Finance · Free tool
Gold Loan vs Personal Loan
Gold loans are secured (your gold is collateral) → cheaper, faster disbursal, lower CIBIL impact. Personal loans are unsecured → higher rate but you keep your gold. For short tenures, gold loans usually win.
₹5,00,000
24 mo
10.0%
13.0%
Gold Loan
EMI ₹23,072
Interest: ₹53,739
Personal Loan
EMI ₹23,771
Interest: ₹70,502
Gold loan saves ₹16,763 in total interest over 24 months.
FAQ
What if my gold loan rate jumps to 14%?
Then personal loan often wins. Check both at decision time. NBFC gold loans (Manappuram, Muthoot) are typically 10-12%; bank gold loans 8-10%.
Can my gold be auctioned?
Yes — if you default. RBI rules require lender to give 14-day notice + hold public auction. Repayment plus penalty restores possession.
Gold loan tenure max?
Typically 12 months for bullet; up to 24-36 months for EMI. Banks: longer tenures. NBFC: shorter, faster disbursal.