How long does the gold loan balance transfer process take?

Gold loan balance transfer duration is variable and non-static, subject to the policies and procedures of the Non-Banking Financial Company (NBFC) or loan provider. But on an average, it takes a few working days or, sometimes, one week.

Time duration generally depends on factors such as how fast the applicant submits the required documents and the verification process in the existing and new NBFC or loan provider. Key steps in the process include obtaining a loan statement from the existing NBFC, submitting it to the wanted loan provider, and completing the required formalities like gold appraisal and documentation.

Once the new NBFC approves the balance transfer, it will pay off the outstanding amount to the existing loan provider, and the pledged gold will be released and re-pledged with the new loan provider. This step can also impact the overall timeline, especially if logistical arrangements are required to transfer the gold physically.

Applicants should inquire about the processing time with their current and prospective NBFCs to better understand the expected duration. Delays may occur if there are discrepancies in the documents provided or if additional verifications are needed.