Option 1
Open Loan Against Shares (LAS) account with any bank. Interest rates in range of 9-10%. You get
50-60% of the value depending on the stock. So for 20L you will need to pledge Shares worth 40L with the bank. Max allowed is 20L account with banks as per RBI Regulation. Not more than 1 LAS account is allowed by RBI. NBFC can open LAS account upto 5Cr, interest in range of 10-12%.
Option2
Open Margin Trading Funding account (MTF) with any broker, Interest rates in range of 10-16%. Pledge stocks with the broker & buy stocks on leverage.
In both cases interest will be charged only for number of days you use the funds.
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