Product Details
Name of Bank
Indian Bank
Maximum Loan Amount
1. Bullet payment Scheme :- 35 Lakh
2. monthly repayment Scheme:- No Cap
Interest Rate
8.65% to 9.00%
Loan to Value Ratio
70%
Maximum Loan Tenure
1. Bullet payment Scheme :- 12 months
2. monthly repayment Scheme:- 35 months
Indian Bank Jewel loan provides two loan schemes
1. Bullet Repayment
2. Monthly Repayment
Fees and Charges
processing fee :- ₹0.50% on loan amount.
Valuation fee: ₹300/ packet
Documentation fee :- ₹100/packet
Prepayment penalty: NIL
Legal And Other Charges: As per Law applicable
Late Payment Charges :- 2% per month
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
21+ Individuals including Senior Citizens
Fees and Eligibility
Concession and Features
Special Concession
N/A
Special Features
Indian Bank offers loan amount with the best in market interest rates starting from 8%
Pros
Pros:
Quick disbursal: Get the loan within hours by submitting ID, address proof, and gold.
Lower interest rates: Pay less interest than other loans, as gold is a secure asset.
Flexible repayment options: Choose from bullet repayment, EMI, or overdraft facility.
High loan amount: Avail up to 75% of the value of your gold
Cons
Cons:
Risk of losing gold: Lose your gold if you default on the loan, as the bank can auction it .
Fluctuations in gold price: Face changes in the value of your collateral and the loan amount due to market conditions.
Additional charges: Pay processing fee, valuation fee, documentation fee, or prepayment penalty.
Pros & Cons
How to Open?
You can apply online or visit any branch of Bank of India.
Documents Required
Duly filled in application form Identity proof Address proof
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