Should you borrow money against assets?

Borrowing against assets tends to be cheaper, but you must own the assets in the first place. If those aren't options, one of the best personal loans or credit cards could be a better fit. No matter how financially responsible you are, there's a good chance that at some point in your like you'll be in a position where you want to borrow money.

Should I borrow against a hard asset?

Another option is to borrow against the value of a hard asset, usually your home, or a portfolio of securities. Borrowing against assets can offer potential benefits including a minimal or streamlined application process and the potential for favorable interest rates.

What happens if you borrow against your investment portfolio?

Be aware, however, that borrowing against your investment portfolio, in particular, exposes you to additional risk in the event of a market decline. If the value of your collateral assets falls below a minimum threshold, you may be forced to deposit additional funds or face liquidation, which can have tax consequences.