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India is home to enormous quantities of gold, most of which reside in our homes and bank lockers. During unforeseeable circumstances, we often mortgage this gold and get some handy cash in return. Gone are the days, when you used to keep it as collateral to the local jeweler at unreasonable interest rates. Nowadays, banks and financial institutions are extending gold loan Varanasi at lucrative rates so that you can make the most out of the mortgaged gold. Wish to know more about a loan against gold in Varanasi and how you opt for it? Today, Bhumi Finance will explain you everything through this very article. So, read till the end.

What is a gold loan?

A gold loan is a type of secured loan that one can avail of by keeping gold ornaments as collateral with a bank or some financial institution. The bank or the financial institution will give you a loan amount based on the market value of your gold. And after you complete repaying the loan amount and interest at the end of your chosen tenure, your gold is returned. Opting for a gold loan has become hassle-free with financial institutions like Bhumi Finance.

Who can get a gold loan?

Any individual who is 18 years old or above the age of 18 can opt for a gold loan Varanasi from any bank or financial institution. With all your documents in place, at Bhumi Finance, we can disburse the loan amount within just 45 minutes over the counter. Here is the list of all the documents that you require:

• Two passport-size photographs
• Any one of your identity proofs (passport, driving license, Aadhaar card, etc.)
• Any one of your address proofs (electricity bills, phone bills, ration card, etc.). If you don't have a PAN card, you can submit Form 60.

That’s all. So, what are your waiting for? Get all your documents and reach out to us at Bhumi Finance now.

All you need to know about repayment tenure and repayment options

The repayment tenure for gold loans is usually between six months and two years, depending on the lender. At Bhumi Finance, the tenure of the best gold loan in Varanasi starts from 6 months and can go up to 24 months. In some cases, we offer an extension on the tenure by renewing your loan. However, this could incur more interest, which means a higher payout.

Banks and financial institutions offer multiple repayment options that you can choose from based on your preference and convenience. Some of them are:

• Regular EMIs: Repayment is in the form of EMIs. This is the most common type of repayment option.
• Upfront interest: Here, you need to pay the entire interest at the beginning of tenure and the principal amount at the end.
• Bullet repayment: There is no EMI involved here. All you pay is the principal amount and interest, and that too together but at the end of the loan tenure.

• Overdraft facility: This is a facility where you pay interest only on the utilized amount. That’s all.

In case, you are unable to pay the loan, then the bank or the financial institution has the right to auction your gold to recover the remaining loan amount. So, before you apply for a personal loan against gold, be clear about your repayment capacity.

How can one get a gold loan?

Once you have considered everything and you make up your mind to apply for a maximum loan against gold, you can reach out to any bank or financial institution in the following manner:

• Reach out to the lender with the gold.
• After assessing its purity, they will tell you the loan amount that you can borrow. As per RBI guidelines, this amount can be up to 75% of the value of the gold. 
• You have to pay a processing fee which is charged as per the bank’s or the financial institution’s policy. 
• Once paid, within 45 minutes or a day, you will receive the amount.

Easy? Now, avail of loan against gold in Varanasi at lucrative interest rates from Bhumi Finance. Reach out to us at https://bhumifinance.com/.