Gold Loan Interest Rate

Explore the gold loan interest rate offered by Bajaj Finance, starting at just 9.50% to 24% per annum in 2025. This makes repayment affordable and easy repayment. Check the latest gold loan rates and apply online today.

Gold loan rate of interest (July 2025)

Types of fee Applicable charges
Interest rate 9.50% to 24% per annum
Processing fees 0.15% of the loan amount (inclusive of applicable taxes). Subject to a minimum Rs. 99 (inclusive of applicable taxes) and maximum of Rs. 600 (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 Charge 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


The interest rates applicable on gold loans are dynamic and frequently change due to external factors.

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What is the gold loan interest rate?

A gold loan interest rate is the cost you pay for borrowing money against your gold ornaments. It plays a crucial role in deciding how affordable the loan will be. Bajaj Finance offers one of the best gold loan interest rates in India, starting at just 9.50% per annum. If you are looking ahead, the gold loan interest rate 2025 is expected to stay competitive, making it a smart option for financial planning.

With loan amounts ranging from ₹5,000 up to ₹2 crore, Bajaj Finserv Gold Loan offers a flexible and accessible financing solution. You can select from various repayment options—monthly, bi-monthly, quarterly, half-yearly, or even annually—based on your cash flow.

The process is simple, approval is fast, and all charges are transparent. For short-term or long-term needs, this is an ideal way to unlock your gold’s value without selling it.

Features of a gold loan interest rate

When choosing a gold loan, understanding the features of the interest rate is important. Bajaj Finserv Gold Loan offers a simple and transparent interest rate structure to make repayment easy and manageable. The rates start from 9.50% to 24% p.a. and can vary depending on your loan amount, the gold value, and the loan tenure.

Here are some key features of Bajaj Finserv Gold Loan interest rates:

  • Competitive starting rate: Interest rates begin from just 9.50% p.a., making the loan affordable.
  • Value-based pricing: The rate is based on the amount you borrow and the purity and value of your gold.
  • Flexible repayment: Choose from different interest repayment options like monthly, bi-monthly, quarterly, half-yearly or annually, with any principal amount and pending interest payable before maturity.
  • No hidden charges: Transparent pricing with clear terms and conditions.
  • Quick disbursal: Funds are transferred quickly once your gold is evaluated.

These features make it easier to borrow confidently and repay comfortably.

Factors affecting gold loan interest rates

Understanding the factors that affect interest rates on gold loan is essential when applying for a loan against your gold jewellery. Gold loans are a reliable option during financial emergencies, but knowing what impacts the rate helps you plan better and manage your finances wisely.

  1. Market conditions: The current gold loan interest rates are directly influenced by economic factors such as inflation and market demand. During economic uncertainty, interest rates may rise as lenders manage associated risks.

  2. Gold prices: The gold loan rate per gram depends on the current market value of gold. When gold prices are high, lenders may offer lower interest rates due to the higher value of the pledged gold. If prices fall, interest rates may increase to balance the reduced collateral value.

  3. Repayment frequency: Frequent payments, like monthly instalments, can attract lower interest rates on gold loan as they show financial discipline. Infrequent repayments may lead to slightly higher rates.

Always compare current gold loan interest rates and choose a repayment plan that fits your financial capacity for better management.

How gold loan interest rate impacts your repayment

Understanding interest rates on gold loan is key to managing the total cost of borrowing. When you take a gold loan, the lender applies an interest charge based on the agreed gold loan interest rate, which is influenced by factors such as loan tenure, lender policies, and current gold loan interest rates in the market.

The interest structure can vary, but Bajaj Finance offers flexible repayment options. You can pay interest monthly, bi-monthly, quarterly, half-yearly, or annually. At loan maturity, the remaining principal and any unpaid interest must be settled.

A higher interest rate on gold loan increases your repayment burden, while a lower rate makes your loan easier to manage. Therefore, selecting the right repayment plan and comparing gold loan rate per gram and interest terms is crucial.

Evaluate your financial situation and align it with favourable gold loan interest rates to ensure smoother repayment and better control over your finances.

How to use the gold loan interest rate calculator?

Using a gold loan interest rate calculator is a smart way to plan your finances. This tool helps you estimate the rate of interest against gold loan, total repayment amount, and tenure based on your gold’s value and purity. Here is how to use it efficiently:

Step 1: Enter the weight of your gold ornaments: Input the net weight of your gold ornaments you wish to pledge. This helps the calculator assess your loan eligibility.

Step 2: Choose the purity level: Select the purity (karat) of your gold. The gold loan rate per gram depends on this factor.

Step 3: Select your desired loan amount: You can calculate the loan amount you want to borrow based on the value of your gold.

Step 4: Select the loan tenure: Choose the gold loan tenure as per your repayment preference. This affects your repayment schedule.

Step 5: View results: The tool will display your repayment amount, along with applicable gold loan interest rates. This helps you estimate your interest rates on gold loan and select the best gold loan interest rate.

You can also explore the gold loan interest rate 2025 and calculate gold loan interest in advance to plan better.

How gold loan interest rates are calculated

Gold loan interest rates are calculated based on various factors such as the purity and weight of the gold pledged, the loan amount, tenure, and the lender’s prevailing policies. Bajaj Finance provides an easy-to-use online gold loan interest calculator to help you estimate your gold loan eligibility and the applicable gold loan interest rate.

