PAN Card Requirements for a ₹98,000 Gold Loan Explained

Some people lose their PAN card, and some others never got around to applying for one. A few have a PAN that was never linked to their Aadhaar. Any of these can be a cause for worry when a loan of close to ₹1 lakh is needed. The question then is is pan card mandatory for ₹98000 loan against gold.

A gold loan is a secured loan where eligible gold jewellery is pledged with a regulated lender. The amount is tied to the assessed value of the gold. This blog explains how lenders treat PAN at this amount and how an e-PAN can be obtained. It also covers why linking PAN with Aadhaar matters, along with the documents, valuation and the steps.

How Lenders Treat PAN at ₹98,000

This section covers what PAN is and how it is treated for this loan size. The Permanent Account Number, abbreviated as PAN, is an alphanumeric ID having 10 characters that are issued by the Income Tax Department. PAN is usually asked during the Know Your Customer (KYC) process for a gold loan worth ₹98,000. Other documents could also be taken into consideration sometimes.

So the answer to is pan card mandatory for ₹98000 loan is not the same in every case. The lender's policy decides whether a declaration can be taken in place of PAN. Many lenders prefer to have the PAN itself at this size, and that shapes the reply to is pan card required for a ₹98000 loan.

Where the Credit Check Fits

Here the role of PAN in a credit check is explained. The RBI (Lending Against Gold & Silver Collateral) Directions, 2025, applicable to regulated lenders from April 2026, do not mandate a minimum credit score. The lender may consider the credit history under their own guidelines, and the PAN number will help them locate the credit report.

For loans up to ₹2.5 lakh, a detailed credit assessment is not required under the directions, though lenders may apply their own checks. People searching 98000 loan is pan card mandatory sometimes mix up PAN with income proof. The two serve different purposes.

Getting PAN Ready Before Applying

An applicant without a working PAN may be able to sort this out before applying, as explained below.

The e-PAN Route Through Aadhaar

The Income Tax Department issues an e-PAN, which is an electronic version of the PAN carrying the same number as a physical card. On the department's e-filing portal, an individual enters the Aadhaar number and confirms it with an OTP sent to the linked mobile. It can then be downloaded as a PDF.

When a PAN Becomes Inoperative

A PAN that has not been linked with Aadhaar, where linking is required, may be treated as inoperative under income-tax rules. An inoperative PAN may not clear a lender's verification. The linking is done on the same e-filing portal.

Using the e-PAN in the Loan File

Many lenders may accept an e-PAN during KYC, as per their policies. A printed copy can be given, or the number can be verified online. For an applicant asking is pan card compulsory for ₹98000 loan, a valid e-PAN may take care of the requirement.

Documents Required for a Gold Loan

The papers for a ₹98,000 gold loan generally include:

• PAN card or e-PAN, generally requested during KYC, though alternative documentation may be considered
• Aadhaar, passport, voter ID or driving licence as identity proof
• Address proof, where the identity proof shows an older address
• A recent photograph
• The gold jewellery offered for pledge

In addition to these, a lender may ask for other papers in terms of its policy and the amount sanctioned. On is pan card needed for a 98000 loan, PAN appears first in this list since many lenders ask for it at this amount.

Eligibility and Valuation

Applicants are generally adult residents who are pledging their own gold. The finer details of age, residency and ownership are as per the regulations and the policy of each lender.

LTV, or loan-to-value, is the part of the gold's value that a lender can lend. Under the directions, it is up to 85% for loans up to ₹2.5 lakh. It comes down to 80% above ₹2.5 lakh up to ₹5 lakh, and 75% beyond ₹5 lakh.

The value is taken at the lower of the previous day's closing price and the 30-day average from IBJA or a SEBI-regulated exchange. This rate is adjusted for the purity of the gold. Stones, lac and other non-gold parts are deducted first, so that only net gold is counted.

Application Process

Once PAN or e-PAN is in place, the application generally runs along these lines.

1. The applicant goes to a regulated lender in person, or uses its online channel where one is available.
2. PAN or e-PAN is submitted with identity and address proof, and the KYC check is carried out.
3. The valuer weighs the jewellery and tests its purity, with the applicant present at the counter.
4. The lender shares the loan amount, the applicable interest rate, the tenure, the charges and the repayment terms.
5. The applicant signs the agreement, and disbursal follows once verification and the remaining formalities are complete.

Once the dues are fully cleared, the pledged gold is to be given back within seven working days under the directions. If the lender delays this, it pays ₹5,000 for each day of delay.

IIFL Finance Support for Gold Loan Applicants

IIFL Finance may offer a gold loan of ₹98,000 to those who qualify. Product availability, eligibility, the gold's assessment and the regulatory requirements in force have a bearing on this. It may be of use to an applicant who has recently got an e-PAN and owns some household gold.

Within regulatory and lender policy limits, the loan can be used for a range of legitimate personal or business purposes, for instance:

• A two-wheeler repair or new tyres for a delivery job
• Equipment for a beauty parlour or tuition centre
• Hostel and mess fees for a student
• Festival stock for a small retail shop

Unlike selling the gold, pledging it generally leaves ownership with the borrower. The jewellery comes back when the loan is repaid under the lender's terms.

Conclusion

PAN is generally asked for on a ₹98,000 gold loan, though other documents may be considered. So is pan card mandatory for ₹98000 loan has a measured answer, which is that it depends on the lender. An applicant without a PAN may get an e-PAN through Aadhaar on the e-filing portal. A PAN that has not been linked with Aadhaar, where needed, may not pass verification. With a working PAN in hand, the rest of the loan rests mainly on the gold.

A gold loan may help in raising money while the pledged gold remains owned by the borrower. The way it is valued, disclosed and held is as per the applicable policies and regulations.

Disclaimer : The information in this blog is for general purposes only and may change without notice. It does not constitute legal, tax, or financial advice. Readers should seek professional guidance and make decisions at their own discretion. IIFL Finance is not liable for any reliance on this content. Read more