The State Bank of India (SBI), the country’s largest public sector lender, has announced the launch of an online loan facility against mutual funds.
This service is available through SBI’s Internet Banking platform and the YONO App, providing customers with a seamless, paperless, and 24×7 digital experience.
Convenient and Paperless Process
SBI’s new offering allows customers to avail loans against mutual fund (MF) units from the comfort of their homes.
The entire process is digital and paperless, eliminating the need for physical visits to bank branches.
This is a significant upgrade from the previous service, which was restricted to SBI Mutual Fund schemes and required in-person branch visits.
Broad Coverage and Attractive Rates
The online loan facility extends to mutual fund schemes of all Asset Management Companies (AMCs) registered with CAMS, making it more inclusive and accessible.
SBI is offering these loans at attractive interest rates, enhancing the appeal of the service.
Leading the Way in Digital Banking
SBI’s initiative marks a milestone as it becomes the first public sector bank in India to offer an end-to-end digital loan on mutual fund schemes.
Dinesh Khara, Chairman of SBI, expressed confidence in the new service, highlighting its benefits in providing a digital, hassle-free, and paperless loan process.
The initiative aims to help customers avoid redeeming their mutual fund units in case of an immediate need for funds.
Commitment to Customer Convenience
“We are pleased to introduce the Loan against MF Units facility for our customers on internet banking and the YONO app.
We believe that the digitalization of Loan against MFs will enable our valued customers to experience a digital, hassle-free, and paperless loan process.
It will also help them in avoiding redemption of MF Units in case of immediate need of funds.
We, at SBI, constantly strive to offer an enhanced technology-led digital banking experience to minimize branch visits,” said Dinesh Khara, Chairman, SBI.
