ICICI Insta Loan Against Mutual Funds
ICICI Bank now offers its customers the benefit of availing an instant loan against mutual funds. The ICICI Insta Loan Against Mutual Funds is one of the latest offerings from the bank.
Why Should You Choose ICICI Insta Loan Against Mutual Funds?
The key features of the ICICI Insta Loan Against Mutual Funds can be summed up as follows:
Eligibility Criteria for ICICI Insta Loan Against Mutual Funds
The eligibility criteria for the ICICI Insta Loan Against Mutual Funds can be listed as follows:
Rate of Interest for the ICICI Insta Loan Against Mutual Funds
The rate of interest for the ICICI Insta Loan Against Mutual Funds are as follows:
How to apply for a loan through ICICI Insta Loan Against Mutual Funds?
To apply for a loan through the ICICI Insta Loan Against Mutual Funds, an individual will be required to follow the steps mentioned below:
1) Log in to the ICICI Bank Internet Banking profile.
2) Once you log in, go to the ‘Investment and Insurance’ tab.
3) Click on the ‘Insta Loan Against Mutual Funds’ option.
4) Use One Time Password (OTP) authentication to confirm the request through the CAMS portal.
5) Check the box against the ‘Terms and Conditions’ after going through it.
6) An OTP will be sent to your registered mobile phone number and email ID.
7) Use the OTP to authenticate the process of opening the loan against mutual fund Over Draft (OD) account.
8) The account is opened instantly.
9) Once the account I opened and the confirmation of lien making is done, the limit will be set for the OD loan account.
10) After the successful completion of this process, the amount will be credited to the account.
As the ICICI Insta Loan Against Mutual Funds is a pre-approved loan facility, the bank does not require the applicant to submit any documents. The documents already submitted and verified as the applicant will be an existing customer of the bank.
How the EMI calculation works for ICICI Insta Loan Against Mutual Funds?
If you consider an example wherein the applicant has applied for a loan amount of Rs.2 lakh under the ICICI Insta Loan Against Mutual Funds in the month of July 2020. The interest rate charged by the bank is 9.40% p.a. as the mutual fund holding of the applicant is debt mutual fund. Let us assume, the loan repayment tenure for the loan is 1 year. In this case, the monthly personal loan EMI that the individual will have to pay will be Rs.17,527. The loan repayment schedule of the individual is given below:
|Year||Principal Paid(A)||Interest Paid(B)||Total Payment (A+B)||Outstanding Loan Balance|
Frequently Asked Questions (FAQs)
1) Will ICICI Bank allow me to apply for an additional overdraft limit under the ICICI Insta Loan Against Mutual Funds?
A: Yes, the additional overdraft limit feature is available under the ICICI Insta Loan Against Mutual Funds. However, you cannot apply for it online. You will be required to visit the nearest ICICI Bank branch office for the same.
2) Will ICICI Bank allow me to process the lien removal of mutual funds online?
A: No, ICICI Bank does not allow you to process the lien removal of mutual funds online. You will be required to visit the nearest branch office of the bank for the same.
3) Are NRIs eligible to apply for a loan with ICICI Bank under the ICICI Insta Loan Against Mutual Funds?
A: Even if an NRI has an existing relationship with the bank, at present the benefits of the ICICI Insta Loan Against Mutual Funds is not available for NRIs.
4) Will the bank charge me for the lien removal and lien marking on my mutual fund?
A: No, ICICI Bank does not charge any lien removal and lien marking charges on mutual funds.
5) What is the loan repayment tenure under the ICICI Insta Loan Against Mutual Funds?
A: The loan facility under the ICICI Insta Loan Against Mutual Funds is available for a loan repayment tenure of 1 year. The same gets renewed after the completion of the first year subject to the performance of the account.
Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.