Fidelity Investments of Boston is allowing customers to pledge a large percentage of their Fidelity brokerage accounts as security for mortgage loans from GMAC Mortgage Corporation. Called the Fidelity Pledged Asset Program, Fidelity began testing the new service last fall and introduced it to the public on March 23.
The Fidelity Pledged Asset Program offers customers mortgage financing on as much as 100 percent of the price of a home. The Fidelity customer does not directly owe Fidelity anything on the pledged amount. His obligation is to GMAC. His Fidelity account is merely used as a guarantee for the down payment.