If you find yourself in a tight place, you may want access to cash as soon as possible to meet an urgent financial requirement. In those circumstances, to get gold loan shines as a beacon of hope, providing a quick and secure way to arrange cash without the stress of extensive paperwork or credit checks. Obtaining a loan against gold is simple if you have a minimal amount of gold on hand.
Jewellery Loan allows individuals to leverage their gold holdings successfully, providing a dependable solution for various financial difficulties. A gold loan allows you to swiftly and easily satisfy various demands, such as paying for your school, covering medical expenditures, or running a company.
What jewelry is accepted for loan?
A gold loan accepts a variety of gold assets ranging from 18 karats to 24 karats as collateral. Thus, you can easily apply for an 18 carat gold loan. This allows borrowers to get finance with a wide range of gold assets. Some of the assets listed below usually include jewelry, coins, bars, and ornaments.
- Gold Jewellery – This category includes a variety of gold ornaments, including rings, chains, necklaces, earrings, bracelets, and bangles.
- Gold Coins – Bank-approved minted gold coins weighing up to 10 grams in various denominations, as well as bullion coins, are accepted.
Important criteria for gold value
However, the gold standards used to establish the legitimacy of collateral usually include purity, weight, market value, and authenticity when getting a loan against gold.
- Purity: The purity of gold objects is determined by standardized procedures such as carat marks or purity certifications. Gold goods with a greater purity are often more desirable.
- Weight: The weight of the gold pieces affects the amount of the loan that may be granted. Banks employ precision scales to weigh the gold pieces correctly.
- Market worth: The market worth of gold products is calculated using current gold prices to establish the maximum loan amount. The gold loan emi amount will depend on it.
- Authenticity: Banks inspect all gold objects as part of their authenticity certification procedure to guarantee they are genuine and free of changes or tampering.
Eligibility criteria for gold loan:
Gold Loans maintains a very clear and easy qualifying requirement for those looking to use its Gold Loan services.
- Age: Anyone between the ages of 18 and above can get a quick gold loan from banks.
- Citizenship: An Indian citizen or resident is able to obtain gold loans.
- Purity: Gold purity should be at least 18 karats, with 24 karats being the finest.
- Documents: You must have valid residence evidence, ID proof, a bank account, and a PAN card.
According to RBI guidelines, you can get up to 75% of your gold asset worth. Without incurring high borrowing fees, this competitive advantage means that individuals may use their gold holdings to secure financing. You can use a gold loan calculator to calculate the rates and value of gold.
Borrowers can use the gold loan without having to provide lengthy documents or conduct credit checks, allowing them to approach financial issues with confidence.