What is the Maximum Tenure for a Gold Loan?

What is the maximum tenure for gold loan?

With Bajaj Finserv Gold Loan, the tenure is flexible but kept short so that repayment stays easy and stress-free. You can choose a repayment period starting from just 1 day and going up to 12 months. This makes it ideal if you want quick funds without committing for the long term. Plus, you get to enjoy gold loan benefits like a high loan-to-value ratio, multiple repayment options, and interest rates that are competitive and pocket-friendly. 

The best part? You get to pick the repayment mode that suits you—whether monthly, bi-monthly, quarterly, half-yearly, or even settling the principal and interest together at the end of the tenure. This flexibility means you stay in full control of how and when you repay. So, if you are planning to apply, it is always a good idea to decide your comfort zone first and then choose the tenure that works best for you.

The gold loan maximum tenure varies from one lending institution to another. Some lenders provide tenures extending up to 24 months for gold loan repayment, while the minimum limit is set at not less than 6 months. With Bajaj Finance, the maximum limit and minimum limit of repayment tenure for gold loans do not apply as the gold loan repayment period is fixed at up to 12 months.
 

When applying for a gold loan, use dedicated financial tools like the gold loan calculator and the gold loan per gram calculator to assess your loan options better. Plan your repayments so that you can make timely payments. A well-managed gold loan can be a great way to boost your credit score whether you are new to the borrowing sector or not.

Can you extend the gold loan tenure?

Extension of gold loan tenure is not possible with Bajaj Finance as the repayment period is fixed. To manage your loan repayments affordably, make sure to select the loan amount after due consideration of instalments payable, interest accrued, and the total loan liability.
 

The gold loan maximum amount for a Bajaj Finserv Gold Loan can go up to Rs. 2 crore, with one of the highest per gram rates in the industry. The loan amount available for an individual can vary with the weight of gold, its purity, and the per gram rate available on the day of the gold loan application.
 

Eligibility for gold loan

Individuals need to fulfil simple criteria as to eligibility for gold loans to avail of the advance. Following are some standard requirements to fulfil.
 

• Nationality: Indian
• Age: 21 to 70 years
• Gold purity: 18-22 karat
   

Bajaj Finance offers gold loans against 22-karat gold jewellery and ornaments only. Gold bars and coins do not qualify as assets to pledge to avail a gold loan. Make sure to meet the minimum eligibility requirements and arrange all necessary documents before applying for streamlined processing of your loan application.

Get a clear idea of your loan value by checking your gold loan eligibility. You can benefit from fast approval and convenient repayment options.

Factors affecting gold loan tenure

When applying for a gold loan in Hyderabad, the loan tenure depends on several key factors:

1. Lender’s policy – Bajaj Finance offers gold loan tenures typically ranging up to 12 months, depending on their policies.
2. Loan amount – Higher loan amounts, ranging from Rs. 5,000 up to Rs. 2 crore, may come with convenient tenure options, while smaller loans often have shorter durations.
3. Repayment plan – Borrowers can choose from monthly, bi-monthly, quarterly, half-yearly, or annual repayments, impacting the tenure.
4. Gold value and LTV ratio – The loan-to-value (LTV) ratio affects tenure, as higher LTV loans may have shorter repayment periods.
5. Interest rates – Higher interest rates might necessitate shorter tenures to minimise repayment burden.