Gold Loan Interest Rates And Charges Table
| Interest Rate | 0.99% onward p.m. (11.88% - 27% p.a.) Rates varies depending on scheme availed |
|---|---|
| Processing Fee[1] | As per Scheme Construct |
| Penal Charges (w.e.f 01/04/2024) | 0.5% p.m (6% p.a) + GST on outstanding due amount[2] |
| MTM Charges[3]* | ₹500.00 |
| Stamp Duty and other statutory charges | As per applicable laws of the state |
| Auction Charges* | ₹1500.00 |
| Overdue Notice Charges* | ₹200 per Notice |
| SMS Charges* | ₹5.90 per Quarter |
| Part-Payment Charges | NIL |
| Pre-Closure Charges | NIL Minimum of 7 days interest will be charged if loan is closed within 7 days |
*Charges are inclusive of GST
[1] Processing fee is subject to the availed scheme and loan amount. The applicable rates are mentioned in the loan sanction letter at the time of disbursement.
[2] Outstanding due amount for this purpose includes the Principal outstanding and Interest accrued. Penal charges will not be levied on the outstanding penal due amount.
[3] MTM Charges shall be as defined in the T&C.
Apart from the gold loan rate of interest that the borrowers have to pay, gold loans come with some additional charges.These charges are levied on the borrowers because of the additional services rendered by the lending company. However, IIFL Finance understands that such charges are to be borne by the customer and hence, has designed the gold loan product to carry a few additional charges.
With an attractive and affordable gold loan rate of interest, IIFL Finance’s additional charges are nominal. The processing fee varies depending on the availed gold loan scheme starting from Rs 0 onwards. Furthermore, the MTM charges are charged at flat Rs 500.
These additional charges are listed with utmost clarity on our website to let you analyze their payment obligations before taking a gold loan. Additionally, there are no hidden costs attached. IIFL Finance stands out by offering not just the most competitive gold loan interest rates in the market but also keeping these additional charges remarkably low compared to industry standards. This customer-centric approach ensures our gold loan offerings remain highly attractive and accessible to borrowers seeking financial assistance.
Factors Affecting Gold Loan Interest Rates
Gold loan interest rates play a pivotal role in determining the overall cost of borrowing and the affordability of the loan for the borrower. These rates are influenced by factors such as:
Calculation of Gold Loan Interest Rate
Two main factors affect the calculation of the gold loan rate of interest:
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Loan Amount : The gold loan amount you want to borrow is the primary factor in calculating the rate of interest of the gold loan. The higher the loan amount, the higher the overall interest rate.
-
Loan Tenure : The loan tenure specifies the period of your monthly loan repayment obligations. The higher the loan tenure, the lower the interest rate.
Visit the IIFL website to use the gold loan calculator , and calculate your gold loan amount in a few simple steps by putting in the desired loan amount, value of gold articles and the loan tenure.
Always remember that the gold loan interest rate depends on the specific loan scheme chosen and its tenure. This knowledge of gold loan interest rates is paramount as it directly impacts the overall borrowing cost of the loan. Consequently, securing a gold loan with a low-interest rate can significantly reduce repayment costs and alleviate financial strain.
Gold Loan Interest Rate FAQs
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