Securities-Based Lending

A ready source of credit using your securities as collateral.

There are times when you need funds quickly to take advantage of an attractive real estate opportunity or meet unexpected obligations like a tax bill or medical emergency. But you may not want to sacrifice potential market gains or incur tax consequences from selling securities to raise cash. A Securities-Based Line of Credit (SBL) from Washington Trust SBL allows you to borrow money using marketable securities held at Washington Trust as collateral, and can be used for a wide variety of needs:

• Finance the purchase of a business, equipment, or real estate investment
• Tax obligations
• Home renovations or emergency repairs
• Bridge financing between the purchase of a new home and sale of a current one
• Unexpected medical expenses

SBLs have special features that make them an especially attractive option for ready liquidity.

• Less expensive: Since SBLs are secured by your securities, interest rates are typically lower than other financing options. Also, there is no pre-payment fee, with minimum interest-only payments available
• Fast: Approval for SBLs is easy and quick
• Low tax impact: SBLs allow you to avoid capital gains taxes from having to sell securities
• Flexible: SBLs are non-purpose lines of credit leaving you with greater flexibility in the use of the funds

Want to Learn More?

Our Private Client Advisors will work with you to achieve your financial goals for now and into the future. Contact us today.