About Canara Bank Gold Loan
Canara Bank is one of the leading public sector banks in India. It was founded in 1906. Bank provides so many financial products to the customers like commercial banking, consumer banking, assets management, loans and credit cards. Gold Loan is also provided by the bank at very low rates of interest. This is available online and offline. You can apply in either way. The primary objective of the gold loan is to provide financial help to the customers. Since the gold is a costly metal so the lender can recover the amount of loan in case the customer is unable to return the gold loan.
- Interest Rate Starts at 10.75%
- Loan Per Gram From Rs. 2,472 to Rs. 3,023
- Tenure Up to 36 months
- Processing Fee Up to 1% + GST
To overcome your short-term needs like medical expenses, paying the debt, bills etc you can avail a financial help from Canara Bank Gold Loan scheme. The Swarna Bhrosa Scheme of Canara Bank is the best loan present in the market with the lowest rate of interest and easy availability makes it one of the best service providers in the market for providing gold loans.
This is also known as “loan against the gold”. In this kind of Loan, the customer pledges his/her gold loan to the bank as the security and gets a loan amount from the bank at some rate of interest for a given tenure. Bank won’t check your credit score while providing this Loan to you. Canara bank provides a gold loan under the Swarna Loan scheme.
Why choose Canara Bank Gold Loan?
Rather than asking for money from your friends or relatives, you can get a gold loan from Canara Bank at straightforward rates of interest. If you want to get a personal loan, even then you have to pay high rates of interest to the bank. Because private loans are unsecured loans, there is no collateral needed to get a personal loan. So Canara bank gold loan is always a good idea. Besides this, your gold will be kept in the bank’s locker under very tight and fireproof security; the bank is completely liable for the safety of pledged gold.
Know More – Gold Loan: Factors to Remember
Advantages of Canara Bank Gold Loan
There are many features of Canara bank Gold Loan that are given below :
- Canara bank provides Gold Loan at meagre rates of interest.
- If you are an eligible candidate, your Loan gets approved within a few minutes.
- After approval of your Gold Loan application, your loan amount will be disbursed on the same day.
- You can apply through Dialabank to get the best deals rather than visiting the bank branch and applying.
- Canara bank provides very high funding on your gold. It can start from Rs. 10000 and can be up to Rs. 30 Lakhs.
- The bank charges a meagre processing fee on the Gold Loan. The bank does not charge any pre-payment or part-payment charges.
- Repayment of the Gold Loan has to be done within a maximum period of 12 months.
- The application process is a very easy and hassle-free process.
- There is no need for a guarantor to apply for the Gold Loan from Canara Bank.
- There is no need to worry even if you do not have a good credit score as the bank will not check your credit score while verifying your eligibility for the Loan.
Know More – Gold Loan Interest Rate
Canara Bank Gold Loan Eligibility
Gold Loan is a financial product provided by Canara Bank, which caters to your needs of short term or long term funds. It is easy to avail commercial service provided by banks at low rates of interest and also requires minimal documentation for the same. Canara Bank gives you the Loan amount within an hour of application as the valuation and approval process is quickly done, keeping in mind your urgency regarding the need for funds.
Major Eligibility criteria for availing the Canara Bank Gold Loan is:
- The applicant should be a permanent Indian citizen who is at least 18 years of age and not more than 70 years (In most cases).
- The applicant should be the rightful owner of the gold that he/she wishes to pledge with the bank.
- The Minimum weight of gold that can be pledged is 10 grams, and the applicant becomes ineligible for Gold Loan if he/she has less than 10 grams of gold.
- The Minimum purity of gold required to be eligible for Loan is 18 carats. Also, Gold coins issued by banks are accepted up to 50 grams (In most cases).
- 24 Carat Gold in any form, Gold bars, Gold biscuits, etc. are not recognised as valid forms of gold to be kept as security for the Gold Loan.
- A good Credit or CIBIL score is not required to apply for the Gold Loan as it is a fully secured financial service against your gold as collateral security.
