Bank of Maharashtra Gold Loan Features
Gold is one of the most popular loans nowadays since it is easier to obtain than a personal loan. Bank of Maharashtra Gold Loan Approval Process is considered very easy to understand for the customers. The reason for this is that when a gold loan is a secured loan in which you must pledge your gold as collateral, many financial institutions are willing to grant it. The Bank of Maharashtra Gold Loan Approval Process is simple and quick. They give you low-interest loans secured by your gold.
You can visit Dialabank to know more information about gold loans.
Features:
- Quick Processing: Because gold loans are secured by genuine gold, banks and other lending organizations may simply give them.
- ‘Pay Interest Only’ Option: A common element of gold loans is the ability to pay only the interest component when repaying the loan.
- Zero Processing Fees: Because gold loans are granted promptly with gold as collateral stored by the bank, many banks and NBFCs do not charge any processing fees.
- Minimal Foreclosure Fees: Some banks and lenders don’t charge prepayment fees on gold loans or charge them at a low rate of 1%.
- Borrower Income Proof Isn’t Required: In most gold loan applications, borrower income proof isn’t required.
Bank of Maharashtra Gold Loan Eligibility
| Minimum and Maximum Age |
21 Yrs – 60 Yrs
Note: However, many banks require a minimum age of 23 years |
| Loan Amount |
Up to ₹ 2 Cr. Some banks restrict maximum eligibility to ₹ 20 Lakh
Interest rates are lower for a higher loan amount |
| Employment Type |
Salaried and self-employed both are eligible
Businessmen are increasingly taking gold loans to meet their working capital requirements. In fact, housewives, senior citizens who are not eligible for other loans because they have no income proofs can easily avail of gold loans. |
| Quality of Gold |
Gold ornaments should range in between 18 to 24 Carats
An average gold price of 22-carat gold for the preceding 30 days is adjusted down for purity. So, the price of 20 Carat jewellery can be estimated by multiplying the price of 22 Carat jewellery by a factor of 20/22 |
| CIBIL Score |
Banks do not check CIBIL score for granting a gold loan
However, your repayment track record for a gold loan is counted towards your CIBIL score and hence, can be instrumental in building your CIBIL score |
| Gold ornaments that can be used for availing loan |
Gold bars and coins
Gold with 18-24 carat purity |
| Employment track record and income proofs |
Banks do not check your job stability or business stability to sanction you a gold loan. Gold loans are granted without income proofs. You only need to submit your basic KYC documents such as address proof, identity proof, and an Aadhaar card to avail of this loan.
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Bank of Maharashtra Gold Loan Documents Required
At the time of application the following documents are required:
- Proof of the citizenship of India
- Duly filled application form
- 2 passport-sized photographs
- Applicant’s KYC documents to establish Identity and Address
- Salary/ Income Proof
- Witness Letter in case of illiterate borrowers
- In the case of Agriculture Loan of more than Rs. 1 lac, land proof
- Certificate by the Jewel Appraiser (Bank will arrange)
At the time of disbursement the following documents are required:
- Demand Promissory Note & Demand Promissory Note Take Delivery Letter
- Gold Ornaments Take Delivery Letter
- Arrangement Letter
Bank of Maharashtra Gold Loan Approval Process
The following are some basic procedures in the Bank of Maharashtra Gold Loan Approval Process:
- Visit the Bank of Maharashtra branch closest to you.
- Fill out the bank’s application and submit it along with all of the relevant documents to get your loan approved.
- Bring your gold to the bank for the appraisal; the bank will determine the loan amount following the appraisal.
- Examine the loan’s common terms, such as tenure and interest rate, with the bank’s representative.
- All of the terms will be finalized by the bank, and your application will be reviewed for a period of time.
- Following approval, the bank will assist you with the rest of the process and disbursement of the loan funds.
FAQs on Bank of Maharashtra Gold Loan Approval Process
✅ What are the prerequisites for a gold loan?
You must submit documents proving your identity and address in order to obtain a gold loan. You can offer a copy of your PAN card, Aadhaar card, voter’s ID card, or passport copy as proof of identity. As proof of address, you can submit a lease agreement, passport, driver’s license, utility bills, Aadhaar card, or voter’s ID card.
✅ What is the procedure for repaying a gold loan?
Gold Loans are loans obtained by pledging your gold jewellery with a lender. Interest is paid as an EMI, and the principal is paid later: This option allows you to repay the interest according to the gold loan’s EMI schedule, but the principal amount borrowed must be paid in full at maturity.
✅ Is the Gold Loan being reduced?
The interest rates on gold loans, which are obtained by pledging gold, are lower than those on other sorts of loans, ranging from 7.35 per cent to 29 per cent per annum. In India, banks and other financial institutions offer gold loans with loan amounts ranging from Rs. 1500 to Rs. 1 crore.
