Vijaya Bank Gold Loan Interest Rates
Vijaya Bank gold loan interest rate starts at 11% and is up to 17% per annum. However, the rate of interest may vary with loan amount availed, scheme of loan and tenure of loan. The interest rate is subject to change on periodic basis. A gold loan can help meet any financial requirement, be is for business or personal. You can use the funds for any activity such as agriculture, home repair, business expansion, medical emergency, education, travel, big-ticket purchase, etc.
- You can repay the loan in 2 years or up to 30 months.
- Margin applicable in this loan is 25 to 30 percent.
- Applicant needs to be aged between 21 years and 70 years.
At Loanbaba, you will get all details about gold loans by Vijaya Bank and interest rates applicable.
|
Vijaya Bank Gold Loan
|
Loan Details
|
|
Loan Amount
|
Rs. 1000 minimum, maximum no limit
|
|
Interest Rate
|
11% to 17%
|
|
Tenure
|
12 months to 30 months
|
|
Guarantor
|
Not applicable
|
|
Type of Loan
|
Cash credit or Term loan
|
Vijaya Bank Gold Loan Interest Rates 2019 Information
Below-mentioned are details of Vijaya Bank Jewel Loan Interest Rate.
-
Agriculture purpose:
- Interest subvention cases- Short term crops where loan amount is less than Rs. 3 lakhs: 7%.
- Agriculture and allied cases- with no interest subvention
- Loans up to Rs. 2 lakhs: 1 year MCLR + 1.25% = 9.80%
- Loans above Rs. 2 lakhs: 1 year MCLR + 1.50% = 10.05%
-
Non agriculture purpose:
- Loans up to Rs. 2 lakhs: 1 year MCLR + 1.25% = 9.80%
- Loans above Rs. 2 lakhs: 1 year MCLR + 1.50% = 10.05%
-
Home loan borrowers:
- Loans up to Rs. 2 lakhs: 1 year MCLR + 1.25% = 9.80%
- Loans above Rs. 2 lakhs: 1 year MCLR + 1.50% = 10.05%
Vijaya Bank Gold Loan
Below-given are features of Vijaya Bank gold loan rate and loan scheme.
- Purpose: The main objective of this loan is to finance against security of gold ornaments and jewellery for domestic as well as productive reasons, like;
- Agriculture and allied purposes for cultivation of crop and investment such as in technology, minor irrigation (watershed development), purchase of live stocks, etc.
- Term loan or working capital finance (Cash Credit) to Traders, self-employed professionals, small businesses and other small and medium scale enterprises.
- Eligibility: All individuals who are ready to pledge self-owned/ spouse owned gold ornaments and jewellery are eligible to be financed under this scheme.
- You can avail funds in a term loan scheme as well as CC/ OD.
- Quantum of Loan: Minimum Rs. 1000 can be availed and there is no upper limit.
- Guarantor is not required for the loan.
- If you submit minted gold coins as security, then the total weight cannot exceed 50 grams in this case for a single borrower.
- A margin at the rate of 25 percent to 35 percent is maintained by the bank to calculate the loan amount.
- Processing fees: The bank does not charge any processing fees or documentation fee for this loan in most of the cases as special concession is given.
- Other charges: Jewel Appreciation Charges are applied at the rate of 0.507% of loan amount in rural areas and 0.563% of loan amount in other areas. The maximum amount of such charges is Rs. 253 plus GST in rural areas and Rs. 282 plus GST in other areas. The bank also charges account closure fees of Rs. 100 plus GST.
- Application along with the checklist can be downloaded from the Bank’s official website.
Vijaya Bank Gold Loan Interest Rate Calculator
Vijaya Bank gold rate starts at 11% and goes up to 17%. You can use Vijaya Bank gold interest rate calculator to understand how the rate of interest is calculated on the loan. Several factors are considered to determine a rate of interest, such as purity and weight of gold, loan amount, tenure, and other aspects, as mentioned below.
The loan amount will depend on purity and weight of gold, so does the interest rate. Higher the purity of gold asset, lower will be the rate of interest, and vice-versa.
- Relationship with the bank
Vijaya Bank offers a discounted rate of interest to existing customers. But new customers can also avail affordable rates if their repayment capacity is excellent, and the gold purity the highest.
A shorter tenure comes with higher rate of interest and a longer period applies lower rate of interest. Thus, it is wise to note the rate of interest over a loan period and select tenure based on your repayment capacity.
As per norms of RBI, you can get finance up to 75% of the gold’s market value. But the bank may offer a lower LTV as per the loan scheme. Lower rates of interest will apply on lending of higher LTV, and vice-versa.
Documents Required to Apply for Vijaya Bank Gold Loan
Vijaya Bank gold loan eligibility is not only about meeting the age criteria, gold loan weight and purity, but also able to submit the required documents as follow:
- Any one of the Identity proofs: Passport, Aadhar Card, PAN Card, Driving License, Voter’s ID Card
- Any one of the Address proofs: Aadhar Card, Rent Agreement, Bank Statement, Voter’s ID card, Utility Bills, etc.
Vijaya Bank Gold Loan FAQs
Below-given are frequently asked questions on Vijaya Bank Gold Loan Interest Rate and jewel loan scheme.
-
- What is the repayment period in case of Vijaya Bank Gold Loan CC Scheme?
This loan is generally sanctioned for a period of one year but can be renewed annually. The bank looks upon the account usage and renews the limit for a further period of one year.
- What security does the bank obtain from the borrowers for Vijaya Bank Gold Loan CC scheme?
The bank accepts 22 carat gold jewelleries or other gold ornaments bearing hallmark, as security for this loan. The approved jewel appraiser of the bank gives report regarding the quality of gold and the hallmark sign.
- How does the bank assess the credit limits to be sanctioned to a particular borrower for Vijaya Bank Gold Loan CC Scheme?
The bank has fixed its own limits per gram of gold to be sanctioned. The credit limit of the borrower is determined on the basis of these predetermined limits.
- At present the limit of the bank is Rs. 1900 per gram of gold for 22 carat gold/ gold jewellery/ gold ornaments as well as for hallmarked gold ornaments and jewellery.
- The bank will finance up to 65% of the value of gold appraised by the Jewel Appraiser of the bank.
- What is the minimum amount of loan that can be availed as Gold Loan from Vijaya Bank?
It is Rs. 50 thousand for urban/ metro/ Class A cities, Rs. 15 thousand for semi urban areas and Rs. 5 thousand for rural areas.
- What are the margin requirements of the bank?
The margin requirements are 25 to 35 percent.
- What are other benefits of gold loan Vijaya Bank?
The benefits of the jewel loan are mentioned below.
- The funds availed from the bank under Gold Loan Scheme can be utilized at various avenues such as in making house, MSMEs, retail trade, education, personal requirements, etc.
- The bank offers a flexible repayment tenure ranging from 12 months to 30 months.
- The bank offers “Operative Cash Credit Facility” against gold as a security under Vijaya Gold CC (Cash Credit) Scheme. In this facility the borrower is free to make any number of credit and debit facilities within the limits of the account.
- The borrower is free to choose the type of facility to be availed viz. Term loan or cash credit.
Disclaimer: Information is gathered from secondary sources and meant for reference only. Loanbaba is not a channel partner of Vijaya Bank for gold loan.
Looking for some good loan offers?
