Total Valuation of Pledged Gold
₹ 7,20,000
Total Interest Payable
₹ 30,520
Estimated Monthly EMI
₹ 44,210
Maximum Eligible Loan Amount
₹ 5,40,000
About the Gold Loan Calculator
Our free Gold Loan Calculator helps you estimate the maximum loan amount you can secure by pledging your gold jewelry or ornaments. By factoring in gold weight, purity (carats), current market rates, and the Reserve Bank of India (RBI)-prescribed Loan-to-Value (LTV) limits, this tool provides instant clarity on your borrowing capacity.
How Gold Loans and LTV Ratios Work
When you apply for a gold loan, lenders evaluate the market value of your gold based on its net weight and purity:
- Purity Adjustment: Valuation is adjusted according to the carat purity (e.g., 22-carat gold is evaluated at approximately 91.6% purity relative to 24-carat gold).
- Loan-to-Value (LTV) Ratio: Lenders do not lend 100% of the gold's market value. Under regulatory guidelines, lenders can typically offer up to 75% to 80% LTV, leaving a buffer for gold price fluctuations.
How to Use the Calculator
Simply enter your gold details or adjust the weight slider:
- Gold Weight: The net weight of your gold ornaments in grams (excluding stones or gems).
- Gold Purity: Select 22, 24, or 18 carat purity.
- Market Rate per Gram: The current prevailing market price of gold per gram.
- LTV Ratio & Interest Rate: Input your lender's offered LTV percentage and annual interest rate.
- Loan Tenure: The repayment duration in months.
Click the Calculate button to instantly view your total gold valuation, estimated monthly EMI, total interest payable, and maximum eligible loan amount.
Frequently Asked Questions (FAQs)
Are stones and gems in jewelry included in gold loan weight?
No. Lenders appraise only the net weight of the pure gold. Any embedded stones, gems, or non-gold attachments are deducted during the evaluation process.
What are the repayment options for a gold loan?
Gold loans offer flexible repayment structures, including regular monthly EMIs, paying only monthly interest with principal at maturity, or bullet repayment where both principal and interest are paid at the end of the tenure.
Is my pledged gold safe with the bank or lender?
Yes, banks and certified financial institutions store pledged gold securely in high-security bank vaults with comprehensive insurance coverage against theft, fire, or damage.
