Financial FAQs for Loans

If you lose your gold loan documents, contact your financial institution immediately. They will guide you through the process of obtaining replacement documents. You may need to provide identification proof and other relevant information.

Important Note: It's crucial to act promptly to avoid any potential complications or delays in your loan repayment.

The processing fee for a gold loan typically ranges from 0.5% to 2% of the loan amount. However, this can vary depending on the financial institution, the loan amount, and other factors. It's advisable to inquire about the specific processing fee before applying for a gold loan.

You can apply for a gold loan through the following convenient channels:

Online Application:

• Visit the official website or download the mobile app of your preferred financial institution.
• Fill out the gold loan application form, upload the required documents, and schedule a visit for a gold appraisal.

In-Person Application:

Yes, it is possible to extend the gold loan repayment period, provided the financial institution offers this facility. It is a good option to safeguard yourself against the consequences of loan defaults and acquire more time to pay your instalments.

The interest rate on a gold loan is calculated based on several factors, which lenders consider when determining the rate. Here’s an overview of how the interest rate on a gold loan is calculated:

1. Loan-to-Value (LTV) Ratio

The LTV ratio represents the percentage of the gold’s value that the lender is willing to loan. The Reserve Bank of India (RBI) mandates that the LTV ratio for gold loans should not exceed 75%. A higher LTV ratio often results in a higher interest rate.

While securing a business loan with no credit history can be challenging, it's not impossible. Here are some strategies: