Gold loans as viable financial source?
Every Indian household possesses a certain amount of gold jewellery. Passed down with generation as a financial backup, the value of gold fluctuates with prevalent economic conditions. Recently, RBI has hiked the LTV ratio cap on gold loans for non-agricultural purposes to 90%.
Apply for a gold loan?
With digitalization, making a loan application has become simpler and a matter of minutes. The steps to successfully apply for a gold loan from NBFCs like Bajaj Finserv include:
1: Visit the preferred lending institution’s website
2: From the ‘Product’ tab, select ‘gold loan’ option.
3: On the redirected page, fill the form with relevant personal and professional details.
4: A representative will contact an applicant for subsequent processing.
Individuals can visit the official branch or call a lending institution to know the details of the application. Ideally, a company representative contacts an applicant for documentation and gold evaluation. After successful verification, the loan amount is disbursed to a borrower’s account.
Eligibility criteria for a gold loan?
Following are the eligibility requirements an applicant needs to comply with to avail of a loan against gold:
- An applicant should fall in the age bracket of 21 to 70 years
- Any self-employed/salaried individual, farmer, businessman, or trader are allowed to make an application
- They must possess adequate gold articles
Individuals also need to submit certain documents to authenticate their credibility. The basic requirements include:
- Identity proof, including PAN, Aadhaar, voter ID, driving license, etc
- Address proof
Benefits offered by gold loans?
- Substantial credit
- No hassle of CIBIL score
- Easy repayment
- Part release facility
