Gold loan is the best way to handle any emergency situation such as medical bills, unexpected emergencies. You need this loan when you need quick cash but don’t want to sell your gold jewelry or asset. The bank adds extra money you have to pay when you borrow, called interest. After you've paid back all the money you borrowed, they give your gold back to you, safe and sound. Gold loan is starting from 8.75%.
We EazyBankLoan understand the process of procuring a loan can be stressful. That is why we take care of your gold loan application process, saving you time and hassle by handling the paperwork and communication with the loan providers.
Need help? Reach out to us at support@eazybankloan.com
| Category | Details |
|---|---|
| Interest Rate | 8.75%- 26% p.a |
| Loan Amount | Changes as per the market rate |
| Documents Required | Aadhar card, Vote ID Card, Proof of ownership of gold such as purchase invoice, receipt etc. |
| Loan Tenure | Varies but mostly starting from 3-24 months |
| Bank | Interest Rate | Processing Fee | Max Tenure | Max Loan Amount |
|---|---|---|---|---|
|
Starting from 8.85% | 0.50% of loan amount subject to minimum Rs. 500 + applicable GST. | Up to 3 years | Rs. 20,000- 50 lakhs |
|
Starting at 10% p.a | 1% of loan amount | Up to 3 years | 10,000 to 1 crore |
|
13.50% p.a.to 14.50% p.a. | 0.50% + GST | Up to 3 years | Rs.25,001 to Rs.25 lakh |
|
9.00% p.a. onwards | 1.5% of the loan amount | 6- 42 Months | Rs. 25,000 Onwards |
|
9.00% p.a. | 0.5 % of the loan amount + GST subject to a minimum of Rs.500 | Up to 2 years | Rs. 5,000- 35 lakhs |
|
from 7% p.a. and up to 7.50%. | "1.0% of the Principal Loan Amount" | Up to 3 years | "Any amount from Rs.1,000 to Rs.10 crore*" |
|
9.50% to 28% p.a. | 1% of loan amount | Up to 3 years | Up to Rs.25 lakh |
|
8.05% p.a. - 8.4% p.a. | 0.75% of loan amount | "As per the lender’s terms and conditions" | "Rs.25,000 to Rs.10 lakh" |
|
0.88% fixed interest rate on the amount 4 lakh and above | maximum 2% (plus GST) | 12 Months | Up to 25 lakhs |
|
Starting from 0.90% per month | Up to 1% of the Loan Amount | 60 Months | Rs. 25,000- 50 lakhs |
Calculate your gold loan interest rate and Gold Loan Equated Monthly Installments (EMIs) by using a gold loan EMI calculator. The gold loan calculator can help you save your time by giving an exact calculation by adding the current gold prices. You can adjust your monthly budget and pay your loan EMIs with ease. All you need to do is add your details like bank name, type of loan, loan amount, interest rate, and loan tenure and within a few seconds, you will get the results.
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| Year | Principal(A) | Interest(B) | TOTAL PAYMENT(A + B) | BALANCE |
|---|
| Gold loan eligibility age | Occupation | Gold articles | Gold Purity | LTV Ratio |
|---|---|---|---|---|
| 18 -75 years | Anyone who is salaried or self-employed, businessman, Farmer, or Trader | Ornaments, jewelry, coins | 18k, 22k, 24k | 65% - 90% |
Have you heard of the LTV ratio? It's about how much loan you get for each gram of gold you pledge. This rate changes every day based on the current market value of gold
If the LTV ratio is 60% and your gold is worth 1 lakh, you'd get a loan of 60,000 rupees.
