Can I take a loan against my NSC?
Yes, NSC can be collateralized
for a loan, subject to certain conditions:
- The certificates will have to be transferred to
the lender.
- They can be pledged to the president of India, governor
of your state, a PSU or local authority.
- When the certificates are pledged, the
postmaster will make a note on the certificate as “Transferred as security to
________”, (new holder).
- The new holder will now be the owner of the
certificate till the loan is repaid.