Canara Bank Gold Loan per Gram in 2024 | IndiaGold
Canara Bank gold loan interest rates
Canara Bank Gold Loan Interest Rate is 9.25 % p.a
Getting a gold loan is a tedious and time consuming process, isn’t it? Well it turns out that we at IndiaGold have a solution for your problem. Now you can get Gold loans at your doorstep.
- 0.77%* Rate of Interest Per month (9.24% Rate on interest per year)
- Doorstep Gold Loan
- Money transfer in just 30 minutes*
- 100% Free Insurance on your gold
Loan Amount For Canara Bank Gold Loan
Rs 5000 - Rs 35 Lakh
Canara Bank Gold Loan Processing fees
Rs 1100 (Upto 5 Lakh loan amount) to Rs 1450 (Above 5 Lakh Loan amount)
Repayment period of Canara Bank Gold Loan
Swarna (Single Transaction Limit): The loan will be repaid within 12 months from the date of sanction as a bullet payment along with interest.
Interest will accrue to your account at monthly rests compounded, but you must pay both principal and interest when the loan matures.
Swarna Express (Single Transaction Limit): The entire loan will be repaid within six months from the date of approval and must be made in a single payment with interest. Interest will be accrued monthly, but only becomes due for payment with principal at maturity.
Overdraft: Interest is to be paid monthly. The loan period is 2 years, and the borrower must provide proof of income at least once every year.
Canara Bank Gold Loan Repayment schemes:
Bullet repayment: Bullet repayment is a method in which you pay interest and principal amounts at the end of a gold loan. During the loan term, you are neither required to pay interest nor principal; you make one final payment when your loan expires.
EMI Facility: By opting for this option, you can repay the interest amount as per the EMI schedule of the gold loan.
However, you will have to pay back the principal amount borrowed at maturity. This arrangement works wonders for most borrowers as throughout the loan tenure one is only liable for paying interest and not worrying about principal repayment.
Overdraft Facility: This is a popular service for self-employed people, as the financial requirements of such business people are often variable. Through this service, you can withdraw money according to your own needs.
Canara Bank Gold Loan process:
The gold loan process is very similar to that of other secured loans. In this case, you take your gold items to a lender along with the necessary paperwork. The lender assesses the gold items and confirms the paperwork presented.
The lender approves the loan amount based on the evaluations. According to the loan agreement, you must repay the main amount and the interest amount to receive the pledged gold objects.
Features of Canara Bank Gold Loan
Quick Processing
Because gold loans are secured by genuine gold, financial institutions can easily give them. Lending against gold is safer as financial institutions can quickly sell the gold if the borrower defaults. As a result, they typically disburse such loans within a few hours. Hence, processing times are reduced, resulting in more convenience for borrowers.
Although Canara Bank requires you for a doorstep visit for availing for a gold loan, you can simply get a gold loan at your doorstep with IndiaGold. The amount will be transacted within 30 minutes after processing. Submit your Phone No below and our executive will call you ( Lead gen box)
Low Interest Rates
Gold Loans in general have lesser interest rates because gold is kept as collateral. Cana Bank offers interest rates of 7.10 - 7.60% p.a
With indiagold, you get gold loans at just 0.77%* interest per month ( 9.24% per year) In contrast, banks and other financial institutions give personal loans at 15% - 40% interest per annum.
Minimal Documentation
Gold loans require the least amount of documentation because secured collateral is already in place. With indiagold, you’ll just be required to fill up a form and your relationship manager will be there to help you through your gold loan journey.
Poor Credit History Doesn’t Matter
In most cases, the bank determines the loan amount based on the borrower's repayment capabilities and credit history. This is not the case with gold loans, though.
Because gold is used as collateral, lenders are confident in the repayment of the principal component and do not base their decision on the borrower's credit history.
Benefits of Canara Bank Gold loan
- Gold loans can be used to fund your child's education.
