Imagine this. You need funds urgently. But your savings fail you and so do your friends and family. Worst still, your credit card is maxed out. The only way out for you can be the gold lying idle in your safes. No, you don’t need to part with it for good but put it as collateral for a loan.
The loan acquired against the security of gold is known as a gold loan. The gold loan comes with a host of benefits, making it the most popular loaning option in India. Here are a few of them.
Retain your gold:
You might have inherited gold jewelry from your family or bought it to mark an auspicious occasion. In either case, you are emotionally attached to it. The idea of disposing of such a valued inheritance and a keepsake might be hard on you. But don’t worry. With an online gold loan, you can raise funds to meet urgent requirements and still retain your gold. Just pay the principal and applicable interest as per the schedule and reclaim your gold upon loan term expiry.
A loan is as good as its overall cost of borrowing. Here too, Muthoot fincorp’s gold loan online fares better than most loan types. The loan against gold is secured, as you get it against the security of gold. The lenders don’t have much at stake even if you default. They’ll simply auction your pledged yellow metal to recover the amount. Therefore, you can expect as low as 13% lending rates across loans against gold, provided you prefer the right lender.
Low miscellany expenses:
Processing fees, prepayment charges, valuation fees, penalties, and other hidden charges are also a contributor to your cost of borrowing besides interest rates. With the right lender, you can skip these expenses outright or reduce them considerably. Muthoot Fincorp charges just 0.25% of the sanctioned loan as processing fee, which is perhaps lowest in the industry. Plus, valuation fees are modest while no prepayment charges apply with Muthoot fincorp’s gold loan online. The NBFC even rewards you with cashback on regular on-time payments.
Put to past the hassles that loaning is otherwise associated with. The gold loan is easily gettable from banks and NBFCs with minimal documentation and easy eligibility requirements. For eligibility, you need to be an Indian citizen, aged between 18 and 65 years, salaried or self-employed. You can apply online, walk into the lender’s branch office or call their customer service. The processes are even simpler and quicker with an NBFC vis-à-vis a bank.
The online gold loan allows for easy and customized repayment schedules. You can repay the loan within 7 days to 60 months, depending on your repayment capacity and the lender’s tenor policy. Muthoot Fincorp even accepts payments on a daily, weekly and monthly basis, should you need variable payment options. Plus, there’s an option to repay the principal in one lump sum when the term ends. For the interest component, you can pay it easy monthly installments.
Any reliable lender is mindful of what the pledged gold means to you. So, they use security measures like strong vaults with 24/7/365 electronic and human surveillance to safeguard it for the entire gold loan term. Lenders like Muthoot Fincorp even insure your pledged gold. In case the gold is lost in a robbery, you’ll be paid the equivalent of the gold’s existing market price.
The house loan is earmarked for house purchases while you can only purchase a car with a car loan. On the contrary, Muthoot fincorp’s gold loan online can be used to fund anything, as no end-usage restriction apply. Think business expansion, settling the medical bill, high-end marriage, foreign trip, higher education or any other urgent requirement, the possibilities are simply endless.
Alas, no loan is perfect. Trade-offs are always there. Here’re a few demerits of gold loan:
- If you default, the lender can sell the gold. In that case, you’ll lose your cherished keepsake at a fraction of its actual market prices.
- The Loan To Value (LTV) ratio in an online gold loan is up to 65%. That means your gold worth INR 10 lakhs will fetch you just 6.5 lakhs in the loan.
Now Selling Services Is Super Easy From Your WordPress Website
If you are in a profession that sells any sort of services offline, then this article can be really beneficial...
How to Celebrate Gudi Padwa with all Hindu rituals
What is Gudi Padwa On the first day of the month of Chaitra, the state of Maharashtra and Konkan region...
The Best Planning Trip to Australia in a Budget in 2020
Australia is a beautiful country and is a dream place for many to visit. One of those many, I am...
Some Benefits Of Hair Salon Software That You Must Need To Know
If you are just investing or debating over the software of salon then you need to do it now. You...
Identify the Best Marketing Solutions for Your Business
Marketing of the brand name is much important that will provide ultimate benefits to the business. In the olden days,...
What Is AdsSupply? A Comprehensive Review
In the digital age, there’s no question that there’s big money to be made online. The old adage that you...
What are best colleges in Pune and witch one is right for you?
Masters in Business Administration(MBA) can be a significant addition to your current resume and can open the doors to new...
Is It Possible to Increase YouTube Views Through Backlinks?
YouTube plays a major role in Digital Marketing. You start your channel might be for marketing your business, but for...
Genuine Focus of Photography is on Holding Picture Moments and Emotions
In the event that you are inventive and want to get the world’s wonderfulness, conceivably you need to find a...
A little step to better learning with virtual learning
Education plays a vital role in the lives of the people. One can do anything while staying in any part...
How to Reset a WordPress Site
Let’s conduct a little experiment. Take a good look at your desktop/browser/bookmarks and tell me what you see. AHA! Just...
Benefits of Playing Fantasy Sports
esports is the most talked about subject in the game industry. The trend of fantasy games is increasing day by...
Merits And Demerits: Know All About Gold Loan
Imagine this. You need funds urgently. But your savings fail you and so do your friends and family. Worst still,...
Audio visual Provide Complete Event Solutions
Av is the electronic processing a sound and video component like presentation films and different type of television program AV...
A Direct or Regular Mutual Fund Which One is Good for You
Only the cost structure in the direct and regular mutual fund schemes differ from each other. From the fund manager...
- Tech5 years ago
Creating An e-Commerce Website
- Tech5 years ago
Design Template Guidelines For Mobile Apps
- Business4 years ago
The Key Types Of Brochure Printing Services
- Travel8 years ago
Who Else Wants Also Nfl Hat
- General5 years ago
Kobe Bryant With His Unique Nba Jerseys
- Tech5 years ago
Climb Google Using These Checklists
- Tech6 years ago
Why Small Businesses Can't Ignore Mobile Technology
- Health6 years ago
Health Supplements For Sports Activities Nutrition