Indian Bank Gold Loan Interest Rate – Current Rates & Loan Guide

Key Takeaways
 

• Indian Bank’s official gold-backed loan under the MSME Jewel Loan scheme charges interest between 8.70% and 9.00%, depending on the loan amount. This makes the gold loan interest rate Indian bank one of the competitive options among public sector banks.
   
• Processing charges are clearly defined and remain nil for loans up to ₹1,00,000, while higher loan amounts attract a small per-lakh fee. This keeps overall borrowing costs predictable under the gold loan interest rates in indian bank.
   
• Indian Bank offers jewel-based loans for personal, business, and agricultural needs, where loan eligibility depends on gold purity and weight. This directly impacts the indian bank jewel loan per gram value.

 
Are you tired of paying high interest on personal loans while your gold sits idle in a locker? Let’s look at how Indian Bank’s low rates can solve your cash crunch in minutes.

When I give my gold jewellery to the bank as security, Indian Bank lends me cash at a fixed gold loan interest rate indian bank based on the scheme and loan size. Under the official MSME Jewel Loan scheme, loans up to ₹10,00,000 are charged 8.70% per annum, while loans above ₹10,00,000 attract 9.00% per annum as per the bank’s rate card. These gold loan interest rates in indian bank remain transparent and are disclosed before loan sanction, helping borrowers plan repayment with clarity.

I pledged gold jewellery valued at ₹6,00,000 at my nearest Indian Bank branch. The bank sanctioned a loan of ₹4,50,000 at an interest rate of 8.70 percent per annum. My total annual interest came to about ₹39,150, which helped me plan repayment clearly.

Bonus Tip: Gold loan demand in India has risen sharply, with banks reporting over 100 percent year-on-year growth in gold loan portfolios, driven by higher gold prices and tighter unsecured lending norms. This trend makes gold loans a preferred short-term borrowing option for many households and small businesses.

Types of Gold Loans Offered by Indian Bank 

Indian Bank offers gold-backed loans under clearly defined jewel loan schemes. Each loan type differs in purpose, interest rate, and usage flexibility.
 

These officially listed schemes ensure borrowers can select a suitable option based on usage and repayment comfort while understanding how the indian bank jewel loan per gram valuation affects eligibility.

Indian Bank Gold Loan Processing Fees & Charges 

Indian Bank follows a fixed and transparent processing fee structure for gold loans
 

These charges are applied at the sanction and disclosed in the loan agreement.

How to Apply for an Indian Bank Gold Loan?

You can apply for an Indian Bank gold loan in person at any Indian Bank branch that offers secured lending against gold. Indian Bank’s official portal also highlights a digital loan journey for some loans. 

1. Visit your nearest Indian Bank branch with gold jewelry to pledge.
2. Bring valid ID and address proof, and other documents as requested by the bank.
3. The bank official will assess the gold value and determine your loan amount and rate.
4. You receive a loan offer sheet with interest and charges.
5. After your acceptance, the loan is sanctioned, and funds are disbursed.

Your interest rate and processing charges will be in your loan agreement. Borrowers can use the indian bank gold loan interest rate calculator, available on the official Indian Bank website, as a general EMI calculator by entering the applicable gold loan interest rate and tenure.

Conclusion

Indian Bank gold loans offer secured borrowing with interest rates starting around 8.70 percent, minimal processing fees, and clearly defined schemes. Borrowers should review official rate cards and branch disclosures carefully. Choose the most suitable option while comparing alternatives like indian overseas bank gold loan interest rate structures.

FAQs Related to Indian Bank Gold Loan Interest Rates

1. What is the Indian Bank gold loan interest rate currently?

The Indian Bank gold loan interest rate for its MSME Jewel Loan starts from 8.70 percent per annum for loans up to ₹10,00,000 and goes up to 9.00% per annum for higher loan amounts, as per the official Indian Bank rate disclosure.

2. What documents are required to take a gold loan from Indian Bank?

Indian Bank requires valid identity proof, address proof, recent photographs, and the gold jewellery to be pledged. New account holders may also need to open a savings account before loan disbursal, as per bank norms.

3. Does Indian Bank offer a Gold Overdraft facility?

Indian Bank officially offers gold loans as jewel loans. A separate Gold Overdraft facility is not listed as an active product on the Indian Bank website. Availability of overdraft-style limits depends on branch-level approval and scheme eligibility.

4. Which gold ornaments are eligible for a gold loan at Indian Bank?

Indian Bank accepts gold jewellery and ornaments for gold loans. Items such as chains, bangles, rings, necklaces, and earrings are generally accepted. Gold coins and bars are accepted only if they meet bank-specified purity and sourcing rules.

5. How is the gold value assessed for an Indian Bank gold loan?

Indian Bank assesses gold value based on purity, net weight, and prevailing market rates on the day of loan sanction. The final loan amount is calculated after valuation by the bank’s authorised officer.