Gold loans have emerged as a popular financing option in India, offering quick access to funds by leveraging one’s gold assets. Among the various banks offering this service, Indian Bank stands out for its competitive interest rates and customer-friendly schemes. This comprehensive guide delves into the Indian Bank gold loan interest rates for 2025, providing insights into various schemes, eligibility criteria, repayment options, and more.
Indian Bank Gold Loan Interest Rate 2025
As of 2025, Indian Bank offers gold loans with interest rates ranging from 8.65% to 10.45% per annum, depending on the loan