South Indian Bank and smallcase partner to expand
secured credit access through Loan Against Mutual Funds
SIB becomes among the first banks to offer native
LAMF integration to its LSP partners
Bengaluru
/ Mumbai / Kochi, 5 March 2026: South Indian Bank (SIB) today announced the
launch of its digitally integrated Loan Against Mutual Funds (LAMF) offering
enabled by smallcase’s technology infrastructure. The partnership allows SIB to
extend secured credit against mutual funds at an interest rate of 9.99% p.a.,
in compliance with regulatory guidelines, to both its existing customer base
and to customers of digital wealth platforms through its Lending Service
Provider (LSP) network.
Using
smallcase’s secured credit stack, SIB has built a native, API-led integration
that enables an end-to-end digital journey for the user that includes pledging,
disbursal and release of mutual fund units. With this launch, SIB becomes among
the first banks to offer a fully integrated LAMF solution to its LSP partners,
enabling digital ecosystems and fintech apps to embed secured credit seamlessly
within their offerings.
● For
South Indian Bank customers, the offering provides a streamlined way to unlock
liquidity without redeeming long-term investments.
● For
digital wealth platforms integrated as LSP partners, the solution enables
direct access to SIB’s secured lending infrastructure through a compliant and
scalable framework.
“At South
Indian Bank, expanding access to responsible and transparent credit solutions
is central to our priorities. Our partnership with smallcase enables us to
offer Loan Against Securities offering on mutual funds in a fully digital
workflow making credit more accessible to investors. We are looking forward to
expanding this to demat securities and other financial assets, and are also
working with multiple digital platforms to unlock innovative use cases.” said Mr. Sony A, SGM &
Chief Information Officer, South Indian Bank
On the
integration with SIB, Mr. Vasanth Kamath, Founder and CEO, smallcase
said,“At smallcase, we build technology platforms that enable financial
institutions to offer investment and wealth products digitally. We are excited
about enabling South Indian Bank’s LAMF offering across its properties and
partners, including the smallcase ecosystem. We strongly believe that secured
credit is a key part of every investor’s toolkit to avail access to instant
liquidity in a flexible and cost-effective manner.”
Built as
a modular, API-first infrastructure layer, smallcase’s secured credit stack
enables banks and regulated lenders to launch loans against securities products
across multiple distribution channels — including their own customer base and
third-party digital wealth platforms. The solution covers digital onboarding,
pledge workflows and management, monitoring and release mechanisms within a
compliance-aligned framework, allowing financial institutions to scale secured
lending efficiently.
