Federal Bank Gold Loan Interest Rates

Federal Bank gold loan interest rate starts at 11.75% to 13.50%. The rate applies to both new as well as existing customers. The interest rates applicable shall differ depending on the purity of the gold pledged, loan value and the loan to value ratio. A loan against gold can be used for several activities just like a personal loan. Many utilize the fund for medical emergency, travel, home repair, education, business expansion, working capital, etc.

At Loanbaba, you will get all details about Federal Bank loan against gold.

Details of Federal Bank jewel loan interest rate are as follows:

Federal Bank Gold Loan

Details

Federal Bank Gold Loan Rate

Starts from 11.75% to 13.50%

Processing Fee

NA

Tenure

6 - 12 months

Loan Value

Rs. 1000 to Rs. 150 lakhs

Prepayment Charges

NA

Gold Loan Scheme

Overdraft Scheme

Bullet Repayment Scheme

Federal Bank Gold Loan Interest Rates 2019 Information

As per lowest rate of 11.75% offered by the bank, the EMI amount for Rs. 1 lakh is Rs. 8,873 for a period of 12 months. To get the best offer on rates, check how well you match the eligibility criteria by the bank. The more number of conditions you fulfil, higher chances of getting the loan of required amount and interest rate.

  • Maintain a good credit score to get best rate offer.
  • Establish a stable relationship with the bank and repay all the dues if any with the institution, in a timely manner.
  • Make sure that the gold asset you submit is of required purity and quality to get ideal rate and tenure.

Federal Bank Gold Loan

Below-given are features of Federal Bank loan against gold.

  • Hassle-free loan processing and instant sanction.
  • Higher rates for per gram gold than many other competitors.
  • Flexible tenure and convenient repayment options.
  • No hidden charges and costs involved. All charges are stated upfront.
  • Doorstep service available in cities such as Mumbai, Pune, Coimbatore, Chennai, Bangalore, and Hyderabad.
  • Quick disbursement because of minimal documentation and less stringent eligibility criteria.

Federal Bank Gold Loan Interest Rate Calculator

The calculation of rate of interest for jewel loan depends on the following factors:

  • Loan Value

The value of the loan depends on the weight of jewellery that you pledge to the bank. The bank offers an amount considering per gram of gold. This may differ depending on the purity and loan to value ratio. A higher amount attracts a lower rate of interest. The loan value may be anywhere between Rs. 1000 to Rs. 150 lakhs.

  • Loan Tenure

The tenure is another big factor determining the interest rates. Higher interest rates may be charged for shorter tenures, also implying to the vice versa.

  • Relationship with Bank

A healthy relationship with the bank can also get you loans at attractive interest rates. For instance, a person who made the right repayment of debts and has gained enough trust, the Bank is likely to offer loans at lower interest rates.

  • Loan repayment capacity

You can get your jewellery loan at low rates, if the bank trusts you on your repayment capacity. The interest rate determination is more of a trust game. So a good credit history leads to lower interest rates.

Federal Bank Gold Loan Eligibility

Below are the eligibility criteria for gold loan by the bank.

  • Who can apply- Anyone can apply for this type of loan, be it a housewife, salaried person, self-employed individual, entrepreneur, professional, etc.
  • Age of the Applicant: You must be at least 18 years of age to apply for the loan.

How to Apply for Federal Bank Gold Loan?

To apply for jewel loan with the bank, you can either apply offline or online.

  • Online Procedure: You can visit the official website of Federal Bank to check if there is an online application facility available. If there is such a facility, you will be able to drop the loan application online itself and attach soft-copy of the asked documents. Then you will get a call or communication from the bank executive for further procedures. You still may have to visit the bank for gold valuation.
  • Offline Procedure: You can visit any bank branch near your area and ask for the loan plan and details. After understanding about the plan that is most suitable for your requirement, ask for a loan application form, which you need to fill and sign. You have to attach hard-copy of the asked documents and wait until the gold valuation is done, before the loan terms and conditions are finalized.
  • Disbursal Procedure: After the loan application is approved and a loan amount, rate, tenure is asserted upon, the bank will disburse the funds immediately to your bank account. It may take just a few hours to receive the amount.

Documents Required to Apply for Federal Bank Gold Loan

Below-given are documents you need to apply for gold loan Federal Bank.

  • Identity proof: You can submit PAN card, Passport, Driving license or Voters ID card as your Identity proof.
  • Address proof: You can submit ration card, telephone bill, sales tax certificate, electricity bill, passport, lease agreement or trade license as address proof. Also submit recent passport-sized photographs along.

Frequently Asked Questions on Federal Bank Gold Loan Interest Rate and Loan Scheme

Below-given are FAQs about Federal Bank gold loan and rate of interest.

  • addFAQs
    1. Do prepayment charges apply on gold loan repayments?
    2. You can definitely prepay your jewel loan without incurring any additional charges.

    3. Can I avail the gold loan from Federal Bank online? Do they have online payment facility?
    4. The bank provides quick loans online. Thus, you can avail online and also opt for their online payment facility.

    5. Does Federal Bank provide loans like Agricultural Gold Loan?
    6. This bank has Agri gold loan schemes, where you can get up to 82% of market value of gold as rate of gold per gram.

    7. How much loan can I avail?
    8. You can get a maximum of Rs. 150 Lakhs as gold loan at the bank.

    9. How to repay the loan?
    10. You can either repay the amount in lump sum or make equated monthly instalments.

      • Lump Sum Payment – The interest needs to be paid each month. However, the entire principal amount can be paid once the loan matures.
      • EMI Payment – One needs to pay monthly instalments that comprises of the equated part of the principal and the interest applicable on a reducing balance method.
      • What is Apna Gold 24*7 by Federal Bank?
      • This loan schemes is based on debit card and overdraft facility. You can access the loan via debit card that is provided on overdraft facility against collateral gold. The bank will accept only 22 carat gold in this scheme, as collateral. You will also receive a secured credit card in this scheme. You can use the card for any purpose, including shopping. You can even enjoy facilities such as locker facility and a free insurance cover.

      • What is Special Gold Loan by Federal Bank?

    In this scheme, you can get a loan amount up to Rs. 75 lakhs starting at Rs. 1000. You can even get higher rate for per gram gold on a secured asset of 22 carat, be it coin or jewellery. If you are over 18 years of age, you can apply for this loan scheme.

Disclaimer: Information is gathered from secondary sources and meant for reference only. Loanbaba is not a channel partner of Federal Bank for gold loan.

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