Gold prices in Cuddalore affect how much you may be eligible to borrow against your gold. When gold prices rise, the eligible loan amount may increase, while falling prices may reduce it. The final amount depends on gold purity, net weight, the lender’s valuation, applicable loan-to-value (LTV) limits and eligibility criteria.
What decides your eligible loan amount?
Bajaj Finance values only the pure gold content in your jewellery. Stones, enamel and other decorations are not counted.
- Gold weight: The weight of your gold in grams.
- Gold purity: The karat value, which sets the pure gold content.
- Gold rate: Applicable gold rate on the day of assessment.
- LTV ratio: The Loan-to-Value (LTV) ratio varies by loan size.
The gold loan interest rate applies to the borrowed amount and helps determine the total interest payable during your loan tenure.
Please note: We also do not simply use today's headline rate. We use whichever is lower between the previous day's closing price or the 30-day average closing price published by IBJA or a SEBI-regulated commodity exchange. This protects you from a sudden price spike inflating things unrealistically.
The maximum LTV eligible for a loan depends on the loan amount and cannot be more than the limits given. To know more, click here.
Gold loan: what you should know before applying
Bajaj Finance offers a gold loan against your jewellery, ornaments and gold coins. Your loan amount depends on the weight and purity of your gold and today’s gold rate in Cuddalore, not on the price you paid.
With Bajaj Finance, you can borrow from Rs. 5,000 up to Rs. 2 crore against eligible gold jewellery, ornaments or gold coins. The gold loan interest rate starts from 9.50% per annum, subject to eligibility and applicable terms.
Jewellery and ornaments between 18-22 karat purity are accepted, while gold coins are accepted up to 24 karat purity. Your pledged gold is stored in secure vaults with insurance cover during the loan tenure, subject to applicable terms.
Before applying, keep these points in mind:
- Your loan amount depends on the assessed value, purity and net weight of your gold, not its original purchase price.
- Bajaj Finance uses the lower of the previous day's closing price or the 30-day average closing price published by IBJA or a SEBI-regulated commodity exchange.
- One valid KYC document, such as an Aadhaar card, Voter ID, Passport or Driving Licence, can be used for the application.
- Under bullet repayment, both the principal and interest due are paid at maturity. Under regular repayment, interest is paid at half-yearly intervals as per the repayment schedule, while the principal is paid at maturity.
- Full and part prepayment charges are nil, subject to applicable terms.
Before applying, use the gold loan calculator to get an indicative estimate, or check your gold loan eligibility based on today's gold rate in Cuddalore, gold purity, net weight, assessed value and applicable LTV limit.
Ready to borrow against your gold? Apply for a gold loan with Bajaj Finance today.