To use the Bajaj Finserv Gold Loan Calculator, visit our gold loan calculator page and begin by choosing your preferred input method—either the weight of your gold ornaments or the desired loan amount. Once entered, the tool will instantly calculate your eligible loan amount and display the applicable gold loan interest rate. You can also select your preferred repayment frequency, such as monthly, bi-monthly, quarterly, half-yearly, or annually, and input the expected rate of interest against gold loan. Based on your selections, the calculator will show an estimated total interest payable, and the approximate value of gold required. This simple and effective gold loan calculator online helps you calculate the loan amount, compare low gold loan interest rates, and plan your finances better with real-time estimates. Whether you want to calculate your gold loan or assess the gold loan rate per gram, using the gold loan calculator online ensures clarity in repayment planning.

While the gold loan rate today available online offers a useful estimate, it is advisable to visit the nearest Bajaj Finance Gold Loan branch to get a personalised evaluation of your eligibility and access the best gold loan interest rate for your profile. The interest rates on gold loan may vary depending on the current gold loan interest rate trends, purity and weight of gold ornaments, and internal credit assessment. To ensure complete clarity, always request a comprehensive breakdown of charges, including the applicable rate of interest against gold loan, before proceeding.

For example, if you avail of a gold loan of ₹1,50,000 at a gold loan interest rate 2025 of 12% per annum, your total annual interest would be ₹18,000. With monthly payments, you would pay ₹1,500 per month as interest. The gold loan rate per gram also plays a vital role in determining your loan eligibility. Choosing low gold loan interest rates helps reduce your monthly burden while securing funds at the gold loan rate interest that aligns with your repayment capacity.

*Do note that the results generated by the calculator are indicative and may differ from the final loan offer at the time of application.

How to get the lowest gold loan interest rate?

To secure a low interest gold loan, begin by comparing interest rates and terms offered by leading lenders. Bajaj Finance is known for offering a low rate of interest on gold loan, along with transparent policies and flexible repayment options. Choosing a trusted lender with a customer-friendly track record helps ensure a smoother borrowing experience.

Look for lenders who provide better deals on higher loan amounts or shorter tenures, as these factors often result in reduced overall interest costs. Opting for a shorter loan tenure can help you save more on interest, especially if you have a clear repayment plan.

Additionally, while gold loans are secured loans, some lenders may still consider your credit profile when determining the gold loan interest rate. A strong repayment history may work in your favour. By planning ahead and choosing the right lender, you can enjoy the benefits of a low interest gold loan that fits your financial needs.

Frequently asked questions

Can I pay only interest on a gold loan?

Yes, you have the flexibility to choose how you want to repay your gold loan. Bajaj Finance offers multiple repayment options for your convenience. Here are the options you can consider:

  • Pay only the interest amount: You can choose to pay only the interest portion of the loan on a monthly, bi-monthly, quarterly, half-yearly, or annual basis. Then, at the end of the loan tenure, you can settle the principal amount.
Does my credit score have any effect on my gold loan interest rate? 

There is no minimum credit score required for a gold loan and it does not influence your gold loan eligibility.

How can I reduce my gold loan interest?

With Bajaj Finance, you can enjoy a low gold loan interest if loan amounts are high and repayments are frequent. So, when the loan is due, you can pay the principal amount all at once and get your gold jewellery back.

What is the formula for gold loan interest rate?

Let's say you choose a loan for Rs. 1,20,000 that you pay back each month. In this case, you might have to pay 10% per year in interest. Then, this is how your gold loan interest payments will look:

Rs. 1,20,000 * 10% = Rs. 12,000 annual interest
Monthly interest pay-out = Rs. 12,000/12 = Rs. 1,000 per month

What is the current gold loan interest rate in India?

Bajaj Finance offers gold loan with interest rates starting from 9.50% to 24% per annum. The exact rate depends on the loan value, and repayment terms.

How does repo rate affect the Bajaj Finance interest rates of gold loan?

The Reserve Bank of India’s repo rate influences lending rates in the financial market. When the repo rate decreases, Bajaj Finance may reduce their gold loan interest rates. However, the final rate also depends on internal policies, demand for loans, and operational costs.

Will the interest rate on my gold loan vary with the kind of gold ornaments I pledge?

Yes, the interest rate may vary depending on the purity of the gold you pledge. Higher purity gold ornaments usually fetch better rates and higher loan amounts. Ornaments with stones or other materials may not be valued fully, which could affect both the rate and loan eligibility.

Can I get a gold loan at a low rate of interest despite having low credit/CIBIL score?

Yes, you can still get a gold loan even with a low credit score. Since gold loans are secured with physical gold, lenders often do not rely heavily on your credit history.

What are the ways to reduce the gold loan interest rate?

To get a lower gold loan interest rate, pledge high-purity gold, and opt for a shorter tenure. Repaying on time and maintaining a good history with the lender can also help.

How to get a gold loan at the lowest interest rates at Bajaj Finance?

To get a gold loan at the lowest interest rate from Bajaj Finance, maintain a good repayment record, pledge high-purity gold, and choose a suitable repayment plan.

Do Gold loans charge interest monthly?

Yes, Bajaj Finance gold loans generally have monthly interest payment options. You can also choose to pay interest bi-monthly, quarterly, half-yearly, or yearly, depending on what suits you best.

Do gold loan interest rates vary depending on the amount borrowed?

Yes, the interest rate on a gold loan may vary based on the amount you borrow, the purity of gold, and other factors. Higher loan amounts or better gold quality can sometimes help you get lower rates.

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