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Gold Loan
- Our Location
Delhi-NCR, India
Basic Details
The eligibility criteria of a Gold loan applicant is as follows:
Gold Purity
Gold purity of 18 to 22-carat is required by lenders for pledge. If gold coins are pledged, then they should be 24 carats pure.
No Heading
In case a loan is required for agricultural purposes, proof of land holding is required
Credit Score
It isn’t a deal maker or breaker in case of gold loans as it can be liquidated quite easily in case the asset turns sub-standard.
Income Proof
Mostly it is not insisted upon, but some lenders might still look for a stable income.
Documents Required :
Pan Card
Adhaar Card
Address Proof
Income proofs/bank statement if required
Proof of land ownership in case of agricultural purpose loan
Terms & conditions :
Interest rate
It varies from 10% to 25% p.a. depending upon the lender and the financial condition and credit history of the borrower. It is less than the rates on personal loans.
Quantum
It is fixed by the lender in proportion of the weight of the gold pledged or at a loan to value ratio of around 65% to 75% of the market value of the gold pledged.
Processing charge
Nominal processing charges are levied. Some lenders may not charge it all.
Prepayment/foreclosure charges
Prepayment is allowed at a minimal or no charge.