Canara Bank Agriculture Gold Loan

Canara Bank Agriculture Gold Loan Features & Benefits

Canara Bank Agriculture Gold Loan Today Canara Bank Agriculture Gold Loan rate Today is ₹ 3,506 to ₹ 4,621
Loan Amount Any amount from Rs.1,000 to Rs.10 crore*
Interest Rate 7.00% onwards (p.a.)
Repayment Options Lumpsum, EMI, as per the lender
Gold Items accepted Gold ornaments verified for quality and quantity
Tenure Starting from 1 month to 36 months
Processing Fee Nil-1% of the loan amount

Canara Bank is one of India’s major state-owned banks. It is owned by the Government of India’s Ministry of Finance. Bengaluru is the company’s headquarters. It was founded in Mangalore in 1906 by Ammembal Subba Rao Pai, and it was nationalised by the government in 1969. London, Hong Kong, Moscow, Shanghai, Dubai, Tanzania, and New York are among the bank’s international locations. According to Finance Minister Nirmala Sitharaman’s declaration on August 30, 2019, Manipal-based Syndicate Bank would combine with Canara Bank on April 1, 2020, making it the country’s fourth-largest bank.

Canara Bank Agriculture Gold Loan Calculator

Canara Bank Agriculture Gold Loan is an opportunity for the farmers to raise capital for growing and harvesting crops by securing funds with pledged gold. But it is also important to understand the terms of the loan offered, and this can be done with the help of an online EMI calculator as it shows the monthly EMI charges for the amount required. Some factors that affect EMI calculation are as follows:

  • Amount of the loan: The amount of a gold loan you may get is determined by the value of the jewellery you may put up as collateral with the bank. Banks often give a jewel loan per gramme of gold, which varies according to the purity of the gold and the loan-to-value ratio available. For larger sums, banks provide lower interest rates. Canara Bank provides loans ranging from 5,000 to 20 lakh rupees.
  • Bank-Client Relations: Existing Canara Bank account holders are eligible for special rates, incentives, and fees. Canara Bank offers inexpensive gold loan interest rates to those who have made their payments on time in the past.
  • Term of the loan: Many banks offer higher interest rates on shorter-term gold loans and lower interest rates on longer-term gold loans. Canara Bank provides gold loans with terms ranging from 6 to 12 months.
  • Loan-to-value (LTV) ratio: The maximum gold loan to value of gold jewellery ratio has been set by the RBI at 75 per cent. Canara Bank, on the other hand, offers loans with lower LTVs. Loans with a lower LTV will have a lower interest rate than loans with a larger LTV. Canara Bank offers a maximum LTV of 75% based on the net weight of gold in your jewellery.
  • The utility of the loan: All banks, including Canara Bank, provide gold loans for agricultural uses at low concessional rates because they fall inside the bank’s priority sector lending criteria. The gold loan interest rate for agricultural loans at Canara Bank is typically 1-2 per cent lower than the gold loan interest rate for ordinary clients.

Canara Bank Agriculture Gold Loan Eligibility

Type of Requirments Needs
Basic requirements  The applicant must comply with the lender’s KYC requirements.
Age requirements The minimum age is 18, and the maximum age is 65.
Special requirements  Applicants are active in agricultural or associated activities 
Legal requirements Applicants involved in activities categorised as agricultural by the GOI/RBI.

Documents Required for Canara Bank Agriculture Gold Loan

Kind of Applicants Documentation
Documentation requirement for Salaried/Self Employed/Professionals
  • Filling out the application form completely and attaching passport-sized photos
  • Documents proving the applicant’s identity: Passport, voter identification card, PAN card, Aadhaar card, driver’s licence, and utility bills are some of the documents you’ll need (Water and Electricity)
  • Proof of agricultural land under the applicant’s name
  • Proof that the crop can be cultivated
  • Certificate of Incorporation for a Business
  • Any other documents that the lender requires

 

Canara Bank Agriculture Gold Loan Rate Per Gram by Gold Purity

Canara Bank is a bank based in India. Canara Bank Agriculture Gold Loan is a specialised programme that is often conducted by both public and commercial institutions. Agriculture has been practised by a large portion of the population in India since ancient times, making it an agriculture-intensive country.

