Leverage a Flexible Line of Credit

Helping your clients achieve their financial goals requires skillful management of their investments. Part of that challenge includes increasing the efficiency of those assets and responding to liquidity needs.

Whether your clients are looking to start a new business, finance their children’s college education, purchase a new car, consolidate their debts, or take that dream vacation, Pershing has the lending solution that is right for them.

LoanAdvance is a new way to access credit for most personal, consumer, or business needs. However, LoanAdvance cannot be used to purchase securities. Just as a home equity line of credit enables you to secure funds based on the value of your home, LoanAdvance provides easy and flexible access to credit based on the value of your client’s LoanAdvance account.[1]

Unlike margin lending, LoanAdvance is considered a form of consumer lending which provides greater lending capability. With LoanAdvance, your clients can borrow up to 70% of the value of their qualified securities as opposed to 50% in a traditional margin account.

In just one easy step, your clients can obtain a line of credit that can increase their purchasing power almost immediately. By simply signing and submitting a LoanAdvance Lending Agreement and Form T-4, your clients may obtain a line of credit often within 48 hours without undergoing time consuming credit checks, providing years of financial statements, and or having a home appraisal.

Best of all, there are no points, application fees, or hidden costs associated with LoanAdvance, only a monthly interest charge once a loan is drawn. In addition, LoanAdvance does not have a set prepayment schedule and your clients can pay off all or part of their loan at their discretion, without incurring a penalty.

Since the line of credit is secured by the investments held in a LoanAdvance account, interest charges will generally be much lower than unsecured forms of consumer or business borrowing.

To establish a line of credit, your clients’ LoanAdvance accounts must be secured by qualified securities with a market value of approximately $36,000 to receive a minimum credit line of $25,001.[2]

To learn more about LoanAdvance, contact your financial organization today.

Trademark(s) of Pershing Investments LLC.

The information contained in these materials is believed accurate at the time of writing but is not guaranteed. Delta accepts no responsibility for its use whether in whole or in part.

[1] LoanAdvance may not be appropriate for all investors and the risks should be carefully evaluated. If the market value of your client’s portfolio depreciates, your client may be required to deposit additional funds or marginable securities into their account. Failure to satisfy account maintenance requirements will result in account restrictions and liquidation of sufficient securities to bring your client’s account to an acceptable level.

[2] Restrictions in some states may impact credit line amount minimums and broker-dealer or investment professional licensing requirements. In addition, LoanAdvance is not available to non-U.S. residents, or residents of Mississippi, Nevada, Oregon, Rhode Island, and Vermont. Please contact your financial organization for details regarding state restrictions.