How does the loan sanction process differ for digital gold loans versus personal gold loans?

Both use gold as security. However, the way the loan gets approved isn’t the same. The big difference is where the gold sits and how quickly a lender can verify it.

Digital Gold Loans

• Online start to finish: You apply on the app/portal. Your digital gold units are already recorded with the partner platform, so value shows up in real time.
• Fast sanction: Once you confirm the pledge, approval is near-instant because there’s no ornament to test or move.
• Easy servicing: Interest or EMIs are set up online; repayments run through your linked account. If you prepay, the loan can be closed digitally.

Personal Gold Loans

• In-person checks: You visit a branch or pickup point. Staff clean, weigh, and test purity before fixing value.
• Same-day, not instant: After appraisal, the lender sets the eligible amount and disburses, usually that day, but there’s a short wait.
• Paperwork and storage: You sign KYC and the agreement at the counter; the jewellery goes into the lender’s vault.

What it means for you:

Digital gold loans suit speed and small, quick needs. Personal gold loans work well if you want a face-to-face process and want to see your gold stored physically. Go with the option that you’re more at ease with, and that matches how soon you actually need the funds.