Barclays Finance Gold Loan Approval Process


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    Barclays Finance Gold Loan Approval Process

    Barclays Finance Gold Loan FeaturesBarclays Finance Gold Loan Approval Process

    Barclays Finance Gold Loan Approval Process. A gold loan, also known as a loan against gold, is loan obtained by borrowers against their gold. It is a way of obtaining instant cash during financial emergencies against an existing asset. The borrower has to pledge their gold as collateral with the bank or the financial institution. The borrower can use the loan amount for any purpose, the lender does not place any restriction on the usage of the loan amount. The borrower can attain their asset again once they repay the loan in full.

    1. Low and attractive interest rates are charged on gold loans.
    2. Any individual regardless of their occupation can avail of a gold loan.
    3. Generally, the age criteria for a gold loan is 21-64 years old; however, it may differ from lender to lender.
    4. The borrower’s credit score does not play a crucial role in determining their loan eligibility.
    5. The borrower can repledge the same asset multiple times.
    6. Usually, banks and financial institutions do not charge any processing fee or prepayment penalty.
    7. As per the RBI norms, a maximum LTV of 75% can be issued.

    Barclays Finance Gold Loan Eligibility

    Minimum and Maximum Age
    21 Yrs – 65 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.

    Barclays Finance Gold Loan Documents Required

    List of Documents
    Passport (Not expired)
    Driving license (Not expired)
    Voters’ ID Card
    Aadhaar Card issued by UIDAI
    PAN (Permanent Account Number) Card (along with any of the above-mentioned documents) or Form 60
    One Passport Size Photograph
    Agri Allied Occupation Documentation( in case of bullet repayment for agriculture customers)

    Barclays Finance Gold Loan Approval Process

    Barclays Finance Gold Loan Approval Process is instant –

    1. Visit the lender’s website.
    2. Select the “gold loan” option under the loans menu.
    3. Enter the required details in the application form.
    4. Submit the required documents.
    5. Physically submit your gold for value assessment.
    6. Based on, eligibility criteria and gold value, the lender approves or rejects the loan application.
    7. If the loan is approved, the amount is sanctioned in the borrower’s bank account.

    The process to avail of a gold loan can also be done offline by going to the lender’s branch office.

    FAQs on Barclays Finance Gold Loan Approval Process

    ✅ How much financing do lenders provide on gold loans?

    Generally, banks provide up to 75% financing of the gold’s value. Visit Dialabank for more information.

    ✅ If the borrower passes away during the loan tenure who repays the loan?

    If a guarantor has been enlisted they would have to repay the loan in such a scenario; however, if the guarantor is not enlisted, the borrower’s family members become legally liable to repay the loan amount.

    ✅ What happens if I default in repaying the loan?

    If you default in repaying the gold loan, the lender can sell your pledged gold to recover their loan amount.