Marriage, education or personal requirements, gold plays an important part in overcoming all the financial crunches and meeting your immediate requirement for money. You can easily mortgage your gold to cover up for any of your losses or contingencies. Medical expenses, vacation or any other requirement can be fulfilled with gold ornaments, coins or bars. However most of the individuals fear taking a gold loan as they are concerned about the security of the gold mortgaged. This is really a concern but when its SBI gold loan you are completely tension free as SBI is a trusted name in the Indian banking scenario. The gold loan facility offered by the bank is also competitive, quick and hassle free. The paperwork is also minimal and you receive your loan within no time. The low interest rates and the uncomplicated rules and regulations have made it possible for every individual to avail the loan facility in times of crisis. If you have the gold with you there is no need to worry as you can mortgage it with the bank in order to attain a gold loan.
The existing customers of the bank can get a loan up to a maximum of INR 10 lacs against the gold mortgaged. Sbi bank gold loan scheme is also available for farmers and agriculturists wherein agricultural gold loan is offered to the farmers to help meet their allied activities. The loan amount offered varies with the area as for the rural the minimum amount is INR 5,000 while for urban it’s INR 10,000. The loan against gold can also be repaid over a period of 3 years thus giving you complete peace of mind. In order to avail the loan facility the individual needs to be 21 years and above and should have a steady source of income. The loan margin is 30% and the borrower can choose to repay the loan either in installments or as a lump sum. In case of loans up to INR 25,000 a small processing fee of INR 500 per application is charged whereas for the loans above INR 25,000 1% of the loan amount inclusive of service tax or INR 1,000 whichever is higher is charged from the borrower.
Interest Rates
The interest rate for the loan up to INR 1, 00,000 is 4.25% above base rate. The base rate for the gold loan is currently 9.7%. In case of loan amount exceeding INR 1, 00,000 the interest charged is 4.75% above base rate. These loans are granted for meeting general purposes and not any speculative activities. There is no pre closure or pre-payment penalty which is levied on the borrower. The SBI gold loan customer care can be contacted in case of any queries or service related issues.