Gold Loan Lowest Interest Rates in India

A gold loan in India is a secured loan which is offered against collateral of gold, gold ornaments. Under such loan, the borrower has to pledge his/her gold | gold ornaments with the bank who lends the funds as gold loan. Gold loans can be a good source of short term cash in case of emergency. Gold Loan is available at lower interest rate than personal loan. The gold loan interest rates offered by banks is 7.35% p.a. onwards as on 08 Feb 2023.

Gold Loan at lower Interest Rate 08 Feb 2023

BankInterest RateTenureMax. Loan AmountEligibility
Tamilnad Mercantile Bank Limited10.00%Maximum 12 monthsMinimum Rs. 3,000 and Maximum Rs. 10 Lakhs for Any Individual who is competent to enter into a valid contract and to create pledge other than Pawn Brokers and Money Lenders.
Kotak Mahindra Bank Limited10.00% to 17.00%Minimum 1 year to maximum 4 yearsRs. 25,000 to Rs. 25,00,000Any Resident Individual | Proprietor who owns Gold, and whose of above 18 years but below 75 years can avail a Gold Loan by keeping security of Gold ornaments | articles between 18 to 22 karats. Co-Borrower is required if Borrower's age is above 70 years.
Bandhan Bank Limited10.99% to 18%Flexible repayment tenure from 6 months to 36 months Need Based Loan, loan amount starts from Rs. 10,000
Quantum of loan should be determined based on the net weight of the jewel|ornament and rate per gram based on daily price quoted by Bank
Bank provides loan to individuals against pledge of gold ornaments to individuals aged between 18 years and 70 years.
Indusind Bank10% to 16.50%Maximum 12 monthsMaximum Rs.10 lakhAny person who owns Gold, and is between 18 and 70 years can avail a Gold Loan for their Personal use or Business use. No income proof needed for loans up to Rs 10 lakh.
South Indian Bank12.10%Maximum 12 monthsRs. 5,000 to Rs. 10 Crore
Axis Bank13.50% - 14.50%Flexible repayment tenure from 3 months to 36 months Axis Bank Gold Loan which offers loan amounts from Rs. 25,001 to Rs. 25,00,000 against your gold ornaments or coinsBank provides loan to individuals against pledge of gold ornaments to those between the ages of 18 and 75 years
Bank Of Maharashtra7.00%Maximum 24 monthsMinimum- No minimum limit and Maximum Rs. 20 lakhAll individuals including Bank Staff desirous of availing Gold Loan against Gold Jewellery / ornaments. All individuals including Bank Staff desirous of availing Gold Loan against Gold Jewellery / ornaments.
Indian Overseas Bank7.05% to 8.15%Maximum 35 monthsMinimum finance under the scheme will be Rs.50,000 and the maximum will be Rs. 25 lakh.Individuals who own jewels, engaged in business activities like small business|trade|professional and self-employed etc.
Bank Of India7.25% to 8.90%Maximum 18 monthsAccordingly to the value of jewellery to be pledged, maximum- Rs 50 LakhIndividual/Proprietorship Firm, who is lawful owner of gold jewellery/ ornaments/ coins. Finance to proprietorship firm for business purposes only.
Canara Bank7.35%Maximum 24 monthsMinimum Rs. 5,000 and Maximum Rs.35 lakhCredit-worthy SB Account holders with satisfactory dealings or new customers properly introduced and credit-worthy.
Syndicate Bank7.35%Maximum 24 monthsMinimum Rs. 5,000 and Maximum Rs.35 lakhCredit-worthy SB Account holders with satisfactory dealings or new customers properly introduced and credit-worthy.
State Bank Of India7.50%Maximum 36 monthsMinimum Rs.20,000 & Maximum Rs. 50 lakhAnybody with Steady source of income aged 18 years and above
Bharatiya Mahila Bank Limited7.50%Maximum 36 monthsMinimum Rs.20,000 & Maximum Rs. 50 lakhAnybody with Steady source of income aged 18 years and above
State Bank Of Mysore7.50%Maximum 36 monthsMinimum Rs.20,000 & Maximum Rs. 50 lakhAnybody with Steady source of income aged 18 years and above
State Bank Of Hyderabad7.50%Maximum 36 monthsMinimum Rs.20,000 & Maximum Rs. 50 lakhAnybody with Steady source of income aged 18 years and above
