If you are in need of fast cash and you own equities, the chances are good that you can get a fast loan using stocks as collateral for a loan. It makes no sense to sell your stock to get some fast cash, since you have to pay broker’s fees, and really do not want to divest yourself of the stocks.
If you see a bank or a conventional lender, they are likely to lend against your equities. However, there are certain equities against which they will not and can not lend. There are government regulations that prevent lenders from using certain stocks as collateral.
The bank will want a business proposal detailing the use of the loan proceeds. Their interest rate will be very high compared to other loans. They will lend only up to 40% of the value of the stocks. Then, it will take some time to fund such a loan.
You figure that you could sell the stocks and get more money, and get it faster. But wait! Don’t sell those stocks!
AT Equities First AU it is very different. They will take your stocks as collateral on a loan of up to 80% of the value of the equities. More Here .
They have no restrictions on the types of stock they can use as collateral, since they are a private company, and the restrictions do not apply in that sense. They do not need to see a business proposal. they figure it is your business what you do with the loan proceeds. Their interest rate is among the lowest in the business. Their funding is fast and convenient. It simply makes better sense to talk to Equities First AU first!