Gold loan EMI calculator
Borrowing against gold? Enter the loan amount, rate and tenure for your monthly EMI and total interest. Quick to get, secured, and far cheaper than an unsecured loan.
Loan details
Tweak the numbers - results update live
₹3L
Principal
amount borrowed
₹35.57K
Total interest
over the tenure
₹3.36L
Total payable
principal + interest
Principal vs interest
What you repay over 2 years
- Principal₹3L
- Interest₹35.57K
Year-by-year schedule
How the balance falls as you repay
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | ₹1,41,791 | ₹25,993 | ₹1,58,209 |
| 2 | ₹1,58,209 | ₹9,585 | ₹0 |
Monthly EMI
₹13,982
Secured & quick
Your gold, working for you
A gold loan unlocks cash against jewellery you already own, at lower rates than unsecured borrowing and with fast disbursal. Watch the LTV cap and pick the repayment style — EMI or bullet — that suits your cash flow.
- 1
Pledge your gold
The lender values your gold and lends up to 75% of it (RBI’s LTV cap).
- 2
Lower rate
Because it’s secured, the rate beats a personal loan.
- 3
Choose repayment
Equated EMIs, interest-only, or a single bullet payment at maturity.
- 4
Repay & reclaim
Clear the dues on time and your gold comes back to you.
Questions
Frequently asked
For an EMI-based gold loan, the monthly instalment uses the reducing-balance formula EMI = P × r × (1+r)^n ÷ ((1+r)^n − 1). Gold loans are usually short (a few months to 3 years), so total interest stays low. Note that many gold loans are not EMI-based at all — see the bullet-repayment option below.
Many gold loans use bullet (or “maturity”) repayment: you pay nothing monthly and settle the entire principal plus accumulated interest at the end of the tenure. Some schemes ask for monthly interest only, with principal at the end. This EMI calculator models the standard equated-instalment option; if your loan is bullet-type, treat the total payable as principal plus interest for the period.
The RBI caps the loan-to-value (LTV) on gold loans at 75% of the gold’s value, so for ₹1 lakh of gold you can borrow up to ₹75,000. The exact amount depends on the purity (22K vs lower) and the lender’s current gold rate. Higher purity and weight mean a larger eligible loan.
A gold loan is secured against your physical gold, so the lender takes less risk and charges less than an unsecured personal loan. Rates typically range from about 8% to 26% depending on the lender, scheme and tenure, with banks usually cheaper than NBFCs.
If you default, the lender can auction your pledged gold to recover the dues after giving notice. Because the tenure is short and the asset is liquid, gold loans are quick to get but should be repaid on time to avoid losing your gold. Prepayment is usually allowed, often without penalty.