GOLD LOAN
Gold loan is sanctioned by accepting the gold ornaments of the customer as pledge. Gold loans are often used for short term household requirements, business purposes etc. However, in terms of the cost and ease of availing the loan, and the convenience, gold loans are a better bargain.
Eligibility
Anyone who owns gold ornaments can avail the loan provided he/she is the A Class D Class share holder or nominal share holder of the Bank. (Note: minors are not eligible.)
Procedure
Submit the gold ornaments (within a karat range of 18 to 24 k) along with the application in the prescribed format at the branch. The loan will be sanctioned on the base of the gold valuation which involves verification of its purity.Copy of the identity card as per the KYC norms.
Charges and other costs
The charges levied are forms, insurance, notice and miscellaneous charges.
Period
Maximum tenor of 6 months.
Eligible amount
Bank will periodically review and fix the maximum advance amount payable per gram of gold , which nevertheless will exceed the 85% of the existing market value of the gold.
Repayment
Customers are free to repay part amount of loan and/or accrued interest thereon at anytime.
Rate of interest
To see the interest rate please visit the page of interest rate in this site. The interest will be calculated per day basis. The overdue interest rate is 3%
Key Benefits
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To meet the credit needs of trade, commercial activity, other general business as also for their bonafide requirements.
Categories
Wide range of topics to address common queries.
