What are the eligibility requirements for a low-interest gold loan?

The primary eligibility criteria to avail of a low-interest gold loan are:

• The age of the applicant should typically be between a minimum of 18 years and a maximum of 70-75 years old, depending on the specific loan provider’s policies.
• The applicant must be an Indian citizen residing in India. However, as per individual loan provider terms, non-resident Indians may also be eligible.
• Financial institutions usually have a minimum gold jewellery requirement to be pledged as collateral, which the borrower must meet.
• Ownership proof and documentation for the gold ornaments, such as the original purchase invoice, hallmark certification, etc., are required.
• Valid Know Your Customer (KYC) documents need to be submitted, including ID proof (Aadhaar, PAN card, etc.), address proof, and recent passport-size photographs.
• Some loan providers may require income proof documents such as salary slips, bank statements, and tax returns if applicable.
• To be eligible for the lowest rate, the applicant should have a good credit score and a history of timely repayments.
• Financial institutions may have specific city or location-based eligibility criteria for reduced pricing.

Therefore, meeting the financial institution’s eligibility norms related to age, residency, KYC, credit profile, and adequate gold collateral is key to availing a low-interest gold loan.