Advantages:
- Low interst compare to personal loan
- No processing fees
- Quick disbursal – no credit report require
- Minimum documentation no income / tax return proof require
- Simple interest
- No prepayment charges
Dis-advanatages:
- For lower interest rate more gold jewellery needs to be pledged
- Loosing of pride to have gold may be there if repayment capability is lost
- Interest rate of NBFCs are higher
- No locker charges
- No tax exemption for salaried people.
Documents Required for Gold Loan:
|
Criteria
|
Documents
|
Applicant
|
|
Application Form
|
|
√
|
|
Photograph
|
|
√
|
|
Identity Proof
|
PAN Card/
Passport/
Driving License/
Aadhaar Card/
Voter's ID Card
|
√
|
|
Address Proof
|
Passport/
Driving License/
Aadhaar Card/
Voter's ID Card
Business Address proof for Non-Salaried Applicant.
|
√
|
|
Age Proof
|
PAN Card/Aadhar Card/Voter Card
|
√
|
|
Signature Proof
|
Certification from present Banker
|
√
|
Eligibility for Gold Loan :
Farmers, Salaried, Self-employed Professionals and ?Businessmen age between, minimum 21 years to a maximum of 70 years of age are eligible for Gold Loan.
|
Gold Loan Interest Rate
|
|
Gold loan company
|
Interest Rates
|
Processing fee/ Documentation Charges
|
|
Allahabad Bank
|
MCLR=2.60% - MCLR+4.25%
|
Nil
|
|
Andhra Bank
|
MCLR+2%
|
Nil
|
|
Axis Bank Ltd
|
14.50% - 17.00%
|
1% / Valuation Charges – Rs.500.00
|
|
Bank of Baroda
|
MCLR+3%
|
0.50%
|
|
Bank of Maharashtra
|
MCLR + 3%
|
Rs.500.00
|
|
Canara Bank
|
MCLR+0.30% - MCLR+0.95%
|
Rs.1000/- and maximum of Rs.5000/-
|
|
Central Bank of India
|
MCLR+2%
|
0.50% of loan amount with Minimum Rs. 2000/- and Maximum uptoRs 20,000/-
|
|
Corporation Bank
|
13.10%
|
1% of the loan amount subject to minimum Rs.1000/-
|
|
Dena Bank
|
MCLR+3.30%
|
0.75% of loan amount.
|
|
Federal Bank
|
12.50% - 12.95%
|
Nil
|
|
HDFC Bank
|
9.00% - 19.90%
|
1% of Loan Amount .
|
|
ICICI Bank Ltd
|
10.00% - 16.10%
|
1% of Loan Amount .
|
|
Oriental Bank of Commerce
|
MCLR+1.50% - MCLR+2%
|
0.50%, min.
|
|
Punjab National Bank
|
MCLR+2.60%
|
0.70% of Loan Amount.
|
|
State Bank of India
|
10.55%
|
0.50% of Loan Amount +ST
|
|
Syndicate Bank
|
MCLR+1.50%
|
Nil
|
|
Uco Bank
|
MCLR+3.15%
|
Rs.250.00 To 550.00
|
|
United Bank of India
|
MCLR+2.05
|
NIL
|
|
Union Bank of India
|
MCLR+1.65% - MCLR+2.40%
|
N.A
|