One of the practical solutions available to a person to meet their financial needs is a gold loan. Customers can get it from several banks and Non-Banking Financial Companies. High gold prices allow you to borrow a larger sum against your gold jewellery at a reasonable jewel loan interest rate.
The interest rate depends on several factors, including the repo rate.
The jewel loan interest rate is the only factor directly influencing your payback amount. You must understand the method used to determine gold loan interest rates in India to select the rates that are best for you.
Lenders mostly use two types of benchmarking techniques to determine the jewel loan interest rate. One of the techniques is MCLR linked Lending Rate (internal), and the second technique is Repo Rate Linked Lending Rate (External). Depending on each lender's benchmark, the interest rates on Gold Loans tend to vary from one lender to the next.
The Repo-rate Linked Lending Rate is the lending rate that is linked to the Repo rate. However, the MCLR-Linked Lending Rate is the lending rate that is tied to the MCLR. For instance, the RLLR will be cut by 40 basis points if the RBI decides to decrease the Repo Rate by 40 basis points. There may only be a 20 basis point decrease in the MCLR-linked lending rate if prior tendencies are taken into account.
These benchmarking techniques result in different jewel loan interest rates among lenders.
%20(1).png)
.webp)
No comments:
Post a Comment