HNW Lombard Loan Affordability Calculator

What to do with your result

If this monthly payment fits your budget and your investable assets exceed the typical $2–5 million minimum, you're likely a strong candidate—your next step is a soft-pull rate check with a private bank or wealth management firm specializing in HNW individuals. Actual rates depend on credit profile, collateral liquidity, and prevailing market spreads, so confirm pricing with your lender.

What changes your rate / answer

• Credit score (760+) — Pristine credit moves you to the tighter end of the private bank spread; anything below 740 widens your rate by 25–50 bps.
• Collateral type and LTV — Blue-chip equities and Treasuries at 50–60% LTV command the best terms; concentrated positions or lower-quality securities push rates higher and reduce available principal.
• Term length — Shorter terms (3–5 years) price tighter than longer amortizations; 10-year terms are standard for Lombard loans and cost slightly more.
• Portfolio volatility — Defensive allocations reduce margin-call risk and lock in lower rates; concentrated or illiquid holdings introduce pricing friction.
• Relationship depth — Multi-product clients (wealth management, trust, insurance) often receive preferential rates and faster underwriting from their private bank.

How to use this

• Principal — Enter the amount you want to borrow. Most HNW Lombard loans range $1–10 million; lenders typically lend up to 50–70% of liquid securities at fair market value.
• Interest rate — Start with the 2026 default (around 7.25% APR for prime-plus lending). Adjust down if you have 750+ credit and strong collateral; adjust up if your profile is newer to private banking or you're in a tighter rate environment.
• Term — Most Lombard loans run 5–15 years (60–180 months). Shorter terms mean higher payments but lower total interest; longer terms free up cash flow but lock in a rate longer.
• Monthly payment — The output assumes level amortization. Your actual payment may vary if you choose interest-only periods (common early in Lombard loans) or if your lender offers rate-lock fees.
• Total interest — This shows cumulative interest over the full term. Tax-efficient borrowing strategies often target negative arbitrage (loan rate < portfolio return), so factor in your expected equity-market returns.

Bottom line

A Lombard loan lets you access capital without selling securities, preserving your wealth structure and tax efficiency. Use this calculator to estimate your monthly commitment, then verify rates and qualification with your private bank or family office—tax-efficient borrowing strategies typically justify their setup only above $1–2 million in borrowed capital.