Bank of Baroda Gold Loan Interest Rates

If someone needs money right away, they can apply for a Bank of Baroda Gold Loan by offering their own gold, jewelry, or coins as security. With rapid processing and disbursal, the Bank of Baroda offers gold loans at an interest rate of 7.70% + SP and higher. Gold-based security or collateral is safely returned upon timely and complete repayment of the loan amount.

Details of the Bank of Baroda Gold Loan

Bank of Baroda Gold Loan Interest Rate

7.70%

Loan Amounts

Rs. 25 lakhs

Age 

18 Years - 75 Years

Tenures

1 Year

Accepted Gold

Banks sell ornaments, jewelry, and specially struck gold coins (Min. 18 K gold)

Processing Fees

Rs. 25 per lakh + GST

Characteristics of the Bank of Baroda Gold Loan Schemes

  • The Bank of Baroda gold loan provides customers with a straightforward solution to meet all kinds of personal needs, including weddings, education, and business expansion.
  • Loan Minimum: The minimum loan amount begins at INR 25,000.
  • The maximum loan amount for the Bank of Baroda gold loan is INR 10 lakhs because it is a secured loan.
  • Storage: After the full loan has been repaid, you can retrieve the gold jewelry you gave the bank as collateral from the bank's safe.
  • Gold Loan Amount Per Gram: The gold loan amount per gram fluctuates depending on the purity of the gold and market prices, ranging from INR 1755 to 2145.
  • Gold Loan Tenure: The Bank of Baroda gold loan has a maximum 12-month repayment term.
  • Processing Fees: For a gold loan from the Bank of Baroda, the borrower must pay a processing charge equal to 0.50% of the loan amount.

Interest: The interest rate for a gold loan from the Bank of Baroda is one-year MCLR plus a strategic premium plus 3%.

Bank of Baroda Gold Loan Interest Rate 2022

The interest rate for an Agri gold loan is 7.30% per year for amounts up to Rs. 3 lakh - 1-year MCLR + Strategic Premium. The interest rate for others is 7.55% p.a.

Agri Gold Loan: More than Rs. 3,00,000 lakh and up to Rs. 10,00,000 lakh - 1-year MCLR + Strategic Premium to 1-year MCLR + Strategic Premium + 0.25%, which is 7.55% p.a. The interest rate for other sorts of gold loans is 7.8% p.a.

More than Rs. 10,00,000 lakh and up to Rs. 25,00,000 lakh: 1-year MCLR + Strategic Premium + 0.25% to 1-year MCLR + Strategic Premium + 0.50%, which works out to 7.8% per year for Agri Gold Loan and 8.05% per year for other forms of Gold Loan.

Who is Eligible for the Bank of Baroda Gold Loan Scheme?

A gold loan from BOB is available to anyone who has gold jewelry or decorations. With the exception of speculative purposes, the loan can be utilized for any purpose and will take the form of a demand loan.

Required Documents of the Bank of Baroda Loan Scheme

To apply for a Bank of Baroda Gold Loan, a client must provide the following supporting documentation.

  • Recently taken passport-size photos
  • Filled out and properly signed the application form
  • Any one of the following documents can serve as identification: a PAN card, passport, voter ID, driver's license, or Aadhaar card.
  • Any one of the following could serve as residence proof: ration card, passport, current utility bills, or Aadhaar card.

Types of Gold Loan Schemes From Bank of Baroda Based on the Bob Gold Loan Interest Rate

  • Fixed-rate loans: These loans have an interest rate that doesn't change during the course of the loan.
  • Interest that fluctuates: Gold loans have a varying interest rate that is not constant. In such a loan, the bank-determined external benchmarks are tied to the loan cost. The EMI on a Gold credit could change abruptly because the rate isn't set.
  • Non-Agricultural Gold Advances: Non-agricultural gold advances are loans made to anyone who is not an agriculturalist. All persons, including salaried, self-employed professionals, financial experts, women, females, housewives, students, etc., have access to these loans.
  • Reason for Loan: The purpose of the loan typically determines the interest rate for gold loans. For any type of agricultural gold credit, the banks often give a lesser rate of return.

How to Apply for the Bank of Baroda Gold Loans

Customers of the Bank of Baroda can easily apply for gold loans from the bank. The loan can be obtained in two ways.

  • Walk-in: With the necessary paperwork and their gold items, a consumer can enter the Bank of Baroda branch that is closest to them. After completing a brief form, the gold is assessed, and the gold loan is approved the following business day.

  • Online registration: It is also an option for customers, who can visit the Bank of Baroda website, complete the application, and upload supporting documentation. To deposit their gold, individuals must, however, go to a Bank of Baroda location.

The Procedure of the Gold Loan Scheme From the Bank of Baroda

A gold loan process consists of the following steps.

Step 1: The purity of the gold is examined to determine the loan amount.

Step 2: The market price per gram of gold is examined, and the price from the previous day is taken into account.

Step 3: At this point, the Loan to Value (LTV) is chosen. The RBI has established a maximum LTV value of 75%.

Step 4: The lender will begin processing your application when you have agreed to the loan's terms and amount. The loan amount is reduced by processing fees and other costs.

Step 5: The gold loan amount is disbursed to your account when you sign the final contract.

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