Gold Loan Interest Rates: There are many times in life when you suddenly need money. During these times, people withdraw emergency funds to meet their needs. Additionally, people explore personal loans and other options to meet their financial needs. In such situations, a gold loan can be an excellent option.
Under this scheme, gold is pledged to the bank, and the bank repays it with interest. Gold loans are much cheaper than personal loans. If you are considering a gold loan, it’s important to understand the interest rates charged on gold loans from different banks. This will help you make the right decision and avoid any financial loss.
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Learn about the gold loan interest rates of different banks
- First, let’s talk about Punjab National Bank. Currently, PNB offers gold loans at the lowest interest rate. The bank offers an interest rate of 8.35%. If you take a loan of ₹1 lakh from banks, you will have to pay a monthly EMI of ₹8,175. Indian Bank is offering gold loans at an interest rate of 8.75%. Therefore, you may want to consider taking a gold loan from these banks.
- Another bank, ICICI Bank, is offering gold loans to its customers at an interest rate of 8.75%. Canara Bank is offering an interest rate of 8.95% on gold loans.
- The country’s largest private bank, HDFC Bank, is offering gold loans to its customers at a rate of 9.30%. SBI is also offering gold loans at a rate of 10%. The interesting thing about gold is that, despite being a government bank, these banks are offering gold loans at such a high interest rate.