Gold loans: A smart way to fund your education
Pursuing higher education is a dream for many individuals, but the rising costs associated with it often act as an obstacle. However, there are various financial options available to students and their families to fund their educational aspirations. One such option that has gained significant popularity in recent years is a gold loan.
By leveraging your 18-karat gold jewellery, you can get a hassle-free gold loan starting from Rs. 5,000 up to Rs. 2 crore. As the loan is secured against physical gold jewellery, the interest rates are usually lower than the other unsecured loans.
Benefits of gold loan for education
Here are the key features that make a Bajaj Finserv Gold Loan a smart and convenient borrowing option:
- Part-release facility
You can repay a part of your gold loan and get a portion of your jewellery back before the full loan term ends. - No charges for part-prepayment or foreclosure
You are free to repay part or all of your loan amount early, without any extra fees. - Fair and transparent gold evaluation
Every branch is equipped with high-quality karat meters to ensure accurate assessment and fair value for your gold. - Free insurance for your gold
While your jewellery is with us, it is insured for free against loss, theft, or misplacement. - Multiple repayment options
Choose how you want to pay the interest—monthly, bi-monthly, quarterly, half-yearly, or annually. The principal and pending interest, if any, must be cleared at loan maturity. Loan tenures range from 1 day to 12 months months. - Simple application process
You can start your application online. Once you visit our nearest gold loan branch, our team will assist you with the rest. - Loan amounts from Rs. 5,000 to Rs. 2 crore
Depending on your eligibility, you can borrow a small or large amount that fits your needs. - 800+ branches and growing
We have expanded with 60+ new branches and continue growing across India, including more in cities we already serve. - Option to renew your gold loan
At the end of your tenure, you can renew your gold loan as long as it meets the required LTV norms. A fresh credit check is done before renewal, and post-maturity renewals are not permitted. - Top-up facility available
If you still have an active gold loan and your LTV is within limits, you can apply for a top-up. This is subject to a fresh credit review. If the loan is overdue, a top-up is not allowed. - Immediate access to funds
When it comes to financing your studies, timing is crucial. Gold loan offer a swift solution by providing immediate access to funds. By using your gold jewellery as collateral, you can quickly obtain the necessary funds to cover tuition fees, purchase study materials, and manage other essential expenses without any delays.
Gold loan interest rate for education
Gold loans often come with competitive interest rates compared to other forms of borrowing. This can significantly reduce the financial burden of your educational expenses in the long run. Bajaj Finance offers gold loans with interest rates starting from 9.50% to 24% p.a. By securing one of the best gold loan interest rates, you can focus on your studies without being weighed down by high interest charges. Here’s a list of applicable fees and charges:
Types of fee |
Applicable charges |
Interest rate |
9.50% p.a. to 24% p.a. |
Processing fees |
0.15% of the loan amount (inclusive of applicable taxes). |
Stamp duty (as per respective state) |
Payable as per state laws and deducted upfront from loan amount |
Cash handling charges |
Rs. 50 (inclusive of applicable taxes) applicable for cash disbursement only. |
Penal charge |
3% per annum on Outstanding Balance. Penal Interest will be over and above the interest rate which shall be applicable/chargeable in case of default in repayment of the Outstanding Dues post-maturity. |
Convenience fee |
Convenience fee of Rs. 149 (inclusive of applicable taxes) shall be levied for part release of ornament(s) pledged. |
Part-prepayment charges |
NIL |
Foreclosure charges |
Nil, any time post disbursement of loan |
How to apply for a gold loan for education
Applying for a gold loan with us is a fairly simple process. You just need to follow these simple steps:
- Click on “Apply” to initiate online application.
- Enter your 10-digit mobile number and click on “Get OTP.”
- Submit the OTP to verify your identity.
- Fill in your personal details and select the nearest gold loan branch.
- Download the loan eligibility letter.
- Once done, you will receive a call from our representative and guide you on the next steps.
Let's explore some additional features that make a gold loan an excellent choice for financing your higher education.
Simplified documentation
The documentation process for a gold loan is generally straightforward and simplified. To apply for a gold loan, you just need to provide documents such as proof of identity and address, such as Aadhaar Card, passport, voter ID card, driving licence, and PAN card. Compared to the extensive paperwork required for some other loans, the documentation requirements for a gold loan are minimal, allowing for a quicker and hassle-free application process.
Repayment flexibility
Gold loans offer repayment flexibility, taking into consideration the financial constraints that students often face. There are various repayment options available, allowing you to choose a schedule that aligns with your expected income or financial capacity. This ensures that your loan repayments are manageable, easing the financial burden during your study period. With Bajaj Finance, you can choose to pay the interest monthly, bi-monthly, quarterly, half-yearly, or annually.
With immediate access to funds, flexibility in loan amounts, competitive interest rates, simplified documentation, repayment flexibility, and the assurance of safeguarding your gold jewellery, a gold loan can provide the financial support you need to pursue your higher education. Consider the benefits and explore this loan option to finance your studies, allowing you to focus on your education and shape a promising future.
