Gold Loan Fees and Charges

There are many advantages of availing a gold loan compared with any other form of loan from a bank; hence, more and more people are opting for it. A gold loan is something that almost anyone can take, and it is best to be aware of its basic details and requirements.
Here is all you need to know about gold loans:

List of fees and charges implied
A processing fee is charged on every loan, which is generally counted at a maximum 1% (plus GST) of the total loan eligibility. The limit of your loans is directly proportional to the value of gold assets you provide. However, the maximum loan amount is Rs.25 lakhs if you are new to the bank and Rs.50 lakhs for existing customers. The LTV – loan to value – ranges from 65% to 75%.

Fees & Charges

Loan	Gold Loan
Interest Rate	10.5% to 17% depending on purpose & profile and discretion of bank
Loan Processing Charges	Upto 2% of Loan amount
Documentation Charges	Nil
Stamping Charges	Applicable as per the respective State's Stamp Act
Credit Administration Charges	NIL
Credit Appraisal Charges	Minimum Rs. 250, Maximum Rs. 2000, Based on number of ornaments, Weight & Bank Loan, first appraisal Minimum Rs. 250, Maximum Rs. 2000, Based on number of ornaments, Weight & Bank Loan, second appraisal if required as per bank Norms No appraisal charge for auto renewal
Commitment Charges	Rs. 1250/- per quarter or 0.5% per quarter of the limit un-utilized (applicable only to Overdraft facility where average quarterly limit utilization is below 50%)
Overdue Interest	3% of Overdue Amount, compounded monthly
Collection Charges	At the discretion of bank subject to maximum 30% of overdue amount
Dishonour Charges Per Instance	Rs. 750.0/-
Swap Charges( Replacement of PDCs)	Up to Rs. 500/- per Swap per Instance
Prepayment Interest / Forclosure Charges	2.25% of fore closure amount if closed 1 month ahead of the tenure. However charges may be waived of partially or fully at the discretion of Bank.
Duplicate Issue of NOC	NA
Solvency Certificate	NA
No Due Certificate	NIL to Rs. 50 as per discretion of bank
Charges for furnishing a copy of the credit information report (CIBIL) to the applicant.	Rs. 50/- plus service tax
Charges applicable in case customer requests for copies of records pertaining to his transactions ( SOA / Amortization Schedule)	First instance without any charge. Post that, Rs. 250/- per request.
APAC Reschedulement	-
Part Foreclosure Charge	-
Part Foreclosure Charge	-
Payment Processing Charge	-
Valuation Charges for Used/RF Vehicles	-
Valuation Charges for Used/RF Vehicles	-
Repossession Charges	-
Credit Adminstration Charges	-
Duplicate Foreclosure Statement Charges	-
NOC for National Permit	-
NOC for State Permit	-
NOC for Change in Body Type	-
Rebooking of Loans (due to change in borrowing structure, change of property / Asset / Collateral etc.)	-
Change in Installment Due Date	-
Change in Property / Asset / Collateral	-
Copy of Any Property/Loan Document	-
Asset Verification Charges - Immovable Assets	-
Legal / Incidental Charges*	Actual charges
NOC to Convert From Private to Commercial Registration	-
NOC to Convert From Commercial to Private Registration	-
Re-issuance of Pay Order	-
Non Compliance with Sanction Terms and Conditions	-
End-use Certificate Delays	-
Net Worth Statements Delays	-
*Taxes as applicable
"Blank / -" denotes that these charges are not applicable to the concerned business division

Know your interest/principle/EMIs to be paid
Like any other loan, gold loans will have an interest and principle component and an EMI. If you want to find the loan amount you can avail against the gold you own, you can use our gold loan calculator. You can adjust the principle amount and term to calculate your EMI (equated monthly instalment).

Benefits of availing a gold loan from Kotak Bank
Gold loans are granted almost immediately, and the interest rate, fees, and charges on these loans are extremely pocket friendly. These loans can be one of the best options when you need money urgently.
Know and explore more about gold loan to get instant funds for your personal or business needs.

Frequently Asked Questions

What is a Gold Loan?

It is a loan secured against the gold ornaments/Bank coins which a customer pledges with the bank. The loan amount can be utilized for personal/business & any other non-speculative purposes. It’s a loan which can be availed quickly and easily instead of going to Pawn broker with higher rate of interest