State Bank Of Patiala7.50%Maximum 36 monthsMinimum Rs.20,000 & Maximum Rs. 50 lakhAnybody with Steady source of income aged 18 years and above
State Bank Of Travancore7.50%Maximum 36 monthsMinimum Rs.20,000 & Maximum Rs. 50 lakhAnybody with Steady source of income aged 18 years and above
State Bank Of Bikaner And Jaipur7.50%Maximum 36 monthsMinimum Rs.20,000 & Maximum Rs. 50 lakhAnybody with Steady source of income aged 18 years and above
Andhra Bank7.75%Maximum 12 monthsMaximum of Rs.25.00 Lakh for non priority sector loansAny individual owning gold ornaments/Jewelry/Coins, either singly or jointly. Pawnbrokers, Jewelers & Jewelry shop-owners are not eligible for Gold Loan. Loans can be granted against Gold Ornaments/Jewelry and specially minted pure Gold Coins sold by our Bank/other Banks. The weight of the coin(s) should not exceed 50 grams per customer.
Union Bank Of India7.75%Maximum 12 monthsMaximum of Rs.25.00 Lakh for non priority sector loansAny individual owning gold ornaments/Jewelry/Coins, either singly or jointly. Pawnbrokers, Jewelers & Jewelry shop-owners are not eligible for Gold Loan. Loans can be granted against Gold Ornaments/Jewelry and specially minted pure Gold Coins sold by our Bank/other Banks. The weight of the coin(s) should not exceed 50 grams per customer.
Federal Bank7.95% onwardsMaximum 12 monthsMaximum amount per gram is up to 85% of the gold price. Minimum Loan Amount - Rs. 1,000 and Maximum Loan Amount - Rs. 150 lakhAny person who owns Gold, and is between 21 and 70 years can avail a Gold Loan
Punjab And Sind Bank7% to 7.50%Maximum 12 monthsAccordingly to the value of jewellery to be pledged. Minimum Rs 10,000 and maximum finance under the scheme will be Rs. 25 lakh per borrowerFully KYC Compliant Customers including staff members and ex-staff and their family members
Uco Bank7% to 7.50%Maximum 60 monthsMaximum amount that can be sanctioned per gram of standard gold will be decided by Head Office of the bankLoan against security of gold ornaments can be made to all Borrowers who would avail such loan for Agriculture & Allied Activities, Activities related to Micro & Small Enterprises, Retail Trade, Housing, Education etc.
Necessary declaration from the eligible borrowers will be required to be obtained specifying the purpose of such loan at the time of sanction.
Allahabad Bank8.00%Maximum 35 monthsMax. Rs 5 lakh. Quantum of loan should be determined based on the net weight of the jewel|ornament and rate per gram fixed from time to time or 70 % of market value of the jewels to be pledged, whichever is lower.All individuals who own jewels.
Indian Bank8.00%Maximum 35 monthsMax. Rs 5 lakh. Quantum of loan should be determined based on the net weight of the jewel|ornament and rate per gram fixed from time to time or 70 % of market value of the jewels to be pledged, whichever is lower.All individuals who own jewels.
Dcb Bank Limited8.5% to 18%Maximum 30 monthsQuantum of loan should be determined based on the net weight of the jewel|ornament and rate per gram based on daily price quoted by Bank All individuals who own jewels.
Hdfc Bank8.50% to 15.97%Gold Loans is available for tenures starting from 3 months up to 24 months.Need Based Loan
Quantum of loan should be determined based on the net weight of the jewel|ornament and rate per gram based on daily price quoted by Bank
All individuals who own jewels.
Oriental Bank Of Commerce8.70% to 8.95%Maximum 12 monthsMinimum Rs 25,000 and maximum finance under the scheme will be Rs. 10 lakh per borrowerAll individuals who own jewels.
Punjab National Bank8.70% to 8.95%Maximum 12 monthsMinimum Rs 25,000 and maximum finance under the scheme will be Rs. 10 lakh per borrowerAll individuals who own jewels.
United Bank Of India8.70% to 8.95%Maximum 12 monthsMinimum Rs 25,000 and maximum finance under the scheme will be Rs. 10 lakh per borrowerAll individuals who own jewels.
