HDFC Bank on Wednesday launched an instant digital loan against securities (LAS) facility in collaboration with the National Securities Depository (NSDL).
The bank said customers can avail themselves of overdraft facility against shares in three steps — select the shares to be pledged on net banking; accept agreement through one-time password (OTP); and pledge the shares with NSDL online through OTP.
The bank, in a statement, said its demat customers can calculate their eligibility for overdraft limit against shares, and open a current account instantly.
Currently available for demat shares, the facility will soon be extended to other securities such as mutual funds, bonds and insurance policies, it added. The facility, among others, allows first-time borrowers to avail themselves of the LAS, auto-renewal of the loan facility and withdrawals and enhancements made online.