This kind of gold loan is one of the easiest, most accessible, as well as very fastest loans out there. They are also granted to people in exchange for the gold which is kept with the banks as well as financial institutions as collateral. This kind of collateral acts as very secure and thus, the gold loan is also considered a very secured loan.
Now, there are a very few things everyone who is a first-time gold loan borrower should know about this loan itself. This is so because even though all the process is very simple than most, you should always be aware of everything going in to take up most of the things like a loan.
All the people shall be asked to present some documents to prove their all identity but otherwise, there is no other kind of restriction on these gold loans. Whenever applying for the gold loan, one may not even need to present total CIBIL scores because the gold loan is secured by the gold.
All the borrowers would also need to submit some basic identity proof. They can use any government-issued documents like PAN Card, Aadhar Card, and some very basic things.
One should always be aware of how all the banks determine the gold loan value. This gold loan amount provided is a very good percentage of the total value of the gold at the time. Also, gold jewelry is considered very less valuable than gold bars or gold coins of very high purity.
All the repayment is done in very equal installments throughout however very long the repayment scheme chosen by them is. These kinds of gold loans HDFC Bank are very secured as well as thus your very bad credit scores or CIBIL score will not always affect your chances of getting this kind of gold loan.