IPO Loan: Want to invest money in an IPO, ask for help from the bank, know how to get IPO loan..

IPO Loan: If you want to apply for an IPO but are unable to do so due to lack of funds, you can invest money by taking a loan. Many banks and NBFCs provide IPO loans, this type of loan is called IPO financing or IPO funding. However, usually, IPO loans are taken by big investors. A person can apply for an IPO loan but the possibility of getting a loan is based on certain conditions. These include your credit capacity, the landing policy, and the conditions of the bank or financial firm.

Banks-NBFCs provide IPO loans.
Through an IPO loan, you can buy as many shares of a public issue as possible. Many banks and brokerage firms provide IPO financing or IPO loans. In this, you can borrow money on some part of the value of the IPO.

Features of IPO loan
– According to the information available on the site of Karur Vysya Bank, it is a short-term loan, for which individual or joint application can be given.

-The duration of the IPO loan is 15 days from the date of loan receipt.

-An IPO loan is available for a minimum amount of Rs 5 lakh. For this, a 50% margin is required, and shares have to be mortgaged.

A one percent processing charge is charged on the total amount of the IPO loan.

Many IPOs are coming.
In the last few years, many IPOs have given better returns. Some public issues have doubled the investors' money on listing itself. The recently listed public issue of Bajaj Housing Finance has given more than 135 percent return on the listing. Every month many public issues come in the IPO market. Currently, 9 IPOs are open for subscription.