Allahabad Bank Gold Loan

star star star star star_half 4.5 / 5.04 users
Allahabad Bank Gold Loan Details Updated on 12th May 2021
Loan Amount Up to 85% of the pledged gold asset’s market value
Loan Tenure Up to 12 months
Interest Rate 7% onward

Allahabad Bank Gold loan is now Indian Bank Gold Loan after the merger of both the banks, with effect from 1 April 2020. The jewel loan schemes are for personal and emergency purposes as well as agriculture requirements. The interest rate is from 7% onward with EMI as low as Rs. 583 per month for Rs. 1 lakh loan. Any eligible individual over 18 years of age can apply for the loan against gold. The loan amount is up to 80%-85% of the gold asset’s current market value for agricultural purposes. LTV for other jewel loans is up to 70% of the gold’s market value.

In this post, we will discuss Allahabad Bank gold loans and Indian Bank gold loan features with product details, interest rates, and frequently asked questions.

Features of Allahabad Bank/Indian Bank Gold Loan

Here are the combined aspects of the previous gold loan scheme by Allahabad Bank, and the current gold loan by Indian Bank:

Old Gold Loan Scheme Features of Allahabad Bank:

  • The bank will take gold (jewellery, ornaments, coins, biscuits, etc) as security. The loan repayment period for Term Loan is 60 months and for Cash Credit is on demand.
  • The valuation of gold (ornaments, jewellery, coins, etc.) will be done by the Jewel Appraiser/Shroff approved by Allahabad Bank. The borrower has to pay the valuation charges.
  • The bank will disburse the loan via credit to the borrower’s CC or SB account or any other relevant account.

New Scheme Features of Gold Loan Indian Bank:

  • The Indian Bank gold loan is for crop cultivation and related credit requirements, allied activities such as fisheries, poultries, dairy, repairs of farm assets, purchase of pesticides, fertilizers, seeds, and repayments for non-financial institutional lenders, and more.
  • All individual farmers can apply for this loan against gold.
  • The Indian Bank Agricultural Jewel Loan Scheme has a hassle-free loan process. It has low-interest rates and a convenient repayment mode, no hidden charges, but processing charges and jewel appraises will come to effect.
  • The tenure for an agri-gold loan is up to 6 months. And the tenure for other loans against gold is up to 12 months.
  • Bumper Agri Jewel Loan provides up to 85% of the gold asset’s market value pledged at the bank. The scale of finance may also depend on the borrower’s requirements or unit cost approved by the NABARD/DLTC, whichever is lower.
  • For other jewel loan products of the Indian Bank, you can get up to 80% of the asset’s market value or scale of finance or the actual unit cost approved by NABARD/DLTC, whichever is lower.

Allahabad Bank Gold Loan Interest Rates

The Allahabad Bank Gold Loan interest rate charged is related to various factors. As per the erstwhile schemes, the interest rates ranged between 10.20% and 12.45% per annum. The bank can change the rate from time to time. After the amalgamation of banks, the current Indian Bank gold loan interest rate is 7% (floating) onward for Bumper Agri Jewel Loan. The EMI comes to Rs. 583 per lakh per month

  • Loans linked to the base rate are Non-priority staff jewel loans, non-priority jewel loans, secured overdraft against gold jewellery, and agriculture gold loan
  • The MCLR is 7.30%. The applicable base rate is 8.30% per annum
  • The Benchmark Prime Lending Rate is 12.55% per annum

Previous Interest Rates on Gold Loan by Allahabad Bank:

Loan Purpose Interest Rate
For Agricultural purposes

1.For loan up to Rs.50000/-, Base Rate (10.20%)

2.For loan of Rs.50000/- to Rs.2 lakhs – Base Rate +1.00% = 11.20%

3.For loan of Rs.2 lakhs to Rs.5 lakhs – Base Rate + 2.00% = 12.20%

For domestic/consumption/medical purposes

1.For loan of Rs.3 lakhs - BR + 2.25% = 12.45%

2.For loan of Rs.3 lakhs to Rs.5 lakhs - BR + 4.00% = 14.20%

For business purposes

1.For loan of Rs.3 lakhs - BR + 2.25% = 12.45%

2.For loan of Rs.3 lakhs to Rs.25 lakhs - BR + 4.00% = 14.20%

Allahabad Bank Gold Loan Frequently Asked Questions

Here are the FAQs for gold loan:

  • addFAQs
    1. What are the details of the loan amount provided for a loan against gold by the bank?
    2. Here are the details of the loan amount as per pre-amalgamation time:

