Australia Stock Loans Explained
Want to learn more about how our Australian stock loans work? See below:
Many types of loans come with personal liability. If you default, the lender has the right to seize your belongings. They can confiscate your property, vehicle, or other belongings to pay off the debt.
Australian stock loans are different in that they come with no personal liability. The only security is your shares that trade on the Australian Securities Exchange. If you default, the lender can only use these shares to repay the loan . You don’t have to provide any personal guarantees , nor risk having your credit ruined.
No Credit Checks
People with bad credit find it hard to borrow money. Firms often won’t lend to them because of their poor financial history.
Luckily, to qualify for Australian stock loans, you do not need good credit. Lenders don’t run credit checks because they don’t care about your financial status. They only care that they have your ASX securities to sell if you end up defaulting.
Optimal Loan to Value (LTV) Ratios
Lenders won’t lend you more than a percentage of what your ASX shares are worth.. They lend you less to protect themselves against unstable market conditions.
You want to make sure you get the highest loan to value (LTV) ratio possible. It ensures you make the most of your assets and get the amount of money you need.
Luckily, Stock Loan Solutions offers optimal LTV ratios. Borrowers can expect LTVs ranging from 45-60%. Keep in mind that the amount you qualify for depends on your shares’ current value, trading volume, and current market conditions .
Want to find out your qualifying amount? Call today! Our team is happy to provide you with a free estimate.
Affordable Interest Rates
Our interest rates are among the most competitive in the industry. Lock in the cheapest possible rate by calling today!
Flexible Term Lengths
We offer term lengths ranging from 12-36 months. Our team will help you determine which term length is best for your unique needs.
Most lenders take at least 2-3 weeks to close a stock loan. With us, you’ll get the money in as little as 4-6 business days! Call now so that we can review and approve your application ASAP.
All our transactions are 100% private and confidential. We use the industry’s most secure encryption software to protect your personal information.
Advantages of Australian Stock Loans
At this point, you should be familiar with our stock loans and how they work. But why do investors seek them out?
Here are just a few reasons why stock loans are an excellent borrowing option:
You Don’t Have to Sell Your Shares
Why sell your shares when it’s unnecessary? Our stock loans let you maintain ownership of your shares..
You Aren’t Personally Liable
Defaulting on a stock loan won’t ruin your credit or hurt your finances. You will only lose the shares you use to secure the loan.
You Get Fast Access to Cash
Stock loans let you tap into your shares and quickly get the cash you need. You can use the money to pay off debt, fund new business ventures, or cover personal expenses.
Apply for Australian Stock Loans Today
Ready to apply for Australia stock loans? Schedule your 15-minute call through our live chat feature below!
Our experienced team is ready to serve you. We answer your questions and guide you through the application process. Best of all, we work to get you the best deal possible. Call us today to tap into your ASX shares and get the money you need!
How Do Stock Loans Work?
Also known as securities lending, these loans are available to help investors keep the stock they own while still having access to the cash they need in order to make other investments. Our borrowers gain the opportunity to dip into the value of their non-marginable stock quickly and easily without having to wait a long time for the money.
Our loan amounts are dependent on characteristics of the collateralized security, including the number of shares, price, volatility, and additional criteria. By transferring your stock to us, you can be assured of receiving a loan against its value. All you have to do is make quarterly interest payments during the life of the loan. We keep the process simple: once you fully repay the borrowed amount, your stock will be transferred back to you.