Tamilnad Mercantile Bank Gold Loan Calculator

What is the Tamilnad Mercantile Bank Gold Loan Calculator?

Truthsawer provides to you an easy-to-use Tamilnad Mercantile Bank Gold Loan Calculator for an Individual who wants to borrow money from a bank or a non-banking financial company, using gold that they own as collateral. Since the gold prices are hiking, every applicant gets a very good value on their gold ornaments, as the value of the jewellery affects the amount of loan to be approved directly.

The online calculator featured on Truthsawer’s website can further support you find out the amount of EMI that you one would need to pay for the borrowed loan amount. By using the Calculator one can try different interest rates and tenure permutations and set of combinations that are offered by different banks to make sure you get the best available option.

About Gold Loan

A gold loan is a secured loan, which is given by the banks against the collateral. The banks provide borrowers this loan by keeping gold jewelry and coins with them, which the bank returns to the borrower after the money has been paid back. A loan that has been secured with gold ornaments is given for short to medium-term duration. The loan is generally processed within few minutes and it does not need any paperwork. When one applies for the gold loan from Truthsawer, he or she gets the option of leveraging the easy-to-use Tamilnad Mercantile Bank Gold Loan Calculator so that he or she can calculate your monthly payouts instead of the loan.

Why is Gold Loan preferred?

To meet some immediate financial needs, a gold loan is the required option of loans for an individual for numerous reasons. Some of those reasons include:

  • Gold loans provide a low interest rate as compared to other available choices such as a personal loan.
  • The tenure of a gold loan is very flexible and its tenure varies from a few days to 5 years.
  • Many banks and NBFCs do not demand pre-payment charges on gold loans.
  • To get this loan, minimal documentation is required.
  • The loan is also disbursed very fast.

Benefits of Using Tamilnad Mercantile Bank Gold Loan Calculator 

The advantages of a Tamilnad Mercantile Bank Gold Loan Calculator are as follows:

  • As the gold prices are hiking, the Tamilnad Mercantile Bank Gold Loan Calculator helps you find the best price for your vowed gold because this sanctioned loan value depends on the value of the jewellery
  • Our Tamilnad Mercantile Bank Gold Loan Calculator has an intuitive interface that makes sure that the calculations are quick and accurate
  • The software is seen to use the latest Gold Loan per gram prices for calculations

Gold Loan Eligibility Criteria 

To avail of a gold loan you must fulfil the following eligibility criteria:

  • Minimum Age: 21 years.
  • Maximum Age limit: 65 years
  • Loan Amount: Every bank offers a gold loan of up to Rs 20 lakhs. The amount may get extend up to Rs 2 crore.
  • Employment Requirements: Gold loans are available for all individuals regardless of their employment. Salaried employees, self-employed individuals, and even housewives with no source of income can also avail of a gold loan.
  • Gold as a Security: The gold that is to be deposited with the bank in the form of security should range between 18-24 carats. The average gold price of the previous 30 days for 22 carats is adjusted. Ornaments such as gold bars and coins with 18-24 carats purity can be used.
  • CIBIL Score Requirements: There is no CIBIL score needed to get a gold loan. But, last payment history regarding gold loans has to be evaluated to check your capability of repayments.
  • Documents Required: You must also include identity proof and address proof. No Income Proof is required to get a gold loan in India.

Gold Loan Eligibility Calculator

Minimum and Maximum Age 21 Yrs – 65 Yrs
Note: However, many banks require a minimum age of 23 years
Loan Amount
  • Up to ₹ 2 Cr. Some banks restrict maximum eligibility to ₹ 20 Lakh
  • Interest rates are lower for a higher loan amount
Employment Type
  • Salaried and self-employed both are eligible
  • Businessmen are increasingly taking gold loans to meet their working capital requirements
  • In fact housewives, senior citizens who are not eligible for other loans because they have no income proofs can easily avail of gold loan
Quality of Gold
  • Gold ornaments should range in between 18 to 24 Carats
  • An average gold price of 22-carat gold for the preceding 30 days is adjusted down for purity. So, the price of 20 Carat jewelry can be estimated by multiplying the price of 22 Carat jewelry by a factor of 20/22
CIBIL Score
  • Banks do not check CIBIL score for granting a gold loan
  • However, your repayment track record for a gold loan is counted towards your CIBIL score and hence, can be instrumental in building your CIBIL score
Gold ornaments that can be used for availing loan
  • Gold bars and coins
  • Gold with 18-24 carat purity
Employment track record and income proofs Banks do not check your job stability or business stability to sanction you a gold loan. Gold loans are granted without income proofs. You only need to submit your basic KYC documents such as address proof, identity proof, and an Aadhaar card to avail of this loan.

Tamilnad Mercantile Bank Gold Loan Calculator

Gold Loan per gram ₹ 2,776 to ₹ 3,393
Eligible Age 18 to 75 years
Loan Amount Eligibility ₹ 1,000 to ₹ 2,00,00,000
Lowest Gold Loan Interest Rates 9.50%

Gold Loan EMI Payments

Benefits:

  • The EMI allows a loan applicant to make easy payments every month that would help him/her from the burden of payments altogether.
  • The EMI options are suitable for long-term loans.
  • The rate of interest is softer in EMI payments as compared to the Bullet Repayment Scheme.

Demerits:

  • EMI payments can be a burden for some as installments are asked to be deposited every month.

What is Bullet Repayment Scheme 

A bullet repayment is a lump sum payment that is made for the fulfillment of an outstanding amount of loan, after maturity. It can also be a single payment of principal on a bond. In terms of banking and real estate, such loans with options of bullet repayments are also referred to as balloon loans. These different kinds of loans are used in mortgage and business loans to deduct monthly payments during the term of the loans.

EMI Gold Loan Scheme with Bullet Repayment Scheme Comparison

Monthly Payment EMI Scheme (₹) Bullet Repayment (₹)
Month 1 27,007 3,625
Month 2 27,007 3,625
Month 3 27,007 3,625
Month 4 27,007 3,625
Month 5 27,007 3,625
Month 6 27,007 3,625
Month 7 27,007 3,625
Month 8 27,007 3,625
Month 9 27,007 3,625
Month 10 27,007 3,625
Month 11 27,007 3,625
Month 12 27,007 3,625
Bullet Payment (At end of 12 months) ₹ 3 Lakh
Total Payment ₹ 3.24 Lakh ₹ 3.44 Lakh

Why opt for a Bullet Repayment Scheme?

You should also select the Bullet Repayment Scheme for the following reasons:

  • It saves you from the burden of repaying the principal every month
  • It is suitable for short term gold loans of less than 6 months
  • It helps apply for a flexible repayment schedule where you can choose to pay interest on the loan as monthly EMIs and the principal payment in one instalment at the end of the loan tenure. Some of the banks also provide the flexibility of paying some percentage of the principal as part of your monthly payments.

Why not opt for a Bullet Repayment Scheme?

  • Few banks may offer lower LTV and charge a higher rate of interest on bullet repayment loans
  • You may end up paying higher interest on your bullet repayment loan as it is not a reducing balance loan. The effective rate of interest is higher in a bullet repayment loan even when the quoted interest rate is identical to that of the EMI Gold Loan.

Compare Gold Loan Rate Per Gram and Lowest EMI of All banks 

Bank Interest Rate Lowest EMI Per Lakh Eligible Loan Amount For Max Tenure
SBI Gold Loan 7.50% Rs. 3,111 Rs. 20 Lakh for 36 months
Muthoot Gold Loan 11.99% Rs. 3,321 Rs. 50 Lakh for 36 months
Manappuram Gold Loan 12.00% Rs. 8,885 Rs. 1 Cr for 12 months
HDFC Bank Gold Loan 9.50% Rs. 4,591 Rs. 50 Lakh for 24 months
Yes Bank Gold Loan 9.99% Rs. 3,226 Rs. 50 Lakh for 36 months
ICICI Bank 10.00% Rs. 8,792 Rs. 15 Lakh for 12 months
Federal Bank 8.50% Rs. 8,722 Rs. 75 Lakh for 12 months
Canara Bank 7.65% Rs. 8,683 Rs. 10 Lakh for 12 months
Andhra Bank 10.70% Rs. 8,824 Rs. 2 Cr for 12 months
Axis Bank 13.00% Rs. 4,754 Rs. 20 Lakh for 24 months
IndusInd Bank 10.00% Rs. 8,792 Rs. 10 Lakh for 12 months
PNB 8.75% Rs. 8,734 Rs. 10 Lakh for 12 months
Fincare Small Finance Bank 12.99% Rs. 11,721 Rs. 40 Lakh for 9 Months

How does Truthsawer’s Tamilnad Mercantile Bank Gold Loan Calculator work?

To use Tamilnad Mercantile Bank Gold Loan Calculator at Truthsawer, you would require to provide them with a few important details:

  • The interest rate proposed by the banks that provide a Gold Loan
  • The loan amount of the subscribed/required Gold loan principal
  • The intended term of the loan

After submitting these three details, the Calculator would instantly calculate the monthly installments that are to be deposited by the borrower.

Why should you use the Calculator tool by Truthsawer?

To simply helps you to calculate the Gold Loan Equated Monthly Installments (EMIs), the calculator can support you in several ways:

  • It helps you from hours of tedious and fault-prone calculations.
  • It incorporates the latest gold prices into the calculation.
  • It also allows you to try out different alternatives to find the Gold loan that is suitable for your requirement.
  • By knowing the EMI that is payable, you can adjust your monthly budget so that you can make timely payments of your gold loan.

FAQs About Tamilnad Mercantile Bank Gold Loan Calculator

✅ Who is eligible for a gold loan?

Any Indian who is aged between 18 and 70 years and owns gold jewellery and coins (gold bars and gold coins more than 50 grams each are currently not accepted as collateral for a gold loan) can apply for a gold loan with minimum documentation.

 What is the tenure for a gold loan?

The tenure of a gold loan can range from a few days to a few months. In rare cases a gold loan may feature a tenure of a few years, however, this would be at the discretion of the bank and the actual loan amount disbursed.

✅ What happens to the gold as collateral?

Once you put up the loan as collateral for a gold loan, the gold ornaments or coins are held by the bank or NBFC (non-banking financial company) in its secure vault till the loan amount with interest is repaid in full.

✅ Why apply for a gold loan through Truthsawer?

When you opt for a gold loan through Truthsawer, you can easily check the interest rates, processing fees, foreclosure/pre-payment charges on the gold loan offers provided by leading banks and NBFCs operating in India. This information is available free of charge to you and helps you zero in on gold loan offers that are most suitable to your situation.

✅ How to use the Tamilnad Mercantile Bank Gold Loan Calculator?

The easy-to-use Tamilnad Mercantile Bank Gold Loan Calculator uses key gold loan data such as loan principal, tenure, and applicable interest rate to provide you with an approximation of your equated monthly installments for a specific loan. This facility is provided to you free of charge and for an unlimited number of times for your benefit.

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