      Loan Amount:

      Nature of Loan Loan Amount
      For Agricultural purposes

      Minimum Rs.5,000/-
      Maximum Rs.5 lakhs

      For domestic/consumption/medical purposes

      Minimum Rs.20,000/-
      Maximum Rs.5 lakhs

      Loan for business purposes

      Minimum Rs.50,000/-
      Maximum Rs.25 lakhs

    3. What are the eligibility criteria for availing Loan against Gold?
      • The applicant must be above 18 years in age and below 70 years.
      • The applicant can use this loan for farming and related activities, domestic, consumption and medical purpose and different business needs.
      • The loan will peg a 25% margin of the gold’s total valuation.
    4. What is the Maximum Permissible Bank Finance (MPBF)?
      • For Business Needs – The loan amount disbursed will be based on business needs.
      • For Agriculture Purpose – The loan amount disbursed will be based on the Cropping Pattern.
      • In other cases – The loan disbursed will be the lowest, that is; 75% of the gold’s market value.
    5. What Are the Documents of the Jewel Loan?
    6. Here are the required documents for the Indian Bank gold loan application:

      • A duly filled and signed loan application form.
      • Proof of agricultural land and proof of cultivating the crop all in the name of the applicant.
      • Any one of the identity proofs that are government-recognized such as Voter ID Card, Aadhaar Card, Driving Licence, Passport, etc.
      • Any one of the address proofs that are government-recognized such as Passport, Voter ID Card, Driving Licence, Aadhaar Card, etc.
    7. Why choose Allahabad Bank Gold loan?
    8. The Allahabad bank has an attractive offer on a gold loan. It charges a nominal rate of interest. The loan amount can be used for a desirable purpose. Loan tenure is flexible and one can get the maximum amount as per the gold weight. The procedure for loan sanctioning is transparent and the bank has helped several customers fulfil their financial needs with a loan against gold.

Disclaimer: Information is gathered from secondary sources and meant for reference only. Loanbaba is not a channel partner of Allahabad Bank/Indian Bank Gold Loan.

Allahabad Bank Gold Loan Details Updated on 12th May 2021
Loan Amount Up to 85% of the pledged gold asset’s market value
Loan Tenure Up to 12 months
Interest Rate 7% onward

Allahabad Bank Gold loan is now Indian Bank Gold Loan after the merger of both the banks, with effect from 1 April 2020. The jewel loan schemes are for personal and emergency purposes as well as agriculture requirements. The interest rate is from 7% onward with EMI as low as Rs. 583 per month for Rs. 1 lakh loan. Any eligible individual over 18 years of age can apply for the loan against gold. The loan amount is up to 80%-85% of the gold asset’s current market value for agricultural purposes. LTV for other jewel loans is up to 70% of the gold’s market value.

In this post, we will discuss Allahabad Bank gold loans and Indian Bank gold loan features with product details, interest rates, and frequently asked questions.

Features of Allahabad Bank/Indian Bank Gold Loan

Here are the combined aspects of the previous gold loan scheme by Allahabad Bank, and the current gold loan by Indian Bank:

Old Gold Loan Scheme Features of Allahabad Bank:

  • The bank will take gold (jewellery, ornaments, coins, biscuits, etc) as security. The loan repayment period for Term Loan is 60 months and for Cash Credit is on demand.
  • The valuation of gold (ornaments, jewellery, coins, etc.) will be done by the Jewel Appraiser/Shroff approved by Allahabad Bank. The borrower has to pay the valuation charges.
  • The bank will disburse the loan via credit to the borrower’s CC or SB account or any other relevant account.

New Scheme Features of Gold Loan Indian Bank:

  • The Indian Bank gold loan is for crop cultivation and related credit requirements, allied activities such as fisheries, poultries, dairy, repairs of farm assets, purchase of pesticides, fertilizers, seeds, and repayments for non-financial institutional lenders, and more.
  • All individual farmers can apply for this loan against gold.
  • The Indian Bank Agricultural Jewel Loan Scheme has a hassle-free loan process. It has low-interest rates and a convenient repayment mode, no hidden charges, but processing charges and jewel appraises will come to effect.
  • The tenure for an agri-gold loan is up to 6 months. And the tenure for other loans against gold is up to 12 months.
  • Bumper Agri Jewel Loan provides up to 85% of the gold asset’s market value pledged at the bank. The scale of finance may also depend on the borrower’s requirements or unit cost approved by the NABARD/DLTC, whichever is lower.
  • For other jewel loan products of the Indian Bank, you can get up to 80% of the asset’s market value or scale of finance or the actual unit cost approved by NABARD/DLTC, whichever is lower.

