There is no specific timing or day to avail of a gold loan. Gold loans are available 24/7 any time 365 days around the year. This is a type of lending in which the lender gives a loan to the borrower at an interest rate. The borrower gets a lump sum amount and has to pay in EMI’s (Equated Monthly Income). The EMI is calculated by the bank taking into consideration the tenure of the loan, the Interest rate for the loan and the amount borrowed. Sometimes an individual might come in sudden need of money may it be for some emergencies or opportunities. This loan is one of the most preferred types of loan chosen by Indian households. Any time when there is a need for sudden lumpsum money by anyone they can choose a gold loan to fulfil their needs. This type of loan is one of the fastest processed loans by any bank.
The application procedure is simple and fast. One should have some basic documents in possession like Identity proofs and income statements. As the loan is secured by gold the bank might verify the ownership of the gold for security purposes. The purity and weight of the gold are taken into consideration by the bank to quote the borrower with a loan offer. Gold Rate Today is near its all-time high price. This is also a boost to people to choose a gold loan. This way, they use the gold they have for loan and also still be the rightful owner of the gold. People have been choosing gold loans in time of misery and also in good times. Its simple repayment features help the borrower with paying back the bank.
A person can opt for a gold loan when they have gold to be used as collateral, have a source of constant income and agrees to the bank’s agreement. If an individuals credit score is less still they can apply for a gold loan as it doesn’t emphasize on credit score a lot. The loan is secured by gold so an average credit score would also do good.
The best feature of this type of loan is that almost 90% of the application process can be done online. Especially during these pandemic times, one is avoiding all reasons to step out of their homes. This online application process not only helps those but also people who are unable to visit their nearest bank branch. For the collection of gold as the collateral bank also offers door to door assistance which enables a borrower to go ahead with this loan. SBI Gold Loan is available for everyone who brings the gold to the lender's desk. They offer gold loan amounting minimum of 20 thousand up to 50 lakh rupees.
Many other competitors in this segment charge high interest rates and processing charges but this bank has been able to provide the borrowers with the most user-friendly schemes. They charge processing fees starting at just 0.50% + GST (Goods and Services Tax) of the loan amount with interest rates starting at just 7.50% per cent. This interest rate is unmatchable in this segment. Any individual above the age of eighteen can avail gold loan facility at their nearest branch. Thus if an individual agrees to these policies of the bank and to pay monthly EMI’s on time they can avail these low-interest gold loans and fulfil their wants and needs.
Conclusion
There is no specified right time to apply for a gold loan but yes this might be the perfect time to go ahead with one as the gold prices are skyrocketing. They can be offered a handsome loan amount for the gold that they provide. Some basic identity proofs and documents are all that is required.
Also read this: Gold Loan Calculator takes away your worries of paying debt