HDFC Gold Loan Interest Rate

Last Updated 09th Oct 2018

HDFC Bank Gold Loan Interest Rates Oct 2018

HDFC Bank offers one of lowest gold loan rate of 10.50% , both for its existing bank customers as well as new borrowers. HDFC jewel loan interest rate varies by amount of loan, purity of gold and loan to value ratio. Check Best Offers.

Gold Loan in HDFC
Gold Loan Loan Details
HDFC Gold Loan Rate 10.50% onwards
Processing Fee 1.5%
Loan Tenure 3 months to 24 months
Loan Amount Rs. 25,000 to Rs. 50 Lakh
Prepayment Charges 2% if closed within 3 months
Gold Loan SchemeEMI Scheme, Bullet Repayment Scheme, Overdraft Scheme

Instant loan disbursal

Apply for Gold Loan @ 10.50%*Fix Branch Appointment
Rs.
Rs.
+91

HDFC Gold Loan

Gold Loans are loans availed by pledging your gold ornaments with a bank. HDFC gold loan can be taken for meeting urgent personal expenses like children education, marriage and other financial emergencies in the family as well as for business purposes. The gold mortgaged acts as a security to the loan. Taking a loan from HDFC has the following benefits:

  • Maximum loan amount limited to Rs. 5,000,000
  • Nil Processing Fee and Foreclosure charges in specific cases
  • Lower Interest Rates for Preferred, Imperia & Classic and Women customers

HDFC Bank Gold Loan Details

If you are planning to take a Loan against Gold from HDFC Bank, you need to know the following details of its gold loan schemes:

  • Purpose of Gold loan: To meet personal and business expense requirements
  • Collateral: Loan against security of your gold jewelry
  • Type of Gold Accepted: Gold jewelry or gold coins of up to 50 grams with a purity of 18 to 22 carat
  • Customer Segments: HDFC offers jewel loans to all individuals above 18 years of age including salaried, self-employed professionals, businessmen, students, pensioners and housewives
  • Gold Loan Features
    • HDFC Bank Gold Loan Interest Rate starts from 10.50% to 14.00%
    • HDFC Bank charges a processing fees of 1.5%
    • Loan Tenure of Gold Loan ranges from 3 months to 24 months
    • Lowest EMI per lakh on Gold Loan from HDFC Bank is Rs. 4,638 offered at the lowest interest rate of 10.50% at the longest loan tenure of 24 months
    • HDFC allows prepayment of jewel loans with 2% if closed within 3 months charges
  • Documents Requirement: Only basic KYC documents for address proof and income proof required. The bank doesn’t require you to submit your income proof or doesn’t check your CIBIL score for approving a gold loan.
  • Popular Gold Loan Schemes of HDFC
    • EMI Scheme
    • Bullet Repayment Scheme
    • Overdraft Scheme

How can I get a Gold Loan from HDFC ?

You can apply for a gold loan with HDFC Bank directly through branch walk-in or by filling an online application form. However, to get the best gold loan rate offers and comparison of all banks, you can apply online through MyLoanCare. MyLoanCare will give you a detailed comparison of gold loan schemes of all banks, calculate your gold loan eligibility and connect you to the best bank for gold loan. Customer representatives of bank will get in touch with you instantly to fix up an appointment for branch visit. You will also be assisted by a dedicated MyLoanCare loan executive who will ensure that the process of getting loan is smooth, convenient and quick. You can get gold loan in a single branch visit during which HDFC Bank will do an appraisal of your jewellery in terms of its purity and weight. In case, the jewelry meets the bank standards, the bank will sanction your loan and give you an instant loan against the security of your gold jewelry.

HDFC Gold Loan Interest Rate Calculator

Lowest Gold Loan Interest Rate in HDFC Bank is 10.50%.The factors that are used by HDFC Bank to calculate interest on gold loan are loan amount, loan tenure and loan required as a percent of value of gold jewelry. HDFC Bank’s existing account holders get gold loan at best rates compared to other customers.

  • Loan Amount: The amount of gold loan you can avail depends on the weight of jewelry you can pledge with the bank. Generally, banks offer a jewel loan per gram of gold which differs by the purity of gold and loan to value ratio offered. Banks offer lower interest rates for higher amount. HDFC Bank offers loan between Rs. 25,000 and Rs. 50 Lakh amount.
  • Relationship with the Bank: HDFC Bank offers special rates, offers and charges to the existing account holders of the bank. Those who have made their payments on time in the past can get the benefit of low gold loan interest rate from HDFC Bank.
  • Loan tenure: Many banks charge higher rate of interest for gold loans of lower tenure and lower interest rate for gold loans of higher tenure. HDFC Bank offers gold loan with a tenure of 3 months to 24 months.
  • Loan to Value ratio: Maximum gold loan to value of gold jewelery ratio on gold jewelry has been fixed at 75% by RBI. However, HDFC Bank also offers loans at lower LTVs. Interest rate on loans with lower LTV will be lower compared to loans with higher LTV. Maximum LTV offered by HDFC Bank is 75% calculated on net weight of gold in your jewelry.
  • Purpose of Loan: All banks, including HDFC Bank also offer gold loan for agricultural purposes at low concessional rates, as the same is counted under priority sector lending targets of the bank. HDFC's gold loan interest rate for agricultural loans is generally lower by 1-2% compared to its gold loan rate for regular customers.
Other Charges of Gold Loan HDFC Bank