- It can be useful for expanding business or working capital requirements or to buy a home
- It can be used to buy machineries which can help to improve agriculture efforts
- It can also be used to get a loan at competitive rates with no collateral requirements
- Can be used to fund any urgent emergency needs
- Flexible usage: Gold loans can be used for any purpose and no restrictions on where you can use the money
- Less Paperwork: The entire process from loan application to disbursement, hardly any paperwork is required. At India Gold we disburse your loans in just 30 mins* of the process
About Canara Bank
Canara Bank was founded by Shri Ammembal Subba Rao Pai, a great visionary and philanthropist, in July 1906, at Mangalore, then a small port town in Karnataka.
The bank also believes that financial inclusion is the only way to bring about inclusive growth and development in society.
The bank has been striving hard to achieve this goal through various programs and initiatives such as ‘Chai Pe Charcha’ (tea discussion forum), ‘Mukti Mission’ (financial literacy program), ‘Rurban Mission’ (financial empowerment initiative), ‘Lok Shakti Scheme’ (micro-credit scheme) and many more.
Canara Bank has been ranked among the top 20 banks in India for financial inclusion by World Bank Group for the fiscal year 2017-2018.
Types of Canara Bank Gold loan interest rates
- Fixed interest: The interest rate on such loans stays the same throughout the term of the loan.
- Reason of Lending: The interest rate on gold loans is often related to the motivation behind loaning. Banks normally offer lower rates of return for horticultural gold loans.
- Floating rate of interest: The rate of interest on a gold loan is not fixed and it keeps changing. In a gold loan, the EMI is related to the outside benchmarks that are decided by the bank. Since the rate isn’t fixed, the EMI on Gold credit might increase or decrease unexpectedly.
- Non Agricultural Gold loans: Non-agricultural gold loans are made to anyone who is not an agriculturalist. These loans are available to everyone, including salaried individuals, independently employed experts, financial specialists, ladies and females, housewives and students.
How to pay your Canara Bank Gold loan EMI?
For current holders of a Canara Bank account, there are two ways to transfer money:
- First, you can order a Standing Instruction (SI).
This is done by contacting the bank directly and requesting that money be transferred from your account to another person’s bank account.
- Second, you can request an Electronic Clearing Service (ECS) from Canara Bank. This involves using your computer to send the funds electronically.
At indiagold, you can pay EMIs via not only standing instructions or ECS, you can also use other modes of payment like UPI from Paytm, GPay, PhonePe, etc
FAQs
Can we pay canara bank gold loan online?
If you're making monthly payments on your EMI, you can do so online through the bank's website or in person by visiting the branch.
What is Canara Bank Gold loan interest rate?
Canara Bank’s Gold Loan interest rate is 7.10 - 7.60% p.a. Get lowest interest rate of 5.88% per year by applying for Gold loan at IndiaGold.
How to pay canara bank gold loan online?
EMI repayment can be made online through the bank's portal.
At indiagold, you can pay EMIs via not only standing instructions or ECS, you can also use other modes of payment like UPI from Paytm, GPay, PhonePe, etc
What is Swarna Loan Scheme?
Swarna Loan is a loan granted against the security of gold ornaments or specially minted coins sold by banks. It enables borrowers to meet medical expenses or pay for unforeseen commitments, such as those associated with the treatment of an illness or medical procedure.
What type of gold do you accept for gold loans?
At indiagold, all forms of gold jewellery are accepted, provided it is 18K and above. No gold coins, biscuits, and bars are accepted. The value and purity of gold are measured and assessed by experts and trained valuers.
What are the consequences of missing a payment on a due date?
The interest rates are subject to jumping interest rates if a payment is missed due to unforeseen circumstances.
The consumer will also be contacted by the loan manager to discuss the problem. Hence, indiagold advises making timely payments to take advantage of lower interest rates.
What are the documents required when applying for a gold loan?
Identity Proof - Aadhaar Card, PAN Card, Voter ID, Passport, or Driving License Address Proof - Aadhaar Card, Voter ID, Passport, Driving License, Utility Bill (Phone/Gas/Electricity/Water/Broadband, etc.) / Lease Agreement of a local address that matches the address on your utility bill (in case your permanent address is different from your current residential address) Form 60 or PAN Card Passport size photograph
What is LTV in Gold Loan?
The LTV ratio is 75% maximum, capped by the Reserve bank of India (RBI). For example, if you pledge gold worth Rs 1 Lakh, you can get a maximum of Rs 75,000 as Gold Loan.
