Short answer: Zerodha Capital lends only to Zerodha clients: 11% for loans up to ₹50 lakh, a 0.25% fee, and 45% of value, pledged inside Kite. HDFC Bank starts at 10.75% with a ₹1,499 digital fee, 50% LTV on shares, and works with any demat account.
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.
Zerodha Capital vs HDFC Bank LAS at a glance
| Zerodha Capital | HDFC Bank LAS | |
|---|---|---|
| Type | RBI-registered NBFC (Zerodha group) | Private sector bank |
| Products | Loan Against Shares (for Zerodha clients) | Loan Against Securities; Digital Loan Against Mutual Funds; Digital Loan Against Shares |
| Securities accepted | 1,377 approved shares, funds and ETFs (no gold or silver ETFs) | Shares, equity and debt mutual funds, insurance policies, NSC, KVP, bonds |
| Loan amount | ₹25,000 to ₹10 crore | ₹30,000 to ₹1 crore against shares and equity funds |
| Loan-to-value (LTV) | 45% of value | Shares 50%; equity funds 50%; debt funds 85%; insurance 80% of surrender value |
| Interest rate | 11% (₹25,000 to ₹50 lakh), falling to 10% above ₹5 crore; fixed at disbursal | From 10.75% a year |
| Processing fee | 0.25% + GST, capped at ₹25,000 | ₹1,499 digital; ₹3,500 physical |
| Other charges | No foreclosure charge (per Zerodha staff) | Annual maintenance ₹1,800 + GST; NOC nil |
| Tenure | Up to 3 years | Not stated |
| How it works | Loan with monthly interest; repay principal any time | Overdraft in a current account; interest on what you use |
| Digital process | Yes; pledge in Kite or Console; within 1 working day | Digital LAMF and digital loan against shares |
| Who can apply | Resident Zerodha clients only | Not stated on the pages we read |
| Also worth knowing | Low processing fee; Only for existing Zerodha demat holders | Widest list of securities; For personal use only, not for buying shares |
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 |
|---|---|---|---|---|---|
| Zerodha Capital | Rate for ₹25,000 to ₹50 lakh | 11% | ₹11,000 | ₹1,475 | ₹12,475 |
| HDFC Bank LAS | Starting rate, digital fee | 10.75% | ₹10,750 | ₹1,769 | ₹12,519 |
Key differences
- Who can apply: Zerodha clients only; HDFC Bank any eligible customer.
- Rate: Zerodha 11% (lower above ₹50 lakh); HDFC Bank from 10.75%.
- LTV on shares: Zerodha 45%; HDFC Bank 50%.
- Fees: Zerodha 0.25% + GST; HDFC Bank ₹1,499 + ₹1,800 a year.
Which should you choose?
Zerodha Capital may suit you if your shares are already with Zerodha and you want the quickest pledge.
HDFC Bank LAS may suit you if you want a slightly higher LTV or bank overdraft features.
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 borrow against shares to trade?
No. Zerodha says the loan is meant for needs like paying off costly debt, and HDFC Bank bars capital-market use.
Do I keep dividends on pledged shares?
Yes. Pledged shares stay in your demat account and remain yours.
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
- Zerodha Capital update (Z-Connect)
- Zerodha support: loan against securities
- HDFC Bank loan against securities
- HDFC Bank LAS charges
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.