Interest calculator for loan against mutual funds

1. Check credit limit: We’ll evaluate your mutual fund portfolio & confirm credit limit. Check your credit limit from here.
2. Instant KYC: Complete digital KYC process. No paperwork required!
3. Pledge your assets: Mark your mutual funds as a security with a trusted lender.
4. Withdraw money: Withdraw & repay as per you requirement. No hidden charges.

Loan against mutual fund works like a bank overdraft limit, where you are only charged interest on the amount you withdraw. Interest is calculated daily and is deducted on a particular date every month. Interest calculation works on the following formula:

Daily interest = P*(R/365)

Monthly interest = Daily interest*N

P = Principal outstanding on the day

R = Annual rate of interest

N = Number of days in a month

Example: Suppose you withdraw ₹50,000 from Volt Money credit line at an interest of 10.49%. The daily interest rate would be calculated as (10.49% / 365) = 0.0287% per day. If the limit is utilized for 30 days, the interest accrued would be:

1. Flexibility: With Volt Money’s credit limit, you only pay interest on the amount you actually use, and you can repay it at your own pace. This is different from a loan, where you receive the full amount upfront and repay with interest over a fixed term.
2. Interest rates: Personal loan interest rate can range anywhere from 12%-36%. Whereas, Volt Money’s credit limit is offered at an interest rate of 9%-11%
3. Repayment terms: Personal loans come with fixed repayment terms, meaning you know exactly when the loan will be paid off. Volt Money’s credit limit on the other hand, is a revolving credit line, and you can repay the borrowed amount whenever you have funds available.

• Your monthly interest payments based on the estimated loan amount, interest rate, and repayment duration.
• How much interest you might pay over the life of the loan if you repay principal regularly.

• Informed decisions: Gain insights into potential loan costs before applying.
• Budgeting: Estimate your monthly payment obligations for better financial planning.
• Comparison: Compare LAMF options from different lenders based on their interest rates.

1. Enter the loan amount that you want.
2. Enter the repayment duration that you want to repay the loan in (e.g., 1 year).
3. Enter the annual interest rate that you want to calculate interest for.
4. Calculator will give you monthly interest only EMI and total interest values for the selected amount and duration.
5. Check repayment options and view full schedule basis how you want to repay the loan.

By using our loan against mutual funds calculator and carefully considering the risks and benefits, you can make a more informed decision about whether a loan against mutual funds is the right financing option for you.