|State Bank of India (SBI) Gold Loan Interest Rate||Details|
|Interest Rate||Starts at 7.50%|
|Processing Fee||0.25% on the loan value; minimum Rs. 250 + GST|
|Tenure||3 months to 36 months|
|Loan Amount||Rs. 20,000 to Rs. 50 lacs|
|Gold Loan Scheme||EMI, Overdraft, and Bullet Repayment Scheme|
State Bank of India (SBI) Gold loan Interest Rate is as low as 7.50%. The lowest EMI per Rs. 1 lakh is Rs. 3,111. You can apply for the loan against gold if over 18 years of age. The repayment schemes are flexible. Depending on the loan scheme, you can repay through monthly instalments, pay monthly interest on the amount drawn through overdraft, or pay monthly interest amount till end of tenure and then repay the entire principal borrowed amount. The interest rate starts at 7.30% for Realty Gold Loan, which is a scheme for only the SBI Housing Loan Customers.
In this post, we will discuss the State Bank of India gold loan interest rate, its features, interest rate calculation, other charges, gold loan rate per gram and factors which influence it, illustration of rate per gram, tips to get the best rate per gram, and FAQs.
Below given are features of State Bank Gold Loan Interest Rate:
The lowest SBI gold loan rate of interest is 7.50%. Several factors influence the calculation of the interest rate. These factors are the loan amount, tenure, LTV, relationship with SBI, and others. Below given are factors that influence SBI interest rate for gold loan:
|Factors Influencing SBI Gold Loan Interest Rates||Details|
|Purpose of the Loan||
|Loan to Value Ratio||
|Relationship with the Bank||
Apart from the interest rate, the bank may apply other fees and charges on a loan against gold. These charges include:
At 7.50%, the gold loan SBI EMI calculation across different tenures and loan amounts is as follows:
|SBI Gold Loan Monthly Instalment|
|Loan Amount||3 Years||2 Years||1 Year|
|Rs. 1 lakh||Rs. 3,111||Rs. 4,500||Rs. 8,676|
|Rs. 2 lakhs||Rs. 6,221||Rs. 9,000||Rs. 17,351|
|Rs. 2.50 lakhs||Rs. 7,777||Rs. 11,250||Rs. 21,689|
|Rs. 3 lakhs||Rs. 9,332||Rs. 13,500||Rs. 26,027|
|Rs. 4 lakhs||Rs. 12,442||Rs. 18,000||Rs. 34,703|
|Rs. 5 lakhs||Rs. 15,553||Rs. 22,500||Rs. 43,379|
|Rs. 7 lakhs||Rs. 21,774||Rs. 31,500||Rs. 60,730|
|Rs. 8 lakhs||Rs. 24,885||Rs. 36,000||Rs. 69,406|
|Rs. 10 lakhs||Rs. 31,106||Rs. 45,000||Rs. 86,757|
The SBI gold loan per gram is the best in the market. It is based on the purity of the gold and the gold price as per the loan to value ratio (LTV) The price per gram offered by the bank is between Rs. 2,729 to Rs. 3,336. However, the rate shall change as per the bank’s discretion. The highest loan rate per gram for 22 carat jewellery as per 75% LTV is Rs. 3,336. The same shall fluctuate as per the gold price on the current day.
Below listed are the factors that influence the SBI gold loan amount:
|Factors that Influence SBI Gold Loan Value||Details|
|Net Weight and Purity of Gold||
|LTV or Loan to Value Ratio||
Based on LTV 65% to 75%, the State Bank of India provides the following lowest and the best gold loan rate per gram. The results are based on the average of the last 30 days.
Consider Anil, Vinod, and Dinesh visit the State Bank of India branch with jewellery to avail a gold loan. All the three individuals have varying net weight gold or different purity levels. Below, we have discussed the gold loan eligible amount based on LTV 75%, the gold purity and net weight.
|Purity of Gold in Carats||Gold Net Weight||Eligible Loan Amount|
|Anil has 22 carats of gold||50 grams||Rs. 2.29 Lakhs|
|Vinod has 20 carats of gold||60 grams||Rs. 2.50 Lakhs|
|Dinesh has 18 carats of gold||70 grams||Rs. 2.62 Lakhs|
State Bank of India accepts non-hallmarked as well as hallmarked gold jewellery for the loan. But, the highest per gram rate is reserved for hallmark jewellery. This reduces the chances of under-valuation, if any. A lower processing fee is also applicable for hallmarked ornaments. Below given are tips to avail the best loan against gold amount per gram:
Below mentioned are FAQs on gold loan SBI interest rate:
The starting rate of interest is 7.50% for personal gold loan SBI. The applicable interest rate will depend on the gold purity and weight. Other factors which may influence the rate of interest are loan amount and tenure, along with the repayment capacity of the borrower.
The starting interest rate is 7.50% for multipurpose gold loan SBI. The rate of interest depends on the gold net weight and purity. The type of gold and repayment capacity of the borrower will be considered to determine other factors such as the loan amount and tenure.
If you take agricultural gold loan from State Bank, then you can expect a concession of 1% to 2% on the standard rate of interest. You need to provide proof of land and farming activity to the bank. The LTV for such type of loan could be different than that applicable on other SBI gold loan schemes.
Yes, the bank offers discount on standard interest rate to regular or existing customers. However, to get a concession on the loan against gold rate of interest, the customer should have a history of consistent repayments with the bank. The borrower should have a proven track record on a previous loan with SBI.
To get the lowest possible rate of interest on State Bank gold loan, follow the below mentioned tips: