Gold Loan Some Good Facilities

Even if you are having a very low credit score still you can very simply apply for a gold loan, unlike some other loans. And till the date, no organization or any landing company has given all the definitions of how you should use this kind of gold loan funds like some loans. This depends on you or this is your wish that how you want to use all this gold loan amount. 

Some of the different customers have different types of needs so to fulfil all the banks are offering some types of gold loan options. One is a gold loan with the EMIs option and the other is the gold loan with an overdraft facility. Let’s understand this gold loan with the total EMI option.

This kind of gold loan with all the EMI options is a well-known method that many of the banks as well as NBFCs are offering for the past few years. You just apply for this kind of gold loan and after getting this gold loan amount you start paying all the monthly EMIs. you can very simply repay your total principal loan amount along with the rate of interest amount. In this option, you get this fixed loan amount with the fixed loan tenure from many of the banks. In both banks as well as NBFCs, you can very quickly apply for this option. Usually, most banks provide this gold loan amount to a very good percentage. 

This gold loan with an overdraft facility might be an unknown topic for many. In this option, your gold loan amount very easily provides you with an overdraft facility. You can use your all the gold loan amount like you use your credit card. You can simply spend as much as you want anywhere like the credit card but till then allow some limit only. 

This kind of process starts whenever you deposit your gold at any lender company and then they open your overdraft account. In most of the banks, they link your overdraft facility with your debit card. In many of the banks, some lenders link the overdraft facility with your very good saving account. Or in some banks, they open your very new overdraft facility account. Even in some lending institutions what they do is that they will open your very new overdraft facility account with very similar features having the current account. Some other ways are always available to access this kind of gold loan amount like you can very easily access this gold loan amount by the cheques which are also issued separately for the overdraft account. 

In such cases of an overdraft facility, the rate of interest is higher in comparison to the usual gold loan. And in such cases of the EMIs option, you need to pay the total EMI monthly. But in the case of an overdraft facility, you can simply repay the gold loan amount in a lump sum as well as can close the facility at such point in time. 

Both kinds of options give you a very great number of benefits but in such case of an overdraft facility you can use this Canara Bank gold loan amount at any point in time, you can also overdraft this amount in a very limited way which option is not very simply available in the gold loan option with total EMI. And also this gives you the convenience of using these bank cards unlike gold loans with the EMI options. 

Conclusion

This kind of gold loan is very helpful for many situations like medical expenses, going on trips, and also some other uses. But with the gold loan with an EMI option, you will be very easily able to plan your monthly budget. You will also get a very good save from the situation of overspending. You will save more by paying a very less rate of interest.

Also Read This-Gold loan Documents and eligibility.