Gold Loan
Type of Loan
Demand Loan
Objective/Purpose
To enable Borrowers in Rural/ Semi-urban/Urban/Metropolitan areas to avail of easy and instant credit facilities for the purpose which are categorized as Priority Sector Activities like Agriculture, Retail Trade, Small Business, Micro & Small Enterprises, Education , Housing etc.
Eligibility
- Loan against security of gold ornaments can be made to all Borrowers who would avail such loan for Agriculture & Allied Activities, Activities related to Micro & Small Enterprises, Retail Trade, Housing, Education etc.
- Necessary declaration from the eligible borrowers will be required to be obtained specifying the purpose of such loan at the time of sanction.
Margin
- Loan against security of gold ornaments can be made to all Borrowers who would avail such loan for Agriculture & Allied Activities, Activities related to Micro & Small Enterprises, Retail Trade, Housing, Education etc.
- Necessary declaration from the eligible borrowers will be required to be obtained specifying the purpose of such loan at the time of sanction.
- A margin of 25% is to be maintained on the market price of the gold.
Amount of loan to be sanctioned per Gram of Gold
Maximum amount that can be sanctioned per gram of standard gold will be decided by Head Office fortnightly and will be dully communicated to the Zones/Branches .
Assesse/Testing of Gold Ornaments
- All gold ornaments before being accepted as security should be apprised by an experienced Gold Smith for its weight, purity and fineness.
- For this purpose a Gold smith having good reputation for his professional skill and undoubted integrity should be identified by conducting discreet enquiries.
Rate of Interest
| 1. |
Gold Loans (PS) for Retail Assets Products |
Merged into one scheme under Retail (Gold) with applicable ROI UCO Float(6.90%) + 1.60% = 8.50% |
| 2. |
Gold Loan (NPS) for Retail Assets Products |
Service Charges
(A) For Priority Sector
- Upto Rs. 10 Lac : Rs. 250/-
- Above Rs. 10 Lac : Rs. 500/-
(B) For Non Priority Sector
- Upto Rs. 5 Lac : Rs.500/-
- Above Rs. 5 Lac to Rs. 10 Lac: Rs.1000/-
- Above Rs.10 Lac @0.20% on quantum of loan subject to a maximum of Rs.5000/-.
For Further details contact nearest branch.