In addition to interest rates, HDFC Bank also carry some other charges while offering gold loan which include:

  • Processing fees – HDFC Bank charges minimum processing fees 1.5%. To get lowest fee, gold loan interest rates comparison, offers and cashback apply online through MyLoanCare.
  • Prepayment and foreclosure – Banks allows prepayment of gold loan and typically levy prepayment or foreclosure charges i.e. 2% if closed within 3 months.

Gold Loan Schemes of HDFC

HDFC Bank offers several gold loan products to meet your various product requirements. These include loans with different repayment options

  • Gold Loan with EMI option

    This scheme offers the option of paying gold loans in the form of EMIs. Each month you pay an EMI to the bank, which contains a component of interest as well as principal repaid. The component of interest is higher in the initial EMIs and reduces with each EMI.

    • Offered for loans with a tenure of more than 3 months
    • Offered only in case of preapproved offers of gold loans for existing bank account customers
    • Offer on floating rate of interest
    • Maximum LTV of 75 percent allowed
  • Gold Loan with Bullet repayment option

    It offers a bullet repayment option in which customers can pay the entire principal amount of the loan at the end of the tenure.

    • This repayment option is more prevalent for short tenure gold loans (less than 6 months)
    • This is a fixed rate loan scheme
    • Interest is charged monthly and can be paid with principal at the date of maturity. Bank may also ask you to pay EMI for monthly interest
    • No lock in period. However, bank charges a penalty of 2 percent for preclosure before 3 months.
    • Upfront deduction of six months interest is charged if a customer does not have a HDFC account or if the loan amount is less than Rs 50,000
    • Lower LTV of 65 percent compared to EMI option
  • Gold Loan with Overdraft facility

    Overdraft facility is a facility given against gold to allow the borrowers in which borrower is allowed to withdraw funds or deposit surplus amount in the account during the loan tenure. The borrower is required to pay an interest only on credit utilised. This loan is especially useful for self employed borrowers or salaried borrowers who earn annual bonuses.

    • Rate of interest are floating and interest to be paid over the utilized amount.
    • No lock in period and no prepayment penalty charged
    • Comes with an option of renewing the OD by paying the applicable processing fees
  • Gold Loan for Agriculture

    • HDFC Bank offers this scheme for farmers wherein, loan is offered to them against gold ornaments in order to meet farming expenses.
    • Presenting a proof of farming activity and ownership of an agriculture land is mandatory.
    • The end use of the gold loan must be mentioned by the borrower.

Documents Required for HDFC Bank Gold Loan

The documentation process of HDFC Bank is smooth. You need to submit one proof of identity and one proof of address to get a gold loan. The list of identity and address proofs is as follows:

  • Identity proof: PAN Card, Driving License, Passport, Voter’s ID Card, Aadhar Card
  • Address proof: Voter’s ID Card, Aadhar Card, Rent Agreement, Utility Bills, Bank Statement

Compare Gold Loan Interest Rates of HDFC with other banks

Frequently Asked Questions on HDFC Gold Loan

Are there any prepayment charges on gold loan?

Yes, you can prepay your jewel loan. Applicable prepayment charges - 2% if closed within 3 months.

Is gold loan HDFC Bank available online? Is there a HDFC Bank gold loan online payment facility?

Yes, you can apply gold loan online in HDFC Bank to get a quick loan. Yes, HDFC Bank offers gold loan online payment facility.

Does HDFC Bank offer Agricultural Gold Loan?

Yes, HDFC Bank offers gold loan for agriculture at 1- 2% lower interest rate than gold loan rates.

How much gold loan can I avail from HDFC Bank?

You can get upto Rs. 50 Lakh as gold loan from HDFC Bank.


HDFC Gold Loan News - Oct 2018
*Terms and conditions apply. Credit at sole discretion of lender subject to credit appraisal, eligibility check, rates, charges and terms. Information displayed is indicative and from collected from public sources. MyLoanCare is an independent professional service provider and is not related to the government or government bodies or any regulator or any credit information bureau in any way. Information carried at this website is not and should not be construed as an offer or solicitation or invitation to borrow or lend. The Company does not undertake any liability with respect to the correctness of the content, information and calculations. Information is subject to change without notice. By submitting your query or using any tools or calculators, you authorize MyLoanCare to share your information with lender(s), consent for such lender(s) to access your credit information report and contact you regarding your query overriding your number being in National Do Not Call Registry. This is a free service and no charges are payable by the borrower to MyLoanCare. The Company may receive remuneration from lenders for services provided to them.