123ArticleOnline Logo
Welcome to 123ArticleOnline.com!

ALL >> Investing---Finance >> View Article

A Dummy’s Guide To Loans Against Gold

By Author: Neha Sharma
Total Articles: 845

Of all the loans that are available, one of the most convenient and easy choice is the loan against gold. Families in India tend to invest a lot in gold items like coins, jewelry and bars. These items are normally passed from one family generation to another as a family heirloom. Additionally, these gold items can be reinvested as a security deposit for advance credit. But to avail of this facility, you will need to know its exact functions, which we will provide in this guide.

What Is A Gold Loan?

If you have any gold items in the form of jewelry, bars or even coins, you can approach a bank and invest them for a small amount of money. This is known as loan against gold. You can use the loan amount for any of your financial obligations, be it personal reasons, a marriage, purchase of certain high value items and many more. Depending on the quality of the gold items and the hallmarking of the gold jewelry, you will be given an appropriate loan amount.

What Are The Eligibility Criteria?

The eligibility criteria for this loan application process are simple. All you need to do is submit a few documents which show proof of your identity, your address and your signature. You will also have to be above the age of eighteen years to apply for this loan.

What Is The Documentation?

The documentations that are normally required are the normal documents which you already have with you. They include a copy of your passport, voters ID, PAN card or even your Aadhaar card. For the address proof, you can submit a copy of the same documents mentioned above along with a copy of the electric bill or telephone bill. For signature proof, you can submit a copy of your passport, PAN card, a verified document from the bank or even a personalized cheque. Depending on your portfolio, you may be asked to submit additional documents at the discretion of the banking or financial institution.

What Is The Loan Process?

Normally, you can approach the bank with the necessary documents and gold items, and submit them. Normally, the gold items will first be verified wherein the value of the gold will be analyzed. After this, the documents that will need to be submitted will also be verified. Once all the submissions are verified, the bank will approve the loan if deemed satisfactory. The loan approval can take anywhere between a few hours to a day, depending on the loan amount required and the gold items submitted.

The loan against gold can be used for many purposes. However, in order to ensure that you get the loan amount approved as per your requirement, you must understand the process thoroughly. You must get all the right documents and submit them accordingly.

Author Bio :- Neha Sharma is a finance student that loves to write during her spare time. She is well aware about the requirements and application process for the gold loan. She has provided a detailed guide for first timers who wish to apply for a loan against a href="http://www.hdfcbank.com/personal/products/loans/gold-loan">gold loan any of their financial obligations.

Total Views: 73Word Count: 521See All articles From Author

Investing / Finance Articles

1. How To Claim Unclaimed Fixed Deposits From Banks
Author: Arwind Sharma

2. 12 Month Payday Loans Direct Lenders
Author: Carol Adams

3. Where To Look For Ongoing Projects In Mumbai In 2017?
Author: Mira

4. Benefits Of Hiring A Tax Accountant
Author: Karen Lee

5. Impact Of Gst On Manufacturers And Their Distribution Networks
Author: Rahul Sutraj

6. Quickly Find Ideal Program For Commercial Lending In Atlanta
Author: John Bairstow

7. Why Emv Credit Card Terminals Are Necessary For Business?
Author: Satya Nadella

8. Get Set For A Great Retirement Life
Author: Deepesh Reddy

9. Payday Loan In India, Payday Loan India, Payday Loans India
Author: Mayank Aswal

10. Mashreqpay Program To Ease Your Personal & Business Life
Author: Jeff Usman

11. Maximize Your Profitability With Trade12 Trading Services
Author: Trade12

12. The Best Stock Market Advisory Services Discerns The Best Time To Invest The Indian Stock Market
Author: Dharmesh Patel

13. Opt For Sebi Approved Stock Option Advisory Services For Better Investment Security
Author: Dharmesh Patel

14. How To Find Best Mortgage Loan Software
Author: sapana rathod

15. Unravel Your Taxation With The Accomplished Cpa In Memphis Tn!
Author: Garrett A. Surles

Login To Account
Login Email:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: