What is the Gold Loan EMI Calculator?
Gold Loan EMI Calculator is an online tool that can be accessed by individuals or applicants to calculate the EMI against the gold loan they plan to avail, against their self-owned gold or gold ornaments. Their self-owned gold or gold ornaments shall be kept as collateral or security with the lender (bank or NBFC) until the loan is fully repaid in time. Gold Loan EMI calculator, as featured at Paisabazaar.com can help an applicant to get the approx. EMI that needs to be paid to repay the borrowed amount. By accessing Gold Loan EMI calculator, applicants can even try varied interest rates and repayment tenure offered by leading financial institutions.
About Gold Loan
Gold loan is a secured loan that is offered by the banks and NBFCs against applicant’s self-owned gold to be kept as a collateral or security with the lender. Financial institutions offer gold loans by keeping applicant’s self-owned gold jewellery, coins or ornaments as a collateral or security, which is returned back to the borrower upon timely repayment of loan and in full. Usually, a loan secured with gold ornaments is offered for short- to medium-term duration. At Paisabazaar, individuals have an option of accessing Gold loan EMI Calculator to calculate the EMIs in lieu of the loan, that shall further help in efficient loan planning and monthly budgeting.
Why is Gold Loan preferred?
To meet the immediate financial requirements, gold loan is a preferred choice of individuals for several reasons. Some of those reasons include:
- Low interest rates, as compared to other lending products, such as personal loan, business loan, MSME loan, etc.
- Flexible repayment tenure that varies from few days to several months
- Many financial institutions do not levy pre-payment charges on gold loans
- Minimal documentation with hassle-free process
- Instant loan disbursals
Highlights of Gold Loan
- Eligibility: To apply for this loan with major banks in India, an individual must own gold and should be above 18 years of age and maximum up to 70 years
- Interest Rate: Most banks and NBFCs in India offer Gold loan interest rate at competitive interest rates with affordable EMIs and flexible repayment options
Documents Required to Apply for Gold Loan
- Duly filled application form with 2 recent passport-sized photographs
- KYC documents of the applicant: Passport, Voter’s ID card, Aadhar card, Driving license, PAN card, Utility Bills (Water & Electricity Bills)
- Proof of self-owned gold, ornaments or coins
- Last 12 months’ bank statement
- Any other document required by lender
How does Paisabazaar’s Gold Loan EMI Calculator work?
To use Gold Loan EMI Calculator at Paisabazaar, you would need to provide a few key details:
- The interest rate offered by the lender
- Loan amount of the subscribed/required Gold loan principal
- The intended repayment tenure
Upon submitting these three details, the EMI calculator would instantly calculate the monthly instalments (taking into account the ongoing gold prices) to be paid by the borrower. Similar information can be used in other EMI calculators as well such as home loan calculator, personal loan EMI calculator, car loan EMI calculator, etc.
Why should you use the Gold Loan EMI Calculator from Paisabazaar?
To calculate Gold Loan Equated Monthly Installments, the calculator can assists in several ways:
- It saves you from hours of tedious and fault prone calculations
- It incorporates the latest gold prices into the calculation
- It allows you to try out different options to find the Gold loan that is suitable for your requirement
- By knowing the loan EMI payable, you can adjust your monthly budget so that you can make timely payments of your gold loan
FAQs
Q. Who is eligible for a gold loan?
Ans. Any Indian who is aged between 18 years and 70 years and owns gold jewellery and coins (gold bars and gold coins in excess of 50 grams each are currently not accepted as collateral for a gold loan) can apply for a gold loan with minimum documentation.
Q. What is the tenure for a gold loan?
Ans. The tenure of a gold loan can range from a few days to a few months. In rare cases a gold loan may feature tenure of a few years, however, this would be at the discretion of the bank and the actual loan amount disbursed.
Q. What happens to the gold as collateral?
Ans. Once you put up the loan as collateral for a gold loan, the gold ornaments or coins are held by the bank or NBFC (non-banking financial company) in its secure vault till the loan amount with interest is repaid in full.
Q. Why apply for a gold loan through Paisabazaar?
Ans. When you opt for a gold loan through Paisabazaar, you can easily check the interest rates, processing fees, foreclosure/pre-payment charges on the gold loan offers provided by leading banks and NBFCs operating in India. This information is available free of charge.
Q. How to use the gold loan EMI calculator?
Ans. The easy to use gold loan EMI calculator uses key gold loan data such as loan principal, tenure and applicable interest rate to provide you with an approximation of your equated monthly installments for a specific loan. This facility is provided to you free of charge and for unlimited number of times for your benefit.