A Loan Against NSC is a secured loan where a borrower pledges their National Savings Certificates (NSC) as collateral to the bank. The bank places a legal "lien" on the certificate through the post office, ensuring the funds are secured by a government-backed asset. This allows the certificate holder to access immediate cash for personal or business needs while their investment continues to earn interest until maturity.
Key Features:
- Facility in the form of overdraft and loan against N.S.C
- Facility up to 85% of security value.
- Interest charged on actual amount utilized.
- No EMI or post dated cheque required.
- No pre payment charges.
- Term Loan facility available against select securities.
