How to Calculate Interest Rate on Gold Loan

Most people invest in gold every year, irrespective of factors such as price volatility and market fluctuations. Such investments prove worthwhile when one opts for  a Gold Loan and fulfils all financial needs on their own. But do you know how to calculate Gold Loan? Read on to find out.

EMI calculator helps you calculate the cost of the loan
To calculate the total cost of your Gold Loan, you need to use an online tool known as a 

Gold Loan EMI Calculator. The EMI calculator is a free online tool available on the bank’s website. It calculates the monthly
EMI payable against the Gold Loan in seconds. 

How to calculate Gold Loan – the process
Here are the steps on how to calculate the interest rate on Gold Loan with the help of a Gold Loan Calculator.

Step 1 – Enter the principal loan amount you need
First, you need to enter the principal loan amount required. Remember to check the minimum and maximum loan amount offered by the lender before entering the amount. For instance, HDFC Bank provides a minimum Gold Loan of Rs. 25,000 (the minimum amount can be lower for rural areas).

Step 2 – Enter your preferred loan repayment tenure
You need to fill the loan repayment tenure tab now. Typically, banks offer minimum and maximum loan repayment tenures of 6 months and 24 months, respectively. 

Step 3 – Enter your preferred interest rate
The final step is to enter your interest rate. Enter interest amount offered by your bank, and click on enter to calculate the EMI payable against the loan. You can then apply for HDFC Bank Gold Loan here.