Gold is one of the most valuable assets in India, cherished not only for its cultural significance and use on auspicious occasions but also as a reliable means for securing loans. Therefore, selecting the right gold loan provider is essential to ensure borrowers receive favourable loan terms and excellent customer service.
Choosing the Right Gold Loan Provider
Shriram Finance, a leading Non-Banking Finance Company (NBFC), has revolutionised the gold loan landscape with Shriram Gold Loan. With one of the highest per-gram rates, and minimal documentation, Shriram Finance has emerged to be one of the key players in the domain.
This trusted NBFC ensures borrowers enjoy favourable gold loan terms and enhanced customer service with its customer-first approach.
What is a Gold Loan
A gold loan is a secured loan where borrowers pledge their gold jewellery or ornaments as collateral to obtain funds from a financial institution. The loan amount is typically a percentage of the golds current market value, known as the Loan-to-Value (LTV) ratio.
Gold loans are popular due to their quick processing, minimal documentation, and flexibility in repayment options. They are often used to meet short-term financial needs such as medical emergencies, education expenses, or personal requirements.
Choosing a Suitable Gold Loan Provider
Here are a few points to pay special attention to while zeroing in on a provider for a loan against gold:
Interest Rates- When considering a loan against gold, it is crucial to compare the interest rates offered by different financial institution. Negotiating for favourable interest rates can significantly reduce the total cost of the loan, making it more affordable over time.
Loan-to-Value Ratio (LTV)- The Loan-to-Value Ratio determines how much money you can borrow against the value of your gold. A higher LTV means you can get more funds, but it may also come with stricter terms, so it is important to find a balance that suits your financial needs.
Repayment Flexibility- Look for a lender that offers flexible repayment options, such as varying tenure lengths or the ability to make partial payments. This flexibility can help you manage your finances more effectively and reduce the risk of default.
Shriram Finance: Your Trusted Partner in Gold Loans
Shriram Gold Loan is crafted to provide customers with appealing benefits, including competitive interest rates, swift processing, and a customer-friendly approach, making the NBFC a top player and a trusted name in the industry.
The key features of Shriram Gold Loan include:
Maximum Finance: Get up to 75% against the gold’s prevailing market value.
Competitive Rate of Interest:Interest rates against gold start as low as 0.83%* p.m. (10%* p.a.).
Flexible Repayment Tenure: You have the flexibility to choose a repayment tenure that aligns with your needs.
Quick Loan Disbursal: Quick turnaround time from loan application to disbursals, ensures borrowers have prompt access to funds in times of need.
Smart Interest Rate Plans: Interest is to be paid only for the period the gold loan is used, *subject to internal policy.
Minimal Documentation: Shriram Gold Loan puts an end to extensive paperwork with a hassle-free digital process, and minimal requirement for documentation.
Conclusion
Selecting the right gold loan provider is crucial to ensuring that you receive favourable terms, competitive interest rates, and secure storage for your pledged gold. By carefully evaluating factors such as the LTV ratio, repayment options, and the credibility of the provider, you can make an informed decision that aligns with your financial goals. Shriram Finance is committed to offering transparent, secure, and customer-centric gold loan services to help you meet your financial needs with confidence.
About Shriram Finance
Shriram Finance is a leading diversified financial services company in India, offering a wide range of financial products and services across consumer, wholesale, and business finance segments. The company has a strong presence pan India with a network of 3,082 branches and an employee strength of 74,645 servicing to 83.97 lakhs of customers. With a focus on financial inclusion and customer-centricity, Shriram Finance continues to empower individuals and businesses to achieve their financial goals.