Indian Bank Gold Loan offers competitive rates of interest and customised schemes to meet the varied needs of the applicants. From agricultural loans to specific-purpose gold loans, Indian bank provides a huge range of options with hassle-free application processes and minimal documentation. Indian Bank provides gold loans @8.80% onwards for a loan tenure of up to 35 months. A gold loan can be applied to fulfil personal and business-related needs (Other than speculation) by pledging the gold loan as collateral.
Indian Bank Gold Loan Highlights | |
Interest Rate | Fixed Interest Rates: Jewel Loan (Non-priority): 8.80% – 9.80% p.a.OD against Gold Jewels: 9.95% to 10.45% p.a. Floating Interest Rates: Jewel Loan (Non-priority): 8.80% – 9.00% p.a.OD against Gold Jewels: 9.90% to 10.40% p.a. |
Repayment Tenure | For Indian Bank Jewel Loans: Bullet Repayment: Up to 1 yearMonthly Repayment: Up to 35 months For Indian Bank OD Against Gold Jewels: 1 year (renewable) |
Loan Amount | For Indian Bank Jewel Loans: Bullet Repayment: Up to INR 35 LakhMonthly Repayment: No limit on the maximum loan amount For Indian Bank OD Against Gold Jewels: Minimum: INR 25,000Minimum: INR 10 Lakh |
Loan-To-Value Ratio | i.e. up to 75% of the market value of jewels pledged or the advance value of jewels per gram, whichever is lower |
Processing Fees | Nil |
Different Types of Gold Loans
Mentioned below are the different types of Indian Bank Gold Loans:
- Indian Bank Jewel Loan:
- An applicant between the ages of 21 and 70 years can apply.
- Get 70% of the market value of the jewels held as collateral or the jewel per-gram advance value, whichever is lower.
- The repayment period can range between 12 to 35 months.
- A loan application form, along with the address and identity proofs, are necessary documents.
- Indian Bank OD Against Gold Jewels:
- This facility can be availed for any purpose other than speculations.
- This facility can be availed by the general public, women, and COVID warriors who are at least 21 years of age.
- One can borrow up to 75% of the market value of the gold held as collateral or the advance amount of gold per gram, whichever is lower.
- Agricultural Gold Loan Scheme:
- This loan can be available to small-scale farmers.
- The borrowing limits are 85% of the market value of the gold held as collateral and approved by NABARD, whichever is lower.
- The repayment period can range between 6 to 12 months.
- A duly filled loan application form, proof of the agricultural land registered in the name of the applicant, along with the documentation of crop cultivation, like a passport, Aadhar card, and driver’s license.
- Sovereign Gold Bonds
- These are secured bonds that are issued against the government’s actual gold reserves.
- In the case of bank loans, these gold loans can be held as collateral.
- The securities, in this case, are extremely liquid and can be converted into money.
Interest Rates
Mentioned are the Indian Bank Gold Loan Interest Rate that will be charged when the Indian Bank Gold Loan is availed:
Particulars | Rates (Fixed) | Rates (Floating) |
Jewel Loan (Non-priority) | 8.80% – 9.80% p.a. | 8.80% – 9.00% p.a. |
OD against Gold Jewels | 9.95% – 10.45% p.a. | 9.90% – 10.40% p.a. |
Eligibility Criteria
Mentioned below are the eligibility parameters that are to be met in order to apply for Indian Bank Gold Loan:
- The minimum age of the loan applicant should be 21 years.
- The maximum age of the loan applicant should be 70 years.
- Anyone who obtains gold jewellery, ornaments, or coins that the bank requires for mortgage purposes can apply for the loan.
- An applicant should have a stable source of income.
- An applicant should have a savings account or a current account with the bank. (Optional)
Processing Fees and Charges
Mentioned below are the processing fees and charges associated with Indian Bank Gold Loan:
- Processing Fees
Particulars | Charges |
Processing Fees | Nil |
- Other Charges
Particulars | Charges |
Appraiser fee | It is to be borne by the applicant |
Documentation Required
Mentioned below is the list of documents required to be uploaded along with the loan application form:
- A duly completed and signed gold loan application.
- Two passport-sized photographs.
- Identity documents: passport, voter ID card, driver’s license, PAN card, Aadhar card, and an ID card from a government agency.
- The most recent utility bill, phone or mobile bill, credit card statement, and house lease agreement are all acceptable forms of identification.
- Proof of income (optional) includes the most recent pay slip, which includes all deductions, Form 16, or the ITR for the past two financial years.
Steps to Apply for an Indian Bank Gold Loan
Mentioned below are the steps to be followed in order to apply for Indian Bank Gold Loan:
Step 1: Click https://indianbank.in/departments/jewel-loan/# to visit the jewel loan page on the official website of Indian Bank.
Step 2: Click on the option “Apply Now”, available at the bottom of the page.
Step 3: From the menu, choose the option “Submit a Request”.
Step 4: Select either “Yes” or “No” to the question “Are you an existing customer?”
Step 5: In case you are an existing customer, provide your existing savings account number.
Step 6: In case of a new customer, provide your mobile number.
Step 7: Click on the option “Generate OTP”.
Step 8: Provide the OTP received on your mobile number registered with the bank.
Step 9: A bank representative will connect with you shortly.
Step 10: To resolve problems associated with the online application, one can also call the customer care number, 1800 4250 0000.
Benefits of Indian Bank Gold Loan
Mentioned below are the benefits associated with Indian Bank Gold Loan:
- Multiple Uses: A gold loan can be used for various purposes, such as daily necessities, family weddings, and medical expenses, except for speculative business.
- Competitive Interest Rates: The interest rate for payments made in one lump sum amount is 8.25%, and for payments made over time, it is 8.75%
- Simple Eligibility Criteria: An individual above 21 years of age can apply.
- Flexible Repayment: There is no upper limit on the loan amount up to INR 10 lakhs for the borrower opting for the bullet repayment method.
- Low Processing Cost: The processing fee is as low as 0.50% of the loan amount.
- Flexible Payback Period: Under the bullet repayment plan, the gold loan can be repaid within 12 months or 35 months under the monthly repayment plan.
- Easy Documentation: Only identity and address proofs must be submitted, which eases the loan application process.