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If you need immediate cash for emergency needs, then gold loan is emerging as the fastest and easiest option. Without lengthy process, without credit score and without heavy documents, this loan provides instant relief. Gold lying in homes has now become not just an investment but also a reliable support in difficult times.
New Delhi. In times of financial crisis, when money is needed immediately, gold loan proves to be the easiest and quickest solution. In comparison to traditional loans, there is neither a long wait nor the hassle of heavy documents. Just some basic papers and your gold jewelery are enough for the entire process. Many banks and NBFCs release the amount within a few hours, which makes sudden expenses easily covered. This is the reason why gold loan is becoming increasingly popular for emergency funding.
Low credit score? no problem
The biggest advantage of gold loan is that your credit score is not given importance in it. Even if you have a low score, or no score at all – you can still get a loan. The reason for this is that you pledge your gold as security. Banks and financiers only look at the value of your gold rather than your past financial history. This makes this option available even to those who do not have permanent proof of job or income related documents. Freelancers, small traders or people in the unorganized sector can also easily avail this facility.
smart use of gold
Eligibility for gold loan is very simple. In this, mainly three things are taken into consideration – the weight of your gold, its purity and your age (at least 18 years). Commonly used gold ranging from 18K to 24K is easily accepted. Not only this, you can take advantage of the value of the gold lying in your house which you probably do not even use, without selling it. After repaying the loan, the gold is returned in the same condition, which keeps your investment safe and also comes in handy at the time of need.
Flexible repayment options and secure process
Repaying a gold loan is as easy as taking it. You can choose EMI, pay only the interest upfront or deposit the entire amount in one go at the end of the tenure. Many institutions also offer the facility of pre-payment without any extra charges. Talking about security, banks and NBFCs keep your gold in a safe vault and with insurance coverage, so that there is no risk of theft or loss. The gold remains safe during this entire process and its safe return is guaranteed on completion of the period.
