Short answer: Both banks lend against shares and mutual funds as an overdraft, starting at 10.75% a year. HDFC Bank charges a flat ₹1,499 for digital applications (plus ₹1,800 a year) and lends up to 85% on debt funds. ICICI Bank charges up to 2% of the limit, but its stated LTV on equity funds is higher (70%).
Last verified: 12 October 2026 from each company’s official website and, where marked, its Google Play listing. Rates and fees change; the lender’s Key Fact Statement (KFS) and loan agreement decide your actual terms. FundsTiger does not rank lenders.
HDFC Bank LAS vs ICICI Bank LAS at a glance
| HDFC Bank LAS | ICICI Bank LAS | |
|---|---|---|
| Type | Private sector bank | Private sector bank |
| Products | Loan Against Securities; Digital Loan Against Mutual Funds; Digital Loan Against Shares | Loan Against Securities, Shares and Mutual Funds (Digital LAMF) |
| Securities accepted | Shares, equity and debt mutual funds, insurance policies, NSC, KVP, bonds | Demat shares, equity and debt funds, ETFs, insurance, SGBs, FMPs, government bonds |
| Loan amount | ₹30,000 to ₹1 crore against shares and equity funds | ₹25,000 to ₹1 crore against shares and equity funds; higher for debt funds |
| Loan-to-value (LTV) | Shares 50%; equity funds 50%; debt funds 85%; insurance 80% of surrender value | Shares up to 55%; equity funds 70% (some pages say 50%); debt funds 80%; ETFs 50% |
| Interest rate | From 10.75% a year | 10.75% to 11.75% a year (actual Jul to Sep 2026: 8.25% to 11.75%) |
| Processing fee | ₹1,499 digital; ₹3,500 physical | Up to 2% of the sanctioned limit |
| Other charges | Annual maintenance ₹1,800 + GST; NOC nil | Renewal ₹2,500 + GST a year; no prepayment charge |
| Tenure | Not stated | 1 year, renewable |
| How it works | Overdraft in a current account; interest on what you use | Overdraft; interest daily on what you use |
| Digital process | Digital LAMF and digital loan against shares | Yes, via iMobile or net banking; lien on CAMS funds |
| Who can apply | Not stated on the pages we read | Age 18 to 75; digital LAMF for selected ICICI customers |
| Also worth knowing | Widest list of securities; For personal use only, not for buying shares | No prepayment charges; Paperless for existing customers |
RBI limits: banks can lend up to 60% against listed shares, 75% against equity funds and ETFs and 85% against debt funds and AAA bonds, with a ₹1 crore cap per person against shares and equity funds. NBFCs follow their own RBI rules (usually 50% on shares). Lenders can lend less. See our loan against shares and loan against mutual funds calculators.
What it costs to use ₹2 lakh for 6 months from a ₹5 lakh limit
We assumed a ₹5 lakh sanctioned limit, ₹2 lakh drawn for 6 months, interest paid monthly on the amount used, and the first-year processing fee (with GST where quoted before tax). Yearly renewal or maintenance charges, stamp duty and pledge charges are extra where they apply.
| Provider | Scenario | Rate a year | Interest | Fees | Total cost |
|---|---|---|---|---|---|
| HDFC Bank LAS | Starting rate, digital fee | 10.75% | ₹10,750 | ₹1,769 | ₹12,519 |
| ICICI Bank LAS | Low end, max fee | 10.75% | ₹10,750 | ₹11,800 | ₹22,550 |
| ICICI Bank LAS | High end, max fee | 11.75% | ₹11,750 | ₹11,800 | ₹23,550 |
Key differences
- Processing fee: HDFC Bank ₹1,499 digital; ICICI Bank up to 2% of the limit.
- Yearly charge: HDFC Bank ₹1,800 + GST; ICICI Bank renewal ₹2,500 + GST.
- LTV: shares 50% vs up to 55%; equity funds 50% vs 70%; debt funds 85% vs 80%.
- Maximum: both ₹1 crore against shares and equity funds.
Which should you choose?
HDFC Bank LAS may suit you if you want low upfront fees or pledge debt funds.
ICICI Bank LAS may suit you if you already bank with ICICI and want more against equity funds.
Whichever you pick, compare the APR in the KFS you are actually offered, not the advertised starting rate.
Before you apply
- Check which of your holdings are on the lender’s approved list and the LTV for each type.
- Compare the processing fee on the whole limit and any yearly renewal fee, not just the rate.
- Keep a buffer: if markets fall, you may have to repay or pledge more within days, or the lender can sell your units.
- Use it for personal needs only. Lenders do not allow these loans to be used to buy shares or for speculation.
- Read the KFS: it must show the APR, every charge and how margin shortfalls are handled.
Want to see offers from several RBI-regulated lenders in one place?
Frequently asked questions
Can I use a loan against securities to buy shares?
No. Both banks say the loan is for personal use and cannot be used for capital-market activity or speculation.
Do I lose my returns when I pledge?
No. The units or shares stay yours, and you keep dividends and gains. If prices fall, you may have to add securities or repay part of the loan.
Are these lenders RBI-regulated?
The loans described here are given by RBI-registered NBFCs or banks named in the table. Check the lender named in your loan agreement on RBI’s digital lending app list.
Where do these figures come from?
From each company’s official website and, where noted, its Google Play listing, checked on 12 October 2026. Where a company’s own pages disagree, we show both figures.
Sources
- HDFC Bank loan against securities
- HDFC Bank LAS charges
- ICICI Bank loan against securities
- ICICI Bank LAS rates and fees
Read more: LAS and LAMF rates of 10 lenders · Loan against shares calculator · Loan against mutual funds calculator · All loan app reviews · Lender directory
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Disclosure: FundsTiger (Gatimaan Finance Advisors Pvt. Ltd.) is a loan marketplace and lending service provider for RBI-regulated lenders. Aparampaar Finance Pvt. Ltd. (Omozing), one of those lenders, is a related party of FundsTiger. This article is general information, not financial advice. Read your loan agreement and KFS before you decide.