Canara Bank Gold Loan Documents Required
Gold Loan or Loan Against Gold is a loan product offered to the borrowers by Canara Bank wherein funds are provided for fulfilling the financial needs of the applicant. The gold ornaments of the applicant are kept as security by the bank in exchange for the funds. The entire Gold Loan process is hassle-free and easy to get with minimal documentation. Canara Bank ensures high protection of your gold ornaments till the Loan is closed.
Documents required for Applying for Canara Bank Gold Loan are :
A duly filled and signed Gold Loan application form shall be submitted along with the following documents:
- 2 latest passport-sized photographs
- Basic KYC documents:
Identity Proof (Only one is required): Aadhar Card, Pan Card, Passport, Voter ID, etc.
Residence Proof (Only one is required): Aadhar Card, Pan Card, Voter ID, Ration Card, Electricity or Water Bills in the name of the applicant, or Rental Agreement(In case you live in a rented house).
- Agricultural Land Proof and Income Statement of the applicant have required in the case the applicant wants the Canara Bank Gold Loan for Agricultural purposes.
- If you are an existing customer of the bank you may not be required to submit any documents as the bank will already have your verified details.
**Any other documents as requested by the bank shall be duly submitted.**
Canara Bank Gold Loan Interest Rate, Fees and Charges
A Gold Loan can fulfil all your urgent short term and long term monetary requirements. The rate of interest that you will be charged with depends on the total loan amount as well as the quality/purity of the gold you are to keep as security with the bank. Gold Loan interest rates offered by the bank are lower in comparison to other loans because it is a fully secured loan.
The Gold Loan interest rates in the bank start at 9.90% per annum.
The bank also charges some additional fees along with the rate of interest in some cases, which are :
- Processing fee – 1% of the loan amount or ₹1000 whichever is higher
- Documentation charges
- Gold Valuation charges
- The bank charges no additional fees for part payment or the foreclosure of the Gold Loan.
Canara Bank Gold Loan Rate per Gram
The amount of Gold Loan that you get per gram of your gold is directly dependent on the purity of your gold and the current prevailing rates of that purity of gold in the market. The rate of gold changes daily in the market and therefore, the Canara Bank Gold Loan Rate per Gram also varies every day. Canara Bank gives funding of up to 70% of the total market price of your gold, keeping the remaining 30% as a security margin.
You will get ₹2430 to ₹2970 for a gram of gold depending on its purity and the market price for your Canara Bank Gold Loan.
**Keep in mind that only the weight of gold is considered and not the weight of stones on your jewellery**
Canara Bank Gold Loan Apply Online
Applying for the Canara Bank Gold Loan service is a hassle-free and straightforward process which can be done from the comfort of your home. You can do it online by visiting the bank’s official website and submitting a form with necessary information regarding yourself and the Gold Loan you wish to avail. You will then need to visit the nearest Canara Bank branch with the required documents and your gold.
You can also apply with Dialabank by following the below-mentioned steps to get a Gold Loan as per your need.
- Visit Dialabank’s digital platform, where you will have just to fill a form without any registration.
- Our Relationship Manager will contact you and assist you throughout the Gold Loan process and guide you in fulfilling your financial needs.
- You will get personalised service, giving you the option of comparing and taking the best deal according to your needs without any extra charges.
- With Dialabank, you can compare the different offers and schemes from different banks based on funding provided and the rate of interest charged for choosing the best loan deal for yourself.
How to Pay Your Canara Bank Gold Loan EMI?
Your Canara Bank gold advance can be reimbursed in the following three different ways.
- Standing Instruction (SI): If you are a current record holder with Canara Bank, Standing Instruction is the best method of r repayment. Your EMI sum will be charged automatically toward the finish of the month to month cycle from the Canara Bank account you indicate.
- Electronic Clearing Service (ECS): This mode can be utilised if you have a non-Canara Bank account and might want your EMIs to be charged consequently toward the finish of the month to month cycle from this record.
