Can I get a loan using my stocks as collateral?

A stock-secured (or securities-backed) loan is a financing arrangement where eligible shares, ETFs, or similar instruments pledge as collateral for cash or a credit structure. You typically remain economically exposed to the pledged positions unless your documents say otherwise—dividend rights, voting, and substitution rules vary and must be read in your closing package. This is distinct from selling: you are borrowing, not necessarily triggering a disposition event for tax purposes (tax treatment is fact-specific; consult a qualified tax advisor).

Programs differ by jurisdiction, exchange, custodian, and lender appetite. Some structures resemble private banking margin with bespoke documentation; others are term loans with fixed schedules. The common thread is that the collateral story drives the credit decision more than a generic consumer credit score—though policies vary.

1. Intake. You outline liquidity needs, timeline, jurisdiction, and holdings (ticker, exchange, quantity, restrictions).

2. Collateral screening. The desk reviews listing venue, liquidity, volatility haircuts, concentration, and legal transfer mechanics.

3. Indicative terms. You may receive a non-binding summary of advance rate, rate, term, and covenants—subject to final approval.

4. Documentation & closing. Security agreements, account control, or custodian letters execute as required in your market.

5. Funding & monitoring. Proceeds disburse after conditions precedent; collateral is marked over the life of the loan. For a service-level overview, see our how it works page.

Securities-backed financing is not risk-free. Market drawdowns can trigger maintenance or margin-style calls depending on your documents. Interest expense is real cash cost. Default remedies may include liquidation of pledged shares. Cross-border collateral adds custody and regulatory complexity. Nothing here is legal or tax advice—review any structure with counsel and your tax professional.