Gold Loan Purity Test



Times have changed, earlier people used to purchase gold from their nearby gold shops or their relatives in the business but now people only buy gold from big gold merchants as they give security of the hallmark and it is considered wastage of money if gold is bought without checking its hallmark. The same goes for the banks and lenders providing gold loans, they are very cautious these days and they need to make sure that they are giving the loan for that much value of gold so they also make sure that the gold pledged by the applicant has a hallmark on it.

Gold purity is one of the key factors and processes while availing of gold loan, everything is secondary, availing a gold loan is pretty easy as it does not require much documentation work but what if the person has complete documents but the gold that he is pledging for the loan is not pure as stated, so lenders make sure that they don’t sanction loans before verifying the purity of gold. In one or another way, it is correct on their part to sanction a loan only after checking its purity as half of the total frauds in NBFCs are caused due to fake gold or the low quality of gold pledged which is quite risky.

Now, it is not easy or possible for banks to check the purity of all the gold that they pledge before getting their loans as banks are no expert in the work of jewelers so, banks don’t check the purity of the gold rather they ask jewelers to do that. Banks and lenders make agreements with jewellers and take them into panels for this testing purpose as to who can do better than a jeweler himself. The jewelers take the gold, do the testing work and finally furnish the value of the gold based on its purity against which the loan is then sanctioned. Generally, banks pay up to 70%-75% of the total value of gold pledged.

It is important that one should know about the gold loan eligibility calculator and know how much they are getting for the Gold Loan Per Gram so that they can compare the highest they can get and then accordingly apply for the loan. So, a gold loan eligibility calculator is a calculator that helps to know a borrower whether is eligible for taking a gold loan or not. So, there are some easy steps to calculate the same, almost all the banks providing gold loans have their websites where you can find this calculator, you have to go to the website, click on the personal loan from their home page, then go to the gold loan eligibility calculator, fill the form with information like name, mobile number, etc. in the respective columns and then you will get your eligibility and accordingly you will be getting offers for you.

One of the easiest and safest ways to get a gold loan is through the ICICI Gold Loan. You can either visit their website or go to their branches for the same, they provide you with attractive interest rates starting from 0.99% per month depending on the market situation. They ask for the basic documents such as two passport size photographs, proof of the landholding, address proof that is, driving license, aadhar card, pan card, form 60, voter ID card, ration card, etc.and then identity proof that is aadhar card, pan card, passport copy, ration card, form 60, voter ID card.