Central Bank Of India9.05%Maximum 12 monthsMinimum Rs 10000 and Maximum Rs. 40 lakh
City Union Bank Limited9.50%Maximum 12 monthsQuantum of loan will be maximum of 75% of the market value of gold or 75% of the value of the gold ornaments as appraised by a bank approved appraiser whichever is lower(on gross weight) subject to scale of finance fixed from time to time.Any person who owns Gold, and is between 21 and 70 years can avail a Gold Loan. Pledge of gold ornaments with purity between 22 carats to 24 carats only.
Dhanalakshmi Bank9.65%Maximum 12 monthsUpto 85% of the value of gold ornaments. Overdraft facility available with the flexibility of partial release and pledge of gold.Individuals, proprietorships, and partnership firms can avail the loan against gold ornaments owned by the individual, proprietor or any partner of the firm
The Nainital Bank Limited9.65%Maximum 12 monthsQuantum of loan should be determined based on the net weight of the jewel|ornament and rate per gram fixed from time to time by the bank
Maximum Rs. 15 lakh
The applicant must be a true owner of the gold ornaments/Jewellery/specially minted gold coins sold by the banks. The weights of specially minted gold coins should not exceed 50grams per customer.
Applicant's age should be above 18 years but below 70 years
The norms of KYC to be complied with strictly.
Laxmi Vilas Bank9.90%Maximum 12 monthsMaximum Rs. 30,00,000Based on the advance value per gram of gold as fixed by the Bank from time to time in respect of jewel advances and due appraisal by the Bank appraiser.
Yes Bank9.99% onwardsMaximum 36 monthsMinimum Rs. 25,000 and Maximum Rs. 50 LakhsAny individual between the ages of 18 and 65 is eligible to apply for a gold loan from YES BANK, provided they are in possession of the jewellery that will serve as security for the loan.
Bank Of Baroda9% to 9.15%Maximum 36 monthsMaximum Rs.25 lakhAll individuals, being true owner of the gold ornaments/ jewellery & specially minted gold coins sold by the Banks (maximum up to 50 gm per borrower). The applicant must be Indian resident.
Dena Bank9% to 9.15%Maximum 36 monthsMaximum Rs.25 lakhAll individuals, being true owner of the gold ornaments/ jewellery & specially minted gold coins sold by the Banks (maximum up to 50 gm per borrower). The applicant must be Indian resident.
Vijaya Bank9% to 9.15%Maximum 36 monthsMaximum Rs.25 lakhAll individuals, being true owner of the gold ornaments/ jewellery & specially minted gold coins sold by the Banks (maximum up to 50 gm per borrower). The applicant must be Indian resident.

A Gold loan in India is offered by several banks at a lower interest rate starting at 12% to 15% as on 08 Feb 2023 These loans allow you to repay them in maximum of 1 Years. Banks offer the best Home loan schemes and you can repay the loan through easy EMIs.

While opting for gold loan check the interest rates in various banks and select the best offered rate out of them.

Benefit of Gold Loan

  1. You need not submit any income proof for taking gold loan as it is given against physical security of your gold | gold ornaments. Most of the banks do not ask you any income proof, still some banks may need some documentary income proof.
  2. Minimal documentation is required, in most of the cases, only identity proof and address proof is enough.
  3. Gold Loan is available at lower interest rate than personal loan. The gold loan interest rates offered by banks is around 7.35% as on 08 Feb 2023 whereas the personal loan rates are in the range from 7.35% p.a. onwards as on 08 Feb 2023
  4. Fast processing and approval. Whole process does not take more than 15 minutes in many banks. You have to just deposit gold, sign required documents and receive your loan amount.
  5. Processing fee is nil or very negligible. Even if there is some processing fee, if you negotiate, it can be waived off easily.
  6. You can repay the loan and close your loan account anytime.
  7. Guarantor is not required.