What is a Gold Loan, who can take it; what is the eligibility criteria
What is a Gold Loan According to the information given on the official website of the country's largest private sector bank HDFC Bank, the loan taken against gold ornaments is called a gold loan. When a person hands over his gold to the bank in exchange for a certain amount, it is placed in the category of gold loan.
Gold loan can be useful to you at the time of need of money. However, it is important to know things like what is a gold loan and who can take it-
According to the information given on the official website of the country's largest private sector bank HDFC, the loan taken against gold ornaments is called a gold loan. When a person hands over his gold to the bank in exchange for a certain amount, it is placed in the category of gold loan. This is a simple way with fewer documents to meet the need of money. The process of gold loan is easy and less time consuming. Now the question arises that what is the eligibility for taking a gold loan, that is, who can take a gold loan with what conditions.
Eligibility for Gold Loan
According to HDFC's official website, any Indian resident between the age of 18 and 75 years, who is a businessman, trader, farmer, employed or self-employed person can take a gold loan. Before giving a gold loan to any customer, the bank checks the eligibility of the person through its gold loan eligibility calculator.
Documents for Gold Loan
It is also important to know which documents the bank demands from its customers for this loan while taking a gold loan. If you are taking a gold loan, then this can be checked by visiting the official website of a specific bank. The documents demanded by the bank for gold loan can be the same-
One passport size photo
PAN card or Form 60
Along with the PAN card, it will be necessary to provide one of the documents mentioned below.
Which documents can be submitted along with PAN card-
Passport
Driving license
Voter ID card
Aadhaar card
In case of bullet repayment, agricultural customers can submit agriculture related business documents, PAN card and passport size photo.
Also read: You can identify pure gold with BIS Hallmark in a jiffy, just keep these 3 signs in mind
When should you take a gold loan?
It is also important to understand when you should take a gold loan. In response to this question, according to the bank, when you need money for a specific purpose, you can apply for a loan against gold. You can use this facility during an emergency.