| Document | Examples |
|---|---|
| Identity Proof | Passport Copy, PAN Card, Aadhaar Card, Voter’s ID |
| Utility bills (Water and Electricity) | |
| Address Proof | Rent Agreement, Residence Certificate, Utility Bills |
| Identity Proof | Passport Copy, PAN Card, Aadhaar Card, Voter’s ID |
| Passport size photographs | - |
| Any other documents required by Lenders | - |
| Aspect | Gold Loan | Personal Loan |
|---|---|---|
| Security | Secured loan, backed by gold collateral | Unsecured loan, no collateral required |
| Interest Rate | Generally lower due to secured nature | Typically higher due to higher risk |
| Loan Amount | Determined by the value of pledged gold | Determined by borrower's creditworthiness |
| Processing Time | Quick processing time | Longer processing time |
| Documentation | Minimal documentation required | More documentation required |
| Credit Check | Generally not required | Required to assess borrower's creditworthiness |
| Loan Tenure | Flexible tenure, ranging from months to years | Fixed or flexible tenure options available |
| Flexibility | Limited flexibility in loan amount and tenure | More flexibility in loan amount and tenure |
| Risk | Lower risk for lender due to collateral | Higher risk for lender due to lack of collateral |
| Default Consequences | Loss of pledged gold | Legal action, credit score damage, asset seizure |
| Interest Payment | Usually simple interest payment method | Compound interest payment method |
Compare interest rates offered by different lenders to ensure you're getting the best deal. Even a small difference in interest rates can significantly impact the overall cost of the loan.
Understand the LTV ratio offered by the lender, which determines the maximum loan amount you can get based on the value of your gold. Higher LTV ratios offer more liquidity but may come with higher interest rates.
Evaluate the loan tenure options available and choose one that aligns with your repayment capability. Longer tenures may lower your monthly payments but result in higher overall interest payments.
Clarify the repayment terms, including any penalties for late payments or defaults. Ensure you have a clear understanding of the repayment schedule and options for prepayment or loan renewal.
Inquire about any processing fees, appraisal charges, or other hidden costs associated with the loan. Factor these charges into your loan cost calculations.
Choose a reputable lender with secure storage facilities for your pledged gold. Ensure that proper insurance and security measures are in place to protect your assets.
Understand how quickly the loan will be disbursed after approval. Opt for lenders with efficient and streamlined processes to minimize waiting time.
Check if the lender offers options for loan renewal or closure and understand the procedures involved. Evaluate the flexibility provided in managing your loan account.
Recognize that your gold assets serve as collateral for the loan. Assess the potential consequences of defaulting on the loan and losing your pledged gold.
Secured Loan
Quick Processing
No CIBIL Score Check
Minimal Documentation
Interest Rate Usually Low
Flexible Low Amount
The loan amount typically depends on the value of the gold being pledged.
Fluctuations in the market value of gold generally do not affect an ongoing gold loan. The loan amount is determined at the time of loan approval based on the value of the gold pledged.
Yes, you can typically repay the loan before the tenure ends. However, some lenders may charge prepayment penalties. It's advisable to check with your lender regarding their prepayment policies.
Late payment penalties vary among lenders. Some may impose a penalty fee or increase the interest rate for late payments. It's essential to clarify the late payment policies with your lender.
Gold loans are usually accessible to individuals who own gold jewelry or ornaments. Lenders often do not require a high credit score or income proof, making them accessible to a wide range of borrowers.
Repayment options typically include monthly installment payments or repayment of the entire principal and interest at the end of the loan tenure. Choose the option that best suits your financial situation.
Yes, many lenders allow borrowers to pre-pay the loan amount without any penalties. Pre-paying the loan can help save on interest payments.
No, gold loans are typically secured loans, and the gold itself serves as collateral. Therefore, a guarantor is not required to obtain a gold loan.
Most lenders accept a wide variety of gold jewelry and ornaments as collateral, including chains, bangles, earrings, etc. However, it's essential to check with the lender regarding their acceptance criteria.
In case of default, the lender may auction off the pledged gold to recover the outstanding loan amount. Defaulting on the loan can also negatively impact your credit score and future borrowing capabilities.
Yes, many lenders offer the option to renew the loan after repaying it. You can pledge the same gold ornaments again to avail of another loan.
Some lenders offer the option for partial disbursement of the loan amount, allowing borrowers to withdraw only a part of the approved loan amount as needed.
The value of the gold is typically assessed based on its purity, weight, and prevailing market rates. Lenders use certified appraisers or standardized methods to determine the value of the gold.
If the pledged gold is found to be counterfeit or of lower purity than claimed, the lender may reject the loan application or offer a reduced loan amount based on the actual value of the gold.
