Gold is a lucrative investment, offering great returns at low risks, with Indians accounting for a major portion of gold purchased globally. A unique advantage of investing in gold is the liquidity it offers, with it easy to avail a loan against it. HDFC Bank offers a specialised gold loan scheme, Sampoorna Bharosa Gold Loan, designed to provide financial aid to individuals in lieu of their gold. Available across all HDFC branches in the country, it is an easy to avail loan which can be used to meet multiple financial requirements.
Some of the distinguishing features of HDFC Sampoorna Bharosa Gold Loan are highlighted below.
Interest rates charged by HDFC on its Sampoorna Bharosa Gold Loan vary depending on the loan tenure, amount and borrower. Current rates range between 9.70% per annum and 20.18% per annum, with the quality of gold also playing an important role in determining this rate. Average rates charged by HDFC Bank fall in the range of 12-13% per annum, making it highly competitive.
HDFC Bank offers special rates to women and existing customers of their products and services.
Note: Rates mentioned above are as of May 2016, with these rates subject to change without any notice. Applicants should check the rates applicable before availing a loan.
Individuals who wish to avail this gold loan need to satisfy a few basic criteria.
Documents required for HDFC Gold Loan
HDFC has minimised the documentation process for this loan offering, with a single page procedure in place. The following documents need to be submitted in order to process an application.
HDFC Bank might ask for any other documents it feels are necessary to complete application formalities.
The table below highlights the various charges associated with this gold loan.
|Fee/Charge type||Fee/charge amount|
|Processing fee*||0.5% of loan amount|
Max – 1%
Borrowers can also approach the bank to waive off such charges
Max – Rs 500, for loans over Rs 1.5 lakhs
Min – Rs 250, for loans up to Rs 1.5 lakhs
|Renewal charges||Rs 250 (maximum)|
*Note: HDFC Bank may choose to waive the processing fee, at its sole discretion, based on its relationship with a borrower.
HDFC’s Sampoorna Bharosa Gold Loan has been designed as an over the counter loan, with it possible to avail a loan in under an hour, subject to applicants meeting certain basic eligibility criteria.
This loan comes with flexible repayment tenures, ranging between 6 months and 4 years.
A. The minimum loan amount has been kept at Rs 50,000 for urban markets. Rural borrowers can avail loans below this amount, with HDFC Bank open to offer loans on the basis of individual requirement.
Yes, this loan can be used only for personal/business use, with HDFC prohibiting the use of this loan to purchase gold, land or market speculations.
Yes, existing customers can negotiate interest rates with the bank, availing an opportunity to lower rates.
Yes, individuals can apply for this loan online, by logging onto the official website of HDFC Bank, India.
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