Manappuram Finance Gold Loa

Manappuram Finance Gold loan is for borrowers over 18 years of age. This NBFC provides rebates on interest payments to those who are regular with the EMI payments. You can pledge bank-purchased gold coins of up to 50 grams or self-owned gold jewellery as collateral. Both existing and new customers can apply for a loan against old at an attractive interest rate.

There are different repayment options to choose from. You can also select a short tenure, starting with a 1-day tenure. The Manappuram gold loan can fulfil your urgent fund requirements. Disbursals can take place in less than 45 minutes or the same day of the loan approval.

In this post, we will discuss Manappuram Finance gold loan features, gold loan schemes, repayment options, eligibility criteria, and eligibility calculation, documents required, interest rates, factors that impact the rate of interest, EMI calculation, loan application procedure, and FAQs.

Features of Gold Loan by Manappuram Finance Limited

Below-mentioned are the features of the jewel loan.

• The rate of interest starts from 12% to 29%. The rate depends on the gold weight and purity, loan to value ratio, borrower’s profile, and other factors
• Maximum quantum of finance up to Rs. 1 crore. The NBFC even offers low loan amounts starting at Rs. 1,000 only
• The tenure of the loan is between 1 day and 12 months
• The lowest EMI amount per Rs. 1 lakh is Rs. 8,885 at a 12% interest rate for a tenure of 12 months
• The financial institution has its own gold loan online app for loan applications and repayments
• Concessional interest rates are charges on specific-purpose jewellery loan schemes
• The customer care service is one of the best in the industry; know for a quick turnaround on queries
• Disbursal takes place within a few hours of the loan approval. The amount is deposited in the borrower's bank account
• There are no prepayment charges. So, you can prepay and foreclose the loan anytime without attracting penalties
• Rs. 10 is the processing fee. But you can pay it at the time of the loan settlement

Types of Manappuram Finance Limited Gold Loans

Here are a few popular gold schemes by the NBFC:

1. Online Gold Loan (OGL)

It was in 2016 that the NBFC launched the OGL scheme. The basis of the scheme is an overdraft facility. Once you place the gold with the company, you can take a loan, repay the interest, and as per your convenience – adjust the pledge. If you have idle gold, then the loan plan helps to safe-keep the asset, as well as provide funds. The service is available 24 x 7.

• It is fully secured as the ornaments receive 100% free insurance coverage
• Download the OGL mobile app, and track the account statement
• Avail of easy liquidity and funds at fingertips
• Enjoy paperless transactions from the mobile device
• You can repay interest as per your suitability
• Or, you may re-pledge from your comforts without traveling to the physical NBFC branch

2. SMS Gold Loan (SGL)

You can take a loan against gold even through SMS. But firstly, you have to pledge gold jewellery at a chosen Manappuram branch. The facility is available at all the branches. This includes even the Tier 3 and Tier 4 cities in the country. Thus, even the unbanked and economically backward population can access the loan. You can simply visit the branch to apply for a loan. You do not require a smartphone or internet for the funds. But you have to drop an SMS from the registered mobile number. After verification, you will receive the loan amount on your registered bank account.

3. Doorstep Gold Loan

Manappuram Finance Limited provider doorstep loan service to borrowers in select cities. Right now, the gold loan scheme at the doorstep is available in Chennai and Bengaluru. Under this facility, the customer can get the gold appraisal done at his/her residence. The loan disbursement is through IMPS or NEFT to the registered bank account. The gold assets receive free insurance coverage. The processing of the loan is quick so is the fund transfer. You can expect the funds in as little as 30 minutes.

Repayment Options for Loan against Gold

The NBFC offers different jewel loan products to meet your financial requirements. Below mentioned are the different repayment schemes on the loan.

• Bullet Repayment: In a bullet repayment option, you pay the entire principal borrowed at the end of the tenure. This helps reduce monthly payments, as every month you pay only a part of the interest component till the loan ends. This repayment option is specifically for loans against the gold of shorter tenures.
• Repayment through EMIs: The NBFC allows you to choose the option to repay via equated monthly instalments (EMIs). The EMI every month you pay consists of both the interest and principal component. Thus, by the tenure's end, you pay the loan entirely with no outstanding dues.

Eligibility Criteria for Manappuram Gold Loan

A loan against gold is multi-purpose. You can take it for business expenses and personal requirements. If you want to apply for a loan against gold from Manappuram Finance, then go through the following details:

• Anyone can avail of a gold loan by Manappuram Finance. This loan is available for even unemployed individuals and homemakers
• Your self-owned jewellery or bank-purchased coin is considered for security by the financial institution
• The loan is available for everyone over 18 years of age including professionals, salaried individuals, self-employed people, students, businesspersons, women, housewives, pensioners, etc.
• Gold jewellery or coin up to 50 grams with a purity of 18 carats to 22 carats

Manappuram Finance Limited Gold Loan Eligibility Calculation

You must have already gone through the eligibility criteria for a gold loan in the above-given section. Apart from those details, you must also know the Manappuram gold loan per gram is taken into consideration for eligibility calculation. The rate per gold gram for the loan gives an approximate loan amount you can get against gold jewellery/coin. It is on this basis that you will receive funds.

• The rate per gram and its price are decided on jewellery’s purity in the Manappuram gold loan eligibility calculation
• As per the latest gold prices, the NBFC provides a gold loan per gram between Rs. 2,524 to Rs. 3,085 (from lowest to highest)
• It is calculated at a maximum loan to value ratio of 75% for 18 carats to 22-carat purity

Documents Required to Apply for Gold Loan Manappuram Finance

Below mentioned are the documents needed to apply for a jewel loan.