Allahabad Bank Gold Loan Interest Rates

The Allahabad Bank Gold Loan interest rate charged is related to various factors. As per the erstwhile schemes, the interest rates ranged between 10.20% and 12.45% per annum. The bank can change the rate from time to time. After the amalgamation of banks, the current Indian Bank gold loan interest rate is 7% (floating) onward for Bumper Agri Jewel Loan. The EMI comes to Rs. 583 per lakh per month

  • Loans linked to the base rate are Non-priority staff jewel loans, non-priority jewel loans, secured overdraft against gold jewellery, and agriculture gold loan
  • The MCLR is 7.30%. The applicable base rate is 8.30% per annum
  • The Benchmark Prime Lending Rate is 12.55% per annum

Previous Interest Rates on Gold Loan by Allahabad Bank:

Loan Purpose Interest Rate
For Agricultural purposes

1.For loan up to Rs.50000/-, Base Rate (10.20%)

2.For loan of Rs.50000/- to Rs.2 lakhs – Base Rate +1.00% = 11.20%

3.For loan of Rs.2 lakhs to Rs.5 lakhs – Base Rate + 2.00% = 12.20%

For domestic/consumption/medical purposes

1.For loan of Rs.3 lakhs - BR + 2.25% = 12.45%

2.For loan of Rs.3 lakhs to Rs.5 lakhs - BR + 4.00% = 14.20%

For business purposes

1.For loan of Rs.3 lakhs - BR + 2.25% = 12.45%

2.For loan of Rs.3 lakhs to Rs.25 lakhs - BR + 4.00% = 14.20%

Allahabad Bank Gold Loan Frequently Asked Questions

Here are the FAQs for gold loan:

  • addFAQs
    1. What are the details of the loan amount provided for a loan against gold by the bank?
    2. Here are the details of the loan amount as per pre-amalgamation time:

      Loan Amount:

      Nature of Loan Loan Amount
      For Agricultural purposes

      Minimum Rs.5,000/-
      Maximum Rs.5 lakhs

      For domestic/consumption/medical purposes

      Minimum Rs.20,000/-
      Maximum Rs.5 lakhs

      Loan for business purposes

      Minimum Rs.50,000/-
      Maximum Rs.25 lakhs

    3. What are the eligibility criteria for availing Loan against Gold?
      • The applicant must be above 18 years in age and below 70 years.
      • The applicant can use this loan for farming and related activities, domestic, consumption and medical purpose and different business needs.
      • The loan will peg a 25% margin of the gold’s total valuation.
    4. What is the Maximum Permissible Bank Finance (MPBF)?
      • For Business Needs – The loan amount disbursed will be based on business needs.
      • For Agriculture Purpose – The loan amount disbursed will be based on the Cropping Pattern.
      • In other cases – The loan disbursed will be the lowest, that is; 75% of the gold’s market value.
    5. What Are the Documents of the Jewel Loan?
    6. Here are the required documents for the Indian Bank gold loan application:

      • A duly filled and signed loan application form.
      • Proof of agricultural land and proof of cultivating the crop all in the name of the applicant.
      • Any one of the identity proofs that are government-recognized such as Voter ID Card, Aadhaar Card, Driving Licence, Passport, etc.
      • Any one of the address proofs that are government-recognized such as Passport, Voter ID Card, Driving Licence, Aadhaar Card, etc.
    7. Why choose Allahabad Bank Gold loan?
    8. The Allahabad bank has an attractive offer on a gold loan. It charges a nominal rate of interest. The loan amount can be used for a desirable purpose. Loan tenure is flexible and one can get the maximum amount as per the gold weight. The procedure for loan sanctioning is transparent and the bank has helped several customers fulfil their financial needs with a loan against gold.

Disclaimer: Information is gathered from secondary sources and meant for reference only. Loanbaba is not a channel partner of Allahabad Bank/Indian Bank Gold Loan.

Need Help?

Akshar Blue Chip IT Park, 703, Thane - Belapur Rd, Turbhe, Navi Mumbai, Maharashtra 400705

Subscribe to our newsletter

  • Mobile Apps
  • googleplay-loanbaba.com
close
Top

Did not find what you were looking for?

Browse through our Knowledge Bank for more articles.

Loanbaba Blog

Check your Loan eligibility!

Apply for a Loan online: