Stock Loans

Stock Loans or Securities loans are nonrecourse loans against any publicly traded securities like stocks, bonds options etc.

The securities need to have daily trading activity.

Leveraging Money Using Securities Loans

Securities loans are for the forward thinking investor: those who choose to leverage the cash held in their securities and own the securities too.

Leveraging the Securities

Typically, an investor can get up to 80% cash against the securities he owns. For instance, if an investor has IBM shares for $100,000 with him, he can get a loan of $80,000 against it.

The loan term can be 3, 5, 7 or 10 years. At the end of the loan term, the investor can return the money borrowed and get his securities back. The investor also gets to keep the upside appreciation of the securities. If at the end of 3 years, the IBM shares are valued at $300,000, the investor will get to keep the upside appreciation of $200,000.

During the loan term, the investor can choose to invest his cash in other projects and multiply it as often as he wishes. It is truly a profitable situation for the forward-thinking investor looking to leverage his assets without selling them.

• Loans can be non-purpose,they can be used for virtually any purpose except for placing in a margin account
• There are no credit checks and no tax returns are required
• There is a small origination fee of 4-5% of the loan amount
• There are no closing costs involved in getting a stock loan
• Most loans can be financed in 5-7 business days. This turn-around time is a lot shorter as compared to other loans like real estate loans
• Non-recourse stock loans - the borrower can walk away from the loan if the collateral falls below a certain floor amount

In order to apply for a Stocks Loan, fill out the FREE Consultation for Stock Loans form.

For additional questions about the Securities loans, use the Contact us form.

Custom Search

Return to FREE Consultation for Securities Loans
Return from Stock Loans to Home