• Basic KYC documents such as address proof and identity proof recognized by the government
• PAN card is mandatory
• For identity proof, you can submit any of the following: an Aadhaar card, Passport, Voter ID, Driving license, etc
• For address proof, you can submit any one of the following: Property registration copy, utility bills such as electricity bill or water bill, telephone bill, bank statement, rental agreement, etc.
• Depending on the scheme by the NBFC, a credit check may be conducted or not. If it needs to be conducted, then the financial institution will access your credit report to track repayment records

Manappuram Finance Gold Loan Interest Rates

Here are the details:

• The Manappuram Finance Gold Loan Interest Rate starts at 12%
• The rate of interest can extend up to 29% per annum
• The calculation of interest is on the daily outstanding balance in the loan account. The calculation is at the contracted rate
• The interest rate is fixed. Thus, through the tenure, the EMI amount will also remain fixed on the loan
• The rate depends on the gold's purity and weight, loan amount, tenure, and other specifications
• You can get discounted rates on loans taken for start-ups and farming purposes
• Penal interest is charged at 3% per annum. This is the contracted rate + 300 basis points. The rate applies to the due amount that you have to pay till the account closes or regularizes

What Determines the Manappuram Finance Gold Loan Interest Rate?

The Manappuram gold loan rate is 12%, and there are many factors taken into consideration by this NBFC to calculate the rate of interest on the jewellery loan. Some of these are discussed below:

1] Loan Amount

Manappuram gold loan interest rate calculation takes into account the amount of loan based on the purity and weight of the gold you pledge to the financial institution. Usually, banks and NBFCs offer a jewellery loan per gram of gold. This rate differs as per gold purity and the offered loan to value ratio. Financial institutions offer a lower rate of interest on higher amounts, and Manappuram offers a quantum of finance between Rs. 1,000 and Rs. 1 crore.

2] Purpose of Loan

All financial institutions offer gold loans for women and agricultural purposes at discounted rates. Funds for farming activity are offered at concessional rates because agriculture is counted in priority sector lending. The rates are discounted by 1% to 2% of the standard rate of interest.

3] Loan to Value Ratio (LTV)

The maximum loan to value ratio for gold jewellery as per RBI norm is 75%. However, it is upon the NBFC to provide loans at lower LTVs. The rate of interest on a loan with a lower LTV will be lower as against a loan with a higher LTV. The LTV depends on the net weight and purity of the pledged gold.

4] Loan Tenure

A higher rate of interest generally applies on jewel loans of shorter tenure and vice-versa. Under gold loan schemes by this NBFC, you can get tenure between 1 day and a maximum of 12 months, thus, the rate of interest will be influenced accordingly.

5] Relationship with the NBFC

The financial institution provides special interest rates, charges, and offers for existing customers who have made their payments on time. Similarly, if a customer has had a bad relationship with Manappuram Finance, he/she is unlikely to get a loan approval or a lower rate of interest.

Manappuram Finance Gold Loan EMI Calculation

You can access the free-of-cost loan EMI calculator on Loanbaba. This calculator calculates the EMI amount readily once you enter the details in the calculator, such as the loan amount, rate of interest, and tenure. The lowest EMI charged by the NBFC for Rs. 1 lakh counted on 12 months tenure and the 12% interest rate is Rs.8, 885.

Manappuram gold loan EMI calculator works on the following formula:

E = P x r x (1+r) ^n/((1+r) ^n - 1)

• E is the EMI to pay every month
• P is the original amount borrowed
• R is the applicable interest rate
• Outstanding loan amount
• The opening balance
• Equated monthly instalment
• A breakup of both principal borrower and interest amount
• N is the tenure in months

The EMI calculator informs you about the monthly instalment amount as well as the total interest amount payable over the entire tenure. You can adjust the slider of the interest rate to fix it on a desired rate of interest and do the same to fix the tenure in years or months to know the best combination of both for a suitable and affordable EMI.

How to Apply for Manappuram Gold Loan?

Loanbaba is not a channel partner of Manappuram Finance, but you can still avail of the jewel loan schemes by this NBFC by directly walking into its branch office in an area accessible to you. You can, however, compare the jewel loan details by each bank and NBFC on our website to know the best option, as well as get details of the Manappuram gold loan on this page to make an informed decision.

• Offline Application Process: If you choose Manappuram Finance for a loan against gold, then talk to one of their customer representatives in their branch office and fill the loan application form. Submit all necessary documents and get the gold evaluated. After verification of documents and jewellery valuation, a loan amount, rate of interest, and tenure will be finalized. The disbursal of funds would be quick, particularly on the same day of the loan approval.
• Online Application Process: You can also apply for the jewel loan by Manappuram on the financial institution's official website or the online gold loan app (useful for a loan application, tracking of application, checking loan balance, and making repayments). You will find the loan application form on either of these platforms. Proceed to submit a soft-copy of the required documents with the duly filled application form.

  After you submit the form, a customer care executive will get in touch with you shortly and guide you ahead. You may have to visit the nearest branch office of the NBFC for gold valuation, after which details of the loan amount, tenure, and interest rate will be decided. Disbursal will be quick.

Frequently Asked Questions about Gold Loan Manappuram Finance

Below-mentioned are the FAQs about the Manappuram gold loan in India.

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