Product Details
Name of Bank
IDFC BANK
Maximum Loan Amount
50 lakh
Interest Rate
0.80% per month
Loan to Value Ratio
75%
Maximum Loan Tenure
12 Months
Gold loans by IDFC first Bank under three schemes
i. Bullet Scheme: The interest & the principal amount, both are, payable at the end of the loan tenure
ii. Monthly Interest Servicing Scheme: The interest amount is payable monthly & the principal amount is payable at the end of the loan tenure
iii. Equated Monthly Instalments (EMI) Scheme: An equated monthly instalment (EMI) is a set monthly payment on a set day, each month. EMI applies to both interest and principal each month, and the loan is paid off in full over some years.
Fees and Charges
Processing Fees:- 1% of the Loan Amount
Prepayment charges :- 2% of Gold Loan amount if loan closed within 90 days of disbursal
Gold Valuation Charges:-
Valuation Charges per case is Rs 550/-
Stamp duty Charges:- As per state norms
Late Payment Charges:-
During tenure: 24% per annum on overdue amount or ₹300, whichever is higher
Minimum CIBIL Score
Gold loan typically do not depend on your cibil score. This is because you are provding gold as a security upfront.
Eligibility
Any Indian
Fees and Eligibility
Concession and Features
Special Concession
N/A
Special Features
IDFC Bank offers Gold loans with Least documents requirements
Pros
-You can get a loan against your gold jewellery of purity between 18 to 22 karats.
-You can choose from a wide range of repayment plans, such as Bullet, Monthly Interest & EMI.
-You can get a fully-digital and paperless process, including eKYC, eSign, and eMandate.
-You can get a zero-balance savings account along with Gold Loan, bundled with the convenience of doorstep banking.
-You can get a fixed interest rate with no step-up
Cons
-You can only get a loan up to 75% of the value of your gold.
-You risk losing your gold if you fail to repay the loan.
-You may have to pay processing fees and other charges
Pros & Cons
How to Open?
IDFC FIRST Bank offers a digital and paperless journey for your gold loan. You simply have to bring your gold jewellery to our nearest Gold Loan branch to get started.
Documents Required
1. Net Banking or Debit Card details to set up e-Mandate
2. e-Signature
Account Opening and Procedure
Indian Bank
Indian Bank Jewel loan provides two loan schemes
1. Bullet Repayment
2. Monthly Repayment
The interest rate varies from 8.65% to 9.00% which is moderate as compared to different banks offering gold loans. However, the LTV Ratio is low i.e., only 65-70%, the other banks in the market offer higher LTV Ratio on the gold loans. Therefore, before applying for such loan check the terms and conditions properly and compare different banks offering gold loans.
Abhijeet Saxena
Abhijeet Saxena
Nalsar University of Law
Ex- Senior Associate, Shardul Amarchand Mangaldas, Delhi
Ex - Khaitan & Co. Bengaluru,
Ex - National Stock Exchange, Mumbai,
Ex - Argus Partners, Mumbai