A gold loan is a secured form of debt wherein the borrower pledges gold jewellery as security in exchange for cash. The lender keeps the jewellery as collateral for loans. The jewellery is given back to the borrower once the money has been repaid.

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Gold is a valuable commodity and is also one of the most preferred forms of investments in India. As a global store of value, gold acts as a hedge against inflation. In fact, many times when equities have faced a downhill, gold has given high returns, indicating an inverse correlation with equities....

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