MUTHOOT FINANCE
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GOLD LOAN GUIDE
Everything You Need to Know About the Gold Loan Process
Gold holds deep cultural value in India as both a status symbol and an auspicious asset. Banks and non-banking financial companies (NBFCs) let households pledge idle gold ornaments for funds through a structured system.
Status symbol and auspicious asset Deep cultural value in India
Banks and NBFCs
Lenders offering a structured system
Idle gold ornaments into funds
Households pledge gold for a loan
What is a Gold Loan? LT V R AT I O
75% – 85% The loan-to-value (LTV) ratio is the percentage of the gold’s value that a lender can offer. RBI norms currently cap it at 75% to 85%, depending on the loan size.
Who is eligible? Salaried professionals
Self-employed individuals
Farmers
Traders
Lenders usually require applicants to be at least 18 to 21 years old.
Gold Loan Process 1
The gold loan process starts on the lender’s website, mobile app or nearest branch.
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The lender appraises the gold’s purity and weight before confirming the final amount.
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A calculator estimates the eligible loan amount from the gold’s weight and purity.
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The borrower then chooses a tenure that suits their finances.
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Borrowers compare schemes and select one that matches their needs.
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Once the loan is sanctioned and disbursed, the lender safeguards the gold until repayment.
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Photo ID, address proof and passport-size photographs are submitted for verification.
Gold safeguarded until repayment
Check Gold Loan Status Knowing how to check gold loan status helps borrowers avoid missed due dates and penal charges. The account shows
Log in Logging in to the lender’s website or app with a registered mobile number and OTP opens the loan account.
Outstanding balance
Next due date
Accrued interest
Repayment schedule
A credit report may also list active loans, though with a 30 to 45-day reporting lag.
Conclusion A structured gold loan process makes borrowing simple, and regular status checks keep repayments on track.