Top 5 Biggest Gold Loan Companies in India

Gold loans are one of the popular ways to raise money and meet the financial needs of the individual. A number of financial institutions are now offering gold loans with straightforward application procedures. They are also offering these loans at attractive and affordable interest rates. Gold loans from the biggest gold loan companies in India are also secured as the lending bank accepts them as collateral. The loan process also incurs little paperwork and is comparatively quicker than other loans. The loan amount could, however, vary depending on the purity of the gold in the jewelry, the LTV ratio, and other pertinent lending rules.

Below are the list of top 5 largest gold loan companies in India are as follows.

1. Muthoot Finance:

Muthoot Finance is one of the country’s largest and best gold loan companies, with a vast network of 4265 branches across the country. It is a very dependable name in the gold financing business and customers have got their gold loan sanctioning for up to Rs. 1 Crore in just five minutes. One of the reasons why it ranks on the top of the gold loan companies is that, the loan process incurs very little paperwork. The company also offers a maximum payback period of 36 months, which can also be extended upon consent. The minimum loan amount that one could take is Rs. 1500, and there is no maximum loan limit. The loan tenure is between 7 days and 36 months. The gold loan interest rate starts at 11.9% p.a. Muthoot Finance takes any gold item of up to 50 grams and purity 18K to 22 K as collateral to offer the loan.

2. Manappuram Finance:

Manappuram Gold is a renowned name in the banking sector and has about 3200 locations across the country. They are a trusted group for seeking gold loans and they also process the loans pretty quickly. It will not take more than five minutes to authorize and disburse the gold loans. They attend to people of all income groups and offer unique programs such as ‘high loan to value’ and ‘low-interest rate’ schemes for their customers. We can seek gold loans up to Rs. 1 Crore here, and the maximum payback time they offer is 12 months. This time can also be extended upon consent. The rate of interest starts at 12% p.a. and can go up to 29%.

3. Union Gold Loan:

Union Gold Loan is the gold loan program from the Union Bank of India. This gold loan scheme has a significant emphasis on poor farmers and those people who require money immediately. In order to be eligible for this loan, it is mandatory to pledge only gold coins and gold jewelry. For one gram of 22-carat gold jewelry, they give Rs.1800 as the loan amount. Interest rates for gold loans in this bank are based on the MCLR value and begin at MCLR + 2.65%. The maximum loan amount that can be availed is Rs. 20 Lakh, and the repayment tenure is up to 12 months. The bank will disburse the loan within 30 minutes and take 1% of the loan amount as processing charges.

4. SBI Gold Loan:

The SBI is the largest public sector bank in India, with a sizable network. SBI offers gold loans with a maximum payback period of 36 months. Farmers living in rural areas can also take advantage of the SBI Gold Loan Programme. It is possible to obtain a gold loan of up to Rs. 50 Lakh from SBI, and the interest rates start at 7.5% p.a. The minimum gold loan to obtain is Rs. 20,000, and people who are over 18 years of age can avail of this scheme. The authorities will verify the gold jewelry for quality and quantity before processing the loan, and the processing fee is 0.5% of the loan amount.

5. HDFC Gold Loan:

HDFC offers the Sampoorna Bharosa Gold Loan Programme, which helps people manage their finances during emergencies. The scheme incurs minimal paperwork and can be approved within 45 minutes. The processing fee for the gold loan scheme is 1.50% along with taxes, and the gold loan interest rates start at 9.9% p.a. The repayment tenure is fixed between 3 and 24 months, and the loan amount starts at Rs. 25,000. The gold jewelry pledged here will be stored under a triple-layered security system.

These are the top five biggest gold loan companies in India. They all offer flexible loan amounts for people to manage their emergencies and incur less paperwork. They disburse the loan amount in less time and offer a comfortable period to repay the loans. Their interest rates are affordable and incur minimal documentation and foreclosure charges. Above all, they do not require the credit score of the borrower to process the gold loans.