Gold Loan

Gold loan is also called loan against gold and it is a secured loan taken by the borrower from a lender by pledging their gold within a range of 18-24 carats as collateral. The loan amount provided is a certain percentage of the gold, typically upto 80%, based on the current market value and quality of gold. There is no need of guarantors.

Can I take a gold loan for a month?

The tenure options can range from a minimum of 3 months to a maximum of 48 months. Repayment Options: There are three main options offered by lenders to borrowers for the repayment of a gold loan. These are: Repayment in Equated Monthly Instalments (EMI)

What are the rules for gold loan?

When applying for a gold loan, you may not get the full value of gold as the loan amount. As per the Reserve Bank of India rule, the loan-to-value (LTV) ratio of a gold loan cannot exceed 75%. For instance, if the value of your gold is Rs. 1 lakh you can get a loan.

Loan limit

  • 75% of Gold Valuation.


  • 1 Years


  • Hypothecation pledge.

No Of Guarantors

  • Not Applicable.

Interest Rate

  • 10.50% for Gold Loan Above 2 Lac.
  • 9.00% for Gold Loan with 7/12 up to 2 Lac
  • 10.00% for Gold Loan without 7/12 up to 2 Lac