- Post-Dated Checks (PDC): You can submit post-dated EMI checks from a non-Canara Bank account at your closest Bajaj Finance Loan Center. A new arrangement of PDCs should be presented on time. It will be ideal if you note Post Dated Checks will be gathered non-ECS areas as it were.
Uses of Canara Bank Gold Loan
The funds acquired by availing the Gold Loan service can be used for several purposes such as:
- To finance any personal expenses such as a wedding, travel, payment of higher education fees, etc.
- For all your business needs, such as buying raw material, expansion of business, etc.
- You can also avail a Gold Loan for agricultural purposes. The bank offers lower rates of interest for Gold Loans that are used for agriculture or allied activities.
FAQs About Canara Bank Gold Loan
Canara Bank gives gold loans based on the quality and weight of your gold. 1 gram of gold can get you a credit of ₹2430 to ₹2970 depending on the quality of your gold.
Canara Bank provides Gold Loan for fulfilling the monetary requirements of any individual by taking gold as security and lending the money on the rate of interest, starting from 12.00% per annum. Gold Loan is a secured loan, and you can get a loan amount ranging from ₹10000 to ₹10 lacs for a maximum period of 12 months.
As the gold loan is an entirely secure form of a loan, therefore, we get a low rate of interest as compared to other loans. Depending on your loan amount, the rate of interest decreases. Canara Bank provides Gold Loan with a rate of interest, starting at 12.00% per annum.
You have the option of paying your Canara Bank Gold Loan online through net-banking by visiting the official website and selecting the Loan Repayment option.
Gold Loans provide instant money for your financial needs. You can easily apply for a Canara Bank Gold Loan by visiting the nearest branch with your gold. You can also apply online with Dialabank and compare the offers from different banking and non-banking financial companies.
You can renew your Canara Bank Gold Loan by visiting the branch where the Loan was done. The gold will have to be released and again valued at current market prices. You may be asked to fill a form, and a renewal fee may also be charged.
Taking Gold Loan from Canara Bank is a simple and easy process. All you need is your gold along with the necessary address and Identification proofs (Aadhar and Pan card). You just need to visit the branch which deals in Gold Loans and fill a form and submit the documents. After the valuation, the loan amount as calculated is disbursed within an hour.
Canara Bank provides quick and hassle-free Gold loans at reasonable interest rates with the complete security for your ornaments. All you need to do is visit the nearest branch with your gold and required documents and get quick disbursal.
Canara Bank gives you Gold Loans with minimal documentation and attractive interest rates depending upon the amount of the gold loan. Just visit the nearest branch and apply for a gold loan. You can also refer to Dialabank’s online portal and get the best offers and deals.
You can check the status of your Canara Bank Gold Loan by calling the customer care or visiting the branch.
To close your Gold Loan, visit your loan branch with all the loan related documents and apply for the closure. You will be required to pay any overdue amount and charges as applicable. Once everything is verified your Loan will be closed, and your submitted gold will be handed over to you.
For the renewal of Canara Bank Gold Loan, the gold mortgaged earlier has to be released and valued again at the current market prices for the Loan to be renewed. You might be asked to fill a form, and some additional charge may also be levied.
If the loan amount is not paid on or before the due date, a penalty will be charged and if this continues and you default on your Loan the bank sells your gold in a public auction to recover the amount and also reports this to the credit bureaus resulting in a decrease of your credit score.
Canara Bank has a wide and robust network of more than 6000 branches spread across the nation for all your financial needs.
Table of Contents
- 1 About Canara Bank Gold Loan
- 2 Why choose Canara Bank Gold Loan?
- 3 Advantages of Canara Bank Gold Loan
- 4 Canara Bank Gold Loan Eligibility
- 5 Canara Bank Gold Loan Documents Required
- 6 Canara Bank Gold Loan Interest Rate, Fees and Charges
- 7 Canara Bank Gold Loan Rate per Gram
- 8 Canara Bank Gold Loan Apply Online
- 9 How to Pay Your Canara Bank Gold Loan EMI?
- 10 Uses of Canara Bank Gold Loan
- 11 FAQs About Canara Bank Gold Loan