Unfamiliar with gold loans
Gold has been around for years. It enjoys tremendous social, cultural, historical, religious, and economic significance in the country. In many countries, it can be bought in the form of bars, coins, jewellery, and in raw form. Gold coins and jewellery are the perfect gifts for any occasion and are truly appreciated by the beneficiary.
Gold is valued not only in the form of ornaments but has also emerged as an incomparable form of investment and savings. It is a true universal currency that can be sold or traded anywhere. As gold requires very little storage space, it needs minimum upkeep and can be carried anywhere easily. Also, many people fail to understand that in today’s free market system, gold is essentially a currency.
People buy gold as it has long-term appeal and value. It is the perfect asset for wealth preservation, as it can be passed down from generation to generation.
As gold is very valuable and can be easily converted to cash, it is popularly used as collateral against loans. Even though it might not be used to pay directly, it can be converted to cash in almost any currency with much ease.
Gold is considered one of the most liquid assets in the world. It is seen as a hedge against inflation and is used as a contingency fund during times of emergencies.
In India, gold has religious connotations as well as family inheritance or heirloom significance. Along with financial, there’s sentimental value attached to it.
But there may come a time where you are caught off-guard and need to borrow funds. The answer to every emergency may not be a personal loan and you cannot sell off your family heirloom.
So, what is the alternative? Well, you can go for a Gold Loan if you are in urgent need of money and if the gold in your locker is lying idle.
A Gold Loan is when you pledge your gold with a bank or finance company to borrow funds. The loan is provided after testing your gold assets for their purity, and you can get up to 80% of the market value of your gold as a loan. The money received from Gold Loans can be used to fund a wedding, education, business expansion, or any other similar purpose.
As Gold Loans are secured loans, a bad credit history will not influence your chances of getting a loan. Price fluctuations of gold will also not affect your loan. You can get back your gold assets in the same weight and state once you have paid off the principal amount along with the obligatory interest.
HDFC Bank is one of the leading lenders in the country for gold loans. With minimal documentation and disbursal within the hour, an HDFC Bank Gold Loan comes with some unparalleled features. You can avail of loan starting Rs 25,000 at extremely low-interest rates and with no hidden charges. The collateral for the loan (that is, your gold) is stored under a unique triple-layered security.
HDFC Bank offers preferred interest rates and priority processing for women, the agricultural/ priority sector, and existing banking customers. The best thing about taking a loan against gold is that only servicing of the interest is required.
Why not fulfil your immediate financial need with an HDFC Bank Gold Loan? If you are looking for other ways to invest in gold, read more about it here.
To apply for the HDFC Bank Gold Loan, click here.
* Terms & conditions apply. Gold Loan disbursal at sole discretion of HDFC Bank Ltd. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances.