TOOLS · GOLD LOAN
Gold loan calculator
Family gold can raise money in hours, at some of the lowest rates in lending. Plan the repayment before you pledge a single gram.
EMI CALCULATOR
Gold loan, planned to the rupee.
YOU PAY MONTHLY
₹17,583
for 12 months at 10% p.a.
₹10,998Principal
₹2,00,000Total payable
₹2,10,998
THIS MODELS EMI-STYLE GOLD LOANS. MANY LENDERS ALSO OFFER INTEREST-ONLY OR BULLET REPAYMENT — YOUR ADVISOR WILL COMPARE ALL THREE.
OVERVIEW
Secured by gold, priced accordingly.
A gold loan is money lent against pledged jewellery or coins. Because the lender holds security, rates start around 9.5% p.a. — far below unsecured credit — and your credit score matters far less. The gold sits sealed in the lender's vault and returns to you on closure.
RBI caps lending at 75% of the gold's market value (the loan-to-value ratio), so a per-gram rate moves daily with the gold price. What stays in your control is the repayment plan — which is exactly what this calculator models.
FORMULA
The arithmetic, in the open.
EMI = P × r × (1 + r)n ÷ ((1 + r)n − 1)
P = principal · r = monthly rate (annual ÷ 12 ÷ 100) · n = tenure in months
WORKED EXAMPLE
Pledge gold for ₹2,00,000 at 10% p.a. over 12 months. Monthly rate r ≈ 0.0083, and (1.0083)12 ≈ 1.1047. EMI = 2,00,000 × 0.0083 × 1.1047 ÷ 0.1047 ≈ ₹17,583 a month — about ₹11,000 of total interest for the year.
FACTORS
What moves a gold loan.
Purity & weight
Only the gold content counts — 22K jewellery is valued on its fine-gold weight; stones and making charges aren't.
Loan-to-value
RBI caps LTV at 75%. Borrowing below the cap often earns a better rate and keeps a cushion against price dips.
Repayment scheme
EMI, interest-only, or bullet at closure — same principal, quite different interest totals. Compare before signing.
Gold price movement
If prices fall sharply, lenders may ask for part-payment or extra pledge to restore the LTV — plan margin for it.
BENEFITS
Why plan it here first.
Pledge less than you could — knowing the EMI first often means borrowing against fewer ornaments.
Release the gold sooner — test shorter tenures; gold loans reward quick closure with far less interest.
Compare against a personal loan — run both calculators and let the totals, not habit, decide.
No enquiry, no pledge — modelling here commits nothing and touches no bureau record.
HOW TO USE
Three moves, one clear answer.
STEP 01
Estimate your amount — roughly 75% of your gold's market value is the ceiling lenders can offer.
STEP 02
Set the rate — gold loans on our panel run 9.5%–17% p.a. depending on lender and scheme.
STEP 03
Keep tenure short if you can — 6–12 months is the sweet spot for most gold borrowers.
FAQS
Gold loan questions, answered.
Let the gold work; keep the gold.
An advisor will compare per-gram rates and schemes across our gold-lending partners, including doorstep valuation options.
ESTIMATES ONLY — OFFERS DEPEND ON LENDER ELIGIBILITY, GOLD VALUATION AND RBI LTV NORMS.