Gold Loan as an Emergency Credit

A lot of people who don't relate to Gold for Cultural or religious purposes invest in gold due to the safe nature it has. Since Gold is present in a limited quantity and money's value has also been pegged to it, its value can never be zero. Moreover, it only goes up and down by a few numbers therefore even in short term investment, It would bring much losses or profits.

Below mentioned are some reasons for taking a gold loan during an emergency -

• Fastest processing:
  The most important thing during an emergency is the instant cash requirement. Gold Loans are known to be the fastest in terms of processing. This has been made possible due to the advancement in the verification of gold machines. Now, most top lenders use XRF technology which can tell in a few minutes where the Gold lies in the purity index.
  
  
• Lenient eligibility:
  There are no occupational eligibility criteria in the case of Gold loans. You can be a homemaker, a working professional, a self-employed person and a retired person, everyone can get a gold loan. This makes it easier for anyone to avail of this loan, especially people who take care of their homes and don't get any monetary reward for that work.
  
  
• Minimal Documentation:
  You only require two documents if you want a Gold Loan. One is your address proof which can be your Aadhaar card, Ration Card, etc. And the other one is your identity proof, here also you can use your Aadhaar card or PAN card etc. Just submit these two along with your gold and get the money within an hour.
  
  
• Range of Gold accepted:
  The quality of your Gold can be as low as 18 Karats. The Gold accepted by banks ranges from 18K to 24K.
  
  
• No prepayment charges:
  Prepayment charges are those charges which would be levied in case you pay an extra portion of your principal amount before the date. Gold loans don't come with any prepayment charges.
  
  
• Readily usable:
  Since Gold is present in almost every Indian family in some quantities, it is readily available to be mortgaged and get a loan.
  
  
• Doorstep Gold Loan:
  Now a lot of banks and Non-Banking Financial companies offer doorstep delivery of services and 30 minutes Gold loan disbursal. You don't have to leave your house, the company representatives will come to your home and help you with all the formalities, check your Gold, take it, and disburse the amount.

Gold loan is a reasonable option for people who have seen a sharp decline in their businesses, some even had to shut down their businesses due to the staggering high losses. As many as one lakh small businesses were shut down due to the continual huge losses they were making. It's the most beneficial loan product for such people.

To search for the nearest branch of the financial institution near you, add near me at the end, for example, search Manappuram Gold Loan Near Me to check for the nearest branch of Manappuram.

The present times are the best times to take a Gold Loan since the Gold Prices are at an all-time high this means that the per gram gold rate has increased which also means that you will now get more money for the same amount of Gold for which earlier you would have got a lesser amount.

Conclusion -

Taking a gold loan during an emergency makes proper sense since it is the least expensive form of the other loan products such as credit cards, personal loans and other secured or unsecured loans. Moreover, the funds can be used for whichever purpose you like. So if you have taken Gold Loan for your home renovation but want to pay for your refrigerator as well, there is no restriction to it. In simple words, it provides you with the flexibility of using the funds the way you want just like personal loans and at the same time have lower interest rates and other charges.

Must Read:- What are the necessary things required to obtain a Gold Loan?