Details of obtaining a bank loan with stock market collateral

According to Tejarat News, what are the details of obtaining a loan with the stock market collateral?

Mahmoud Hassanlou in a conversation with ایسناAnnounced the provision of infrastructure to certify shares to obtain loans from banks and added: “All the efforts of the Central Depository Company is that this process does not require a person to visit in person.”

The only condition is that the person has registered and authenticated in Sajam. In fact, the process considered by the company is that the shareholder refers to banking applications or bank branches and submits a request for certification of his shares.

He continued: “After going through the mentioned process, the Central Depository Company announces the applicant’s collateral assets to the bank and the bank shows it to the shareholder in the application.”

The shareholder can then select and approve the symbols he intends to authenticate. Once the confirmation button is clicked, as with an online purchase where the person is referred to the Shaparak page, the person will be referred to an authentication page.

In fact, the deposit company displays the request received from the bank to the shareholder, and after authentication, the applicant’s request is registered again and the authentication process takes place after the transactions are made.

How do they determine the amount of bail required?

The bank can then inquire about the result from the depository company, and if successful, the facility process can continue.

The Deputy Minister of Technology and Innovation Development of the Central Depository Company asked the question, how do banks determine the required amount of collateral due to the variability of stock prices? He replied: Banks probably lend 70% of their stock value and get 30% margin.

Of course, during this period, stock prices are almost at the bottom and are not expected to fall further. On the other hand, the possibility of increasing authentication is considered.

In fact, if the bank realizes that it is taking a risk and the value of the authentication is lower than the margin, it can notify the customer and ask the customer to increase the authentication so that the bank does not sell the individual’s shares.

Hasanloo explained that the possibility of exchanging collateral has also been considered: that is, the guarantor can perform the collateralization process again and pledge other shares in order to release the previous shareholder bank.

In response to the question, how will the repayment be? “This is in the realm of banking, and every bank may have its own policy,” he said.

According to the Deputy Minister of Technology and Innovation Development, the Central Depository of Infrastructure is ready. The depository company is piloting the project with several banks, both private and public, and the applicants can take action whenever it is concluded and announced.