Banking institutions’ agriculture gold loans start at a rate of 7.00 per cent per year and increase from there. Interest rates, as well as eligibility, repayment terms, and fees and penalties for agriculture gold loans, will vary from bank to bank.

Gold Purity Gold Rate Per Gram- Average Of Past 30 Days Highest Gold Loan Per Gram Lowest Gold Loan Per Gram
22 carat ₹ 4,620 ₹ 4,999 ₹ 4,956
20 carat ₹ 3,939 ₹ 4,178 ₹ 3,795
18 carat ₹ 3,545 ₹ 3,784 ₹ 3,460

The above table shows the method by which Banks will calculate your per gram gold loan for gold of varying purity.

  • Gold loan per gram offer for 22-carat jewelry will be between ₹ 4,620 to ₹ 4,956
  • Gold loan per gram offer for 20-carat jewelry will be between ₹ 3,795 to ₹ 4,178
  • Gold loan per gram offer for 18-carat jewelry will be between ₹ 3,460 to ₹ 3,784

Canara Bank Agriculture Gold Loan Interest Rates Per Gram

The following is the value of the gold loan rate of interest granted to clients under the Canara Bank Agriculture Gold Loan:

Updated - Gold Loan Per Gram Rate w.e.f Jun 21 2021

Gold Weight Gold Purity
24 Carat
Gold Purity
22 Carat
Gold Purity
20 Carat
Gold Purity
18 Carat
1 gram 4621 4290 3900 3510
10 gram 46210 42900 39000 35100
20 gram 93600 85800 78000 70200
30 gram 140400 128700 117000 105300
40 gram 187200 171600 156000 140400
50 gram 234000 214500 195000 175500
100 gram 468000 429000 390000 351000
200 gram 936000 858000 780000 702000
300 gram 1404000 1287000 1170000 1053000
400 gram 1872000 1716000 1560000 1404000
500 gram 2340000 2145000 1950000 1755000

Historical Gold Loan Rates Per Gram

The colonial history of India, as well as the abundance of natural resources, has resulted in our country’s land being able to cultivate a wide variety of plants and vegetation. Different sections of the country have their own unique geographical qualities that help to sustain and encourage the growth of various crops and plants.

Despite the fact that farming is a major vocation in the nation, the majority of it is subsistence farming.

The country’s commercial farming is not carried out on a large enough scale with current technologies. To address this, the market offers a variety of gold loans geared for agriculture, such as the Canara Bank Agriculture Gold Loan.

This Table Contains the Average Annual Gold Rate from 1964 - 2021
Year Price (24 karat per 10 grams) Year Price (24 karat per 10 grams)
1964 ₹ 63.25 1993 ₹ 4,140.00
1965 ₹ 71.75 1994 ₹ 4,598.00
1966 ₹ 83.75 1995 ₹ 4,680.00
1967 ₹ 102.50 1996 ₹ 5,160.00
1968 ₹ 162.00 1997 ₹ 4,725.00
1969 ₹ 176.00 1998 ₹ 4,045.00
1970 ₹ 184.00 1999 ₹ 4,234.00
1971 ₹ 193.00 2000 ₹ 4,400.00
1972 ₹ 202.00 2001 ₹ 4,300.00
1973 ₹ 278.50 2002 ₹ 4,990.00
1974 ₹ 506.00 2003 ₹ 5,600.00
1975 ₹ 540.00 2004 ₹ 5,850.00
1976 ₹ 432.00 2005 ₹ 7,000.00
1977 ₹ 486.00 2006 ₹ 8,400.00
1978 ₹ 685.00 2007 ₹ 10,800.00
1979 ₹ 937.00 2008 ₹ 12,500.00
1980 ₹ 1,330.00 2009 ₹ 14,500.00
1981 ₹ 1,800.00 2010 ₹ 18,500.00
1982 ₹ 1,645.00 2011 ₹ 26,400.00
1983 ₹ 1,800.00 2012 ₹ 31,050.00
1984 ₹ 1,970.00 2013 ₹ 29,600.00
1985 ₹ 2,130.00 2014 ₹ 28,006.50
1986 ₹ 2,140.00 2015 ₹ 26,343.50
1987 ₹ 2,570.00 2016 ₹ 28,623.50
1988 ₹ 3,130.00 2017 ₹ 29,667.50
1989 ₹ 3,140.00 2018 ₹ 31,438.00
1990 ₹ 3,200.00 2019 ₹ 35,220.00
1991 ₹ 3,466.00 2020 ₹ 48,651.00
1992 ₹ 4,334.00 2021 ₹ 50,045.00

Major Banks Agriculture Gold Loan Per Gram Rate Comparison 

Due to India’s mixed economic structure, a considerable number of financial institutions are state-owned and sponsored. The following is a comparison of several public and private banks:

Feature
Manappuram
Axis Bank
Yes Finance
Interest Rate
9.90%
12.50%
9.99%
Min Loan Amt
Metro : 25000, Non : 15000
25000
15000
Max Loan Amt
1 Cr
1 Cr
1 Cr
Loan Tenure
3 months to 24 months
9 months to 24 months
1 month to 24 months
Processing Fee
0.25% to 1.50% of the Loan Amt
0.25% to 1.50%
Nil
Preclosure Chgs
2%, Nil foreclosure charges after 3 months
2%, Nil foreclosure charges after 9 months
Nil
Overdraft Facility
Yes
Yes
Yes
Pay Only Interest Facility
Yes
Yes
Yes
Gold Rate Per Gram
3,124
3,073
3,069

Tips to Get The Highest Agriculture Gold Loan Amount from Canara Bank

Agriculture gold loans provide a few benefits over traditional gold loans in terms of debt. These are emphasised as follows:

  • Getting a Loan is Convenient: The application for a loan is simple and painless, and money is distributed quickly.
  • Rate Of interest as Low as 7%: When compared to other forms of loans, interest rates as low as 7% are possible.
  • The Most Convenient Repayment Schedule: You can pay the total price in one single payment or overtime with EMIs.
  • Relatively limited Paperwork: A gold loan for agriculture requires very little documentation.
  • Collateral protection: Gold is safely held in bank vaults and returned to the borrower after the loan is repaid in full.
  • Refurbishment of the Loan: Some banks provide the option of renewing a loan.

Any farmer may acquire an agriculture gold loan from one of the many loan providers in the market, but in order to receive the best deal and avoid fraud and other financial problems, applicants must keep the following factors in mind.

  • Funds received: Because a gold loan is secured, the loan amount is determined by the value of the gold you put up as collateral. The Reserve Bank of India has made it illegal for banks and non-bank financial organisations (NBFCs) to lend more than 75% of the value of gold.
  • Interest rates: Because a gold loan’s interest rate is determined by the lender’s risk assessment, it can range from 9.24% to 26% per year. Lenders utilise the LTV ratio, loan period, loan amount, and other characteristics to determine the interest rate on gold loans.
  • Processing fees and charges: These are the expenses incurred by lenders when processing your gold loan application. It typically varies between 0% and 2% of the overall loan amount. Some lenders impose a fixed fee as well. Check this charge before completing your loan application since it might be a significant amount in the case of a big-ticket loan.
  • Loan Disbursement period: These loans need very minimal documentation and are generally disbursed within a few hours of receiving the loan application. This feature makes a gold loan a viable choice for resolving financial issues.
  • The loan’s duration and repayment options: Gold loans are short-term loans with repayment lengths ranging from seven days to three years and a range of repayment options. In addition to the typical EMI repayment option, borrowers can choose to return the whole interest amount now and the principal component later at the end of the loan period.
  • Prepayment/foreclosure fees: If you pay off your gold loan early, most lenders will not charge you a fee. If the loan is closed before the term is completed, certain lenders may charge up to 2.25 per cent of the outstanding amount.
  • Purity and value of gold pledged: The purity and kind of gold pledged are two of the essential factors in deciding the loan amount. Collateral may generally be any gold decoration, jewellery, or coins.