Amid the COVID-19 pandemic, securing instant funds during emergencies has become the need of the hour for people to ensure the well-being of family members. Customers opt for personal loans to borrow money from financial institutions such as banks, however, gold loans also provide safe and easy ways to procure funds. The country’s largest lender – State Bank of India (SBI) is offering gold loans at an interest rate of 7.5 per cent and customers can easily apply for the same on the SBI YONO mobile app.
Gold loans – also called loans against gold is a secured loan taken by the borrower from a lender (bank) by pledging their gold ornaments or articles as collateral. Typically, the gold amount provided is a certain percentage of the gold – up to 80 per cent based upon the current market value and the quality of gold.
SBI Personal Gold Loan: Here’s All You Need To Know
SBI Personal Gold Loan: How To Apply for gold loan On SBI YONO app:
Step 1: Applying for the loan
- Login to the YONO account
- On the main home page, click on the menu (three lines) on the top extreme left
- Click on ‘loans’
- Under loans, click on Gold Loan
- Click on ‘Apply Now’
- Fill in the ornament details such as quantity, type, net weight, carat along with the other details available in the drop-down – occupation type, residential type.
- Fill the net monthly income
- Submit the application
Step 2: Visit the branch with gold
- Visit the SBI branch with the ornament or gold to be pledged.
- Carry two photos and KYC documents
Step 3: Sign the documents
Step 4: Get the gold loan
Who can avail the SBI Personal Gold Loan:
- Individuals who are more than 18 years of age with a steady source of income
- Pensioners (no proof of income required)
Documents required for availing the SBI Personal Gold Loan:
- Application for the gold loan with two copies of photographs
- An identity proof with a proof of address
Gold Loan amount: Minimum amount is Rs. 20,000 and the maximum amount is Rs. 50 lakh
Margin: 25 per cent (35 per cent in case of a bullet repayment gold loan)
SBI Gold Loan Interest Rate: Currently, SBI is offering a gold loan to the customers at an interest rate of 7.5 per cent
Gold Loan tenure: 36 months (12 months in case of a bullet repayment gold loan- a product having no repayment obligation during the loan tenor)
On Thursday, August 5, shares of State Bank of India settled 3.33 per cent lower at Rs 441.85 apiece on the BSE.