The gold loan is a secured loan that a borrower can avail from a bank or a financial institution by pledging his gold as collateral. The loan amount sanctioned is a percentage of the value of the gold. Upon repayment of the loan with interest, you can get the pledged jewels back.

Unlike other loans like home loans or car loans, where there is a restriction on the usage of the funds, you can use the gold loan amount for any purpose. Whether you need money to handle a medical emergency or for your child’s educational needs, a gold loan comes in handy to get the money for it.