A gold loan is secured against pledged gold. The lender values the gold and applies its lending rules to determine the offer. The repayment structure matters as much as an advertised rate: some schemes do not work like an ordinary monthly EMI loan.
Choose a scheme you can repay in full
Ask when interest and principal become due, whether payments reduce the principal, and how the gold is released after repayment. A small regular interest payment can leave the principal still due later. Check how you will fund that final payment before accepting the scheme.
What to compare
Get a written valuation and a clear record of the pledged items, purity assessment and the amount the lender will disburse.
Ask for an annualized cost and the full fee schedule. A monthly advertised rate is not an all-in APR.
Confirm whether repayment is by EMI, interest-only payments, a final payment or another scheme-specific structure.
Read missed-payment, notice, auction and gold-release conditions before handing over an asset you may be unable to replace.
Repayment risks to consider
Pledged gold can be auctioned if repayment fails under the agreement. Jewellery can also carry personal or family significance that its lending valuation does not reflect. Do not treat a renewal or another loan as a guaranteed way to repay the current loan.
ORIGINAL SOURCES
Published product references
This selection contains 1 product record. Listing does not imply a partnership or endorsement. Records appear in catalog order; rates are published references, not offers made to you.
IIFL Finance
IIFL Finance Limited
Source checked
Published annual interest
Scheme-specific; request a quote
Published APR
Not recorded; request the KFS
Published amount limit
Not recorded; confirm with the lender
Processing fee
Not estimated; confirm in writing
Rates and repayment depend on the selected scheme. Monthly advertisements are not an all-in APR; obtain a written annualized quote.
Eligibility and conditions
Gold valuation, purity, loan-to-value and identity checks determine eligibility. Pledged gold can be auctioned if you fail to repay.
Charges to verify
Processing, valuation, default and auction charges must be checked in the scheme documents and KFS.
Check the source-review date and current lender page, request your personalized Key Facts Statement, and compare the full repayment obligation. This site does not collect your application, determine eligibility or guarantee a rate. Public product information can change after the date recorded here.
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