximum period of 30 months.
Overdraft: Running Overdraft (Auto Renewal every year)

Nature of Loan

Overdraft / Demand Loan

Margin

You will need to provide a margin amount of 50% of the prevailing market prices of the shares being offered as security.

Security

Pledge of the demat shares against which loan is sanctioned.

Processing Fees

0.75% of the loan amount with minimum of Rs.1000 + GST.

Review Charges

Rs 1000 + applicable GST per annum.

(Applicable only for OD A/c)

Interest Rates

Account Keeping Charges

Rs.550 + GST

Account Keeping Charges are applicable for Overdraft Facility.