Gold Loan

Gold loans are secured loans acquired by borrowers by depositing their gold ornaments as collateral or security to lenders. Banks and other financial institutions are the most common lenders.

The loan-to-value or LTV ratio is the amount loaned against a borrower’s pledged gold. It is determined by their gold’s quality and market value and generally goes up to 75%. For instance, when the LTV is 75% and the borrower’s gold jewellery’s value is ₹1,00,000, he/she can receive up to INR 75,000.

Gold loans are quick and convenient to avail even without proof of income or CIBIL score report in most cases. Homemakers, pension holders, students, and salaried and self-employed individuals can all apply for them.

5 Unique Products

Loan up to 50 lacs

Tenure 84 Months

No Collateral

Minimum Documentations

No Extra charges

Gold Loan from banks

HDFC Bank Apply Now
Interest Rate
8% - 16.5%		 Loan Amount
1 L to 50 L		 EMI Per Lakh
2,343		 Processing Fees
0% - 2%		 Part payment Charges
NA		 Pre-Payment Charges
0% - 3%
ICICI Bank Apply Now
Interest Rate
10% to 19.75%		 Loan Amount
1 L to 50 L		 EMI Per Lakh
2,343		 Processing Fees
1%		 Part payment Charges
NA		 Pre-Payment Charges
0% - 3%
IDFC First Bank Apply Now
Interest Rate
9% to 17.75%		 Loan Amount
1 L to 50 L		 EMI Per Lakh
2,343		 Processing Fees
1.5		 Part payment Charges
NA		 Pre-Payment Charges
0% - 3%
Indusind Bank Apply Now
Interest Rate
8.90%		 Loan Amount
1 L to 50 L		 EMI Per Lakh
2,343		 Processing Fees
1.5		 Part payment Charges
NA		 Pre-Payment Charges
0% - 3%
Kotak Mahindra Gold Loan Apply Now
Interest Rate
10% to 17%		 Loan Amount
1 L to 50 L		 EMI Per Lakh
2,343		 Processing Fees
2%		 Part payment Charges
NA		 Pre-Payment Charges
0% - 3%
Tata Capital Apply Now
Interest Rate
NA		 Loan Amount
NA		 EMI Per Lakh
NA		 Processing Fees
NA		 Part payment Charges
NA		 Pre-Payment Charges
NA
Bajaj Finserv Apply Now
Interest Rate
9.75% to 20%		 Loan Amount
1 L to 40 L		 EMI Per Lakh
2,343		 Processing Fees
3%		 Part payment Charges
NA		 Pre-Payment Charges
0% - 3%
Aditya Birla Capital Apply Now
Interest Rate
NA		 Loan Amount
NA		 EMI Per Lakh
NA		 Processing Fees
NA		 Part payment Charges
NA		 Pre-Payment Charges
NA

Criteria eligibility documents

Gold Loan Eligibility Criteria

Age limit: Borrowers must be 18 or older to avail of gold loans. Upper age limits vary among financial institutions but typically range between 60-75 years.

Nationality: Borrowers must be resident Indian citizens.

Gold type and purity: Most financial institutions accept 18-24 karat gold in jewellery form only.

Repayment tenure: Borrowers must be capable of repaying their loans within a specified period. Minimum tenures of 6 months and a maximum of 4 years are common but vary from one financial entity to another.

Documents Required
  • For photo proof: 1-2 passport-size photographs
  • Any of the following for identity proof: •Copy of valid passport •Valid driving licence •Voter ID card •Aadhaar card issued by UIDAI •Valid ration card •Letter with loan applicant’s personal details provided by National Population Registration
  • Any of the following for address proof: •Voter ID card •Copy of valid passport •Valid driving licence •Aadhaar card issued by UIDAI • Valid NREGA job card •Letter with loan applicant’s personal details provided by National Population Registration
  • For applicants with existing Agriculture Loans exceeding a certain amount: •Proof of landholding
  • For applicants with existing Allied Agriculture Loans over a certain amount: •Proof of supporting documentation
Rate of Interest

Interest rates for gold loans are comparatively lower than other types of loans. They can range between 8% per annum to 26% per annum depending on the financial entity and gold loan scheme chosen.

Understanding Gold Loans: Your Guide to Secured Borrowing

Gold loans are secured loans where you provide gold jewellery as collateral. The loan amount depends on the value of the gold, and you get your jewellery back once the loan is repaid in full.

Key Features of Gold Loans:

  1. Purpose: Use gold loans for various needs like education expenses, medical emergencies, or vacations.
  2. Security: Your pledged gold serves as collateral for the loan amount.
  3. Tenure Options: Choose repayment periods from 3 to 48 months.
  4. Fees: Look out for processing fees, late payment charges, valuation fees, etc.

Repayment Options:

  1. Equated Monthly Installments (EMI)
  2. Pay interest upfront, repay the principal at the end.
  3. Monthly interest payments, with principal repayment at the end.
  4. Rebates: Some lenders offer interest rate discounts if you regularly repay interest, often 1% to 2% off the original rate.

Dailyfinserv RECENT OFFERS

Personal Loan

  • Easy documentation & fast disbursal
  • Flexi personal loan tenure
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Int Rates : 10.5% - 22%
Loan Amount: ₹ 1,00,000.00

Max Tenure : 5
Lowest EMI : I 2,499.00

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Personal Loan

  • Easy documentation & fast disbursal
  • Flexi personal loan tenure
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Int Rates : 10.5% - 22%
Loan Amount: ₹ 1,00,000.00

Max Tenure : 5
Lowest EMI : I 2,499.00

Get quick processing & speedy disbursal

Personal Loan

  • Easy documentation & fast disbursal
  • Flexi personal loan tenure
img

Int Rates : 10.5% - 22%
Loan Amount: ₹ 1,00,000.00

Max Tenure : 5
Lowest EMI : I 2,499.00

Get quick processing & speedy disbursal

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