Bank of India gold loan interest rate is as applicable as per the bank’s discretion at the time of evaluating gold asset for collateral and your repayment capacity. A jewellery loan can be used to meet financial needs of business and personal purposes. Some use it for medical emergencies, travel, education, home repair, and big-ticket purchase. Others utilize the funds for wedding, debt consolidation, and other purposes.
At Loanbaba, you will find all the details about Bank of India gold loan rate and jewel loan schemes.
| Bank of India (BOI) Gold Loan | Details |
|---|---|
|
Loan Amount |
Up to Rs. 15 lakhs |
|
Interest Rate |
As per bank’s discretion |
|
Tenure |
Up to 18 months |
|
Processing Fee |
Up to 2% of the loan amount |
Bank of India Gold Loan Interest Rate is set as per income profile and repayment capacity of the loan applicant. But the most important factor to decide the rate of interest is gold weight and purity. Keep a check on this page or of BOI’s official website to know the latest rates applicable.
Below-mentioned are features of BOI loan against gold.
|
Purpose of loan |
Meet the financial requirement of the farmers for there both farm and non-farm needs. |
|
Eligibility criteria |
You should be a local resident farmer and an account holder of the branch will be given a preference of getting a better rates and loan amount. |
|
Amount to be availed |
You can avail up to Rs. 15 lakhs. The actual amount depends on the pledged jewellery’s weight and purity. |
|
Security requirements |
You have to provide gold ornaments or coins in order to avail loans from the branch. This gold should belong to the farmer seeking the loan. |
|
Margin |
40% of gold’s current market value is considered as margin on the basis of card limit as per date of finance. |
|
Rate of interest |
Bank of India jewel loan interest rate may vary as the bank may change it time to time. The ROI applies to the loans opted for agricultural purposes. |
|
Repayment period |
18 months maximum. |
|
Documents required |
Copies of the land records with the latest information. |
Bank of India gold loan interest rate calculator determines the rate of interest based on your repayment capacity, loan amount taken, tenure, gold weight and purity. Longer the tenure, higher will be interest payout and vice-versa. Similarly, a lower rate of interest may apply on higher quantum than lower one. You must study the Bank of India gold loan eligibility criteria to understand if you can avail a loan at the desired rate of interest from the financial institution or not.
Following are the documents needed to apply for BOI jewel loan.
If you want to apply for gold loan BOI, then follow the below-mentioned process.
Simultaneously, the gold asset will be weighed and evaluated in terms of purity. Based on the details a loan amount will be sanctioned and an ideal tenure and rate of interest as well. On final agreement, the funds will be disbursed to you.
Below-given are FAQs on Bank of India gold loans interest rates in India.
Below-given is information about the target group for the loan plan.
|
Target Group |
Indian Women (Residents) – Both working and non-working women can apply for the loan. The working women should be permanent employees of central or state government. They can also be employees in the PSUs, government schools or any other govt aided institutions. However, women professionals like Doctors, chartered accountants, engineers can also apply If the woman is a non-working, then she should be able to show the income proof of her spouse or a relative who becomes the co-borrower of the loan. |
|
Purpose |
This loan is generally opted for the purchase of Gold ornaments or coins. These should be hallmarked and bought from reputed Jewellers. |
|
Age Criteria |
18 years to 60 years. |
|
Rating Exercise |
The applicant, to be eligible for the scheme, should have at least 20 marks in the banks rating exercise. |
|
Advance Type |
Term Loan/Demand |
|
Advance value |
The loan amount is 10 times the monthly salary you or your spouse earns. In case of a professional, the advance value is 50% of the gross annual income per year as per the latest ITR. The amount may range from Rs. 50,000 to Rs. 2 lakhs. |
|
Margin |
The margin stays at 20% of the gold or jewellery value. |
|
Rate of Interest (Floating) |
3 % over the Base Rate |
|
Penal Interest |
It is applicable as per the guidelines that prevail at that point in time. Thus, they may differ at different times. |
|
Repayment Criteria |
You need to repay within 60 EMIs. The entire amount needs to be repaid before you become 65 years old. The repayment shall be done in the form of salary deduction or by signing post-dated cheques. |
|
Net Take Home, EMI |
It is at least 50% of the gross income of your and your spouse. |
|
Security |
If you avail a loan of more than Rs. 50,000, you need to provide liquid securities like the insurance policy (at surrender value), NSC, KVP, etc. only for the amount that exceeds Rs. 50,000 |
|
Disbursement |
It can be made through Pay Order or DD favouring the seller. Mention the Bank name and your account number. You need to submit the invoice or the stamped receipt of the jewellery cost. The total value should include the loan amount and the margin. You need to have performa invoice if the loan value is over Rs. 1 lakh. |
|
Processing Fee |
2% of loan amount. Ranges between Rs. 500 to Rs. 2000 |
|
Other Charges |
You may have to pay stamp charges for documents. Loan Agreement copy charges may also apply. |
Disclaimer: Information is gathered from secondary sources and meant for reference only. Loanbaba is not a channel partner of Bank of India.
