Loans against securities are made against securities such as- Debentures that aren’t convertible- Non-convertible debentures are classified as debt. They cannot be converted into stock or equity. NCDs have a fixed maturity date, and the attention can be paid monthly, quarterly, or yearly, depending on the fixed tenure stipulated. When compared to convertible debentures, they provide superior returns, liquidity, low risk, and tax advantages to shareholders. You can buy NCDs when the company announces them or after they trade on the secondary market. You must investigate the firm’s credit rating, the credibility of the issuer, and the coupon rate of the NCD. It would be beneficial if you purchased NCDs with higher ratings, such as AAA+ or AA+.