What is the part-release option in a gold loan?
The part-release option in a gold loan is a flexible feature that allows borrowers to release a portion of their pledged gold jewellery by repaying the equivalent amount of the loan. This facility is especially useful when only a part of the pledged gold is needed back before the full repayment is made. The part release facility gives you greater control over your gold assets while still enjoying the benefits of an ongoing loan. With this option, you do not need to wait until the entire loan is cleared to retrieve some of your jewellery. It ensures that you have timely access to funds while managing your gold in a way that suits your changing financial needs. Bajaj Finserv Gold Loan offers this facility to help you stay financially flexible and in control.
Understanding how the part release facility works can help you use your gold more efficiently and confidently.
Understanding the gold loan part-release facility
The gold loan part-release facility allows you to release a portion of your pledged gold jewellery by repaying the corresponding amount. This facility comes in handy when you require funds for specific purposes without having to completely close the gold loan. It offers you the flexibility to unlock the value of your gold gradually, ensuring that you have access to funds as and when required, while keeping the remaining gold as security.
How does gold loan part-release facility work?
When you opt for the part-release facility, we assess the value of your gold jewellery based on its weight and purity. After the evaluation, you can request a specific amount of the total value to be released. We calculate the loan amount based on the portion of gold being released and provide you with the funds accordingly. However, you will need to pay back the value of the jewellery as set at the time of taking the loan.
For instance, let's say you have pledged 100 grams of gold as collateral for a gold loan. If you opt for a part-release of 50 grams, we will calculate the loan amount based on the value of the 50 grams being released, while the remaining 50 grams will continue to be held as security. This way, you can access funds against the released portion without closing the entire loan.
Advantages of the gold loan part-release facility
- Financial flexibility: The part-release facility offers you the advantage of accessing funds while keeping a portion of your gold collateral intact. It allows you to meet specific financial requirements without closing the entire loan or having to pledge additional gold assets.
- Cost-effective: Since you only pay interest on the amount released, the part-release facility can be a cost-effective solution compared to closing the entire loan and applying for a new one. It saves you from incurring additional gold loan processing fees or paying interest on the full loan amount.
- Quick access to funds: By opting for the part-release facility, you can quickly access funds without going through the entire loan application process again. It eliminates the need for extensive paperwork and evaluation, saving you valuable time.
- Retaining ownership of your gold: With the part-release facility, you retain ownership of the remaining gold, ensuring its safety and security with the lender. This way, you can enjoy the benefits of financial liquidity while keeping your precious assets protected.
The gold loan part-release facility is a valuable feature that provides you with enhanced financial flexibility. It allows you to unlock the value of your gold collateral gradually, ensuring you have access to funds while keeping the remaining gold assets secure with the lender. Whether you need funds for emergencies, planned expenses, or any other specific purpose, the part-release facility enables you to meet your financial needs without closing the entire gold loan. Consider this feature when exploring gold loan options and make the most of your gold assets while maintaining the convenience and control over your financial journey.
