Loan against securities allows borrowers to pledge securities like stocks, bonds, or mutual funds as collateral for a loan. The process involves applying for a loan, evaluating the securities, determining the loan amount, completing documentation, and pledging the securities. After approval, the lender disburses the loan, and the borrower pays interest on the amount. Repayment terms include periodic interest payments and a principal repayment at the end of the term. 

Once the loan is repaid, the lender releases the lien on the securities, returning them to the borrower. This type of loan provides a way to access funds without selling investments, but borrowers should be aware of the risks, including the potential loss of securities if the loan is not repaid. To know more about how loan against securities works visit: abhiloans.com