Schwab Bank Pledged Asset Line®
A flexible line of credit for your financial needs.
flexible credit options
Looking to enhance your borrowing power for real estate, business, or college expenses? A Pledged Asset Line from Schwab Bank is a flexible, non-purpose line of credit¹ that lets you leverage the value of your portfolio.
Secured by assets held in a separate Pledged Account maintained by Charles Schwab & Co., Inc., you can use your line of credit to access the funds you need while helping maintain your investing strategy.
This flexible line of credit can be used for a wide range of financial needs:‡
New home purchase
New business startup
‡Proceeds may not be used to purchase securities, pay down margin loans, or be deposited into any brokerage account.
Call 888-725-3630 or login to get started
- Flexible. Line amounts from $100,000 (required minimum initial advance of $70,000).
- Convenient. Quick lending decisions whether applying online or with a representative.
- Affordable. Competitive rates with no set-up fees or pre-payment penalties.
Before applying, please read the Pledged Asset Line Fact Sheet.
- Loan Value Of Collateral at Origination
- Interest Rate Spread
Loan Value Of Collateral at Origination$100,000 to <$250,000>
Interest Rate Spread4.50%>
Loan Value Of Collateral at Origination$250,000 to <$500,000>
Interest Rate Spread3.25%>
Loan Value Of Collateral at Origination$500,000 to <$1,000,000>
Interest Rate Spread2.75%>
Loan Value Of Collateral at Origination$1,000,000 to <$2,500,000>
Interest Rate Spread2.25%>
Loan Value Of Collateral at Origination$2,500,000 and above>
Interest Rate Spread1.75%>
Schwab Bank reserves the right to change any part of the interest rate after the Pledged Asset Line is established, including the LIBOR reference rate, interest rate spread, or post-demand spread.
The initial variable Annual Percentage Rate on the Pledged Asset Line, based on the loan value of the collateral pledged at origination, is the sum of one-month LIBOR plus the applicable Interest Rate Spread shown above. Pledged Asset Line amounts begin at $100,000 with a required initial minimum advance of $70,000.
Schwab Bank determines eligible collateral for your flexible line of credit, which generally includes
- Marginable equity securities valued at or above $3/share at the time of funding and closing
- Most mutual funds and exchange-traded funds
- Certificates of deposit and cash
- Many corporate, Treasury, municipal, and government agency bonds
Retirement assets are not eligible.
You can talk to your personal Schwab Financial Consultant,
speak with a Regional Banking Manager at 888-725-3630.
(Monday through Friday, 8:30 a.m. to 8:00 p.m. ET)
Considering a line of credit?
To get started just
Request more information.
- Complete the form below and we will contact you.
Contact us for further information or see FAQs below.
- What is Schwab Bank's flexible line of credit?
- Are there limitations to using proceeds?
- What types of borrowers are eligible?
- How long is the term?
- What is the interest rate?
- What are fees and charges?
- Are there collateral requirements?
- Are there any minimum draw requirements?
- What is a Pledged Account at Schwab?
- Who's responsible for investment decisions?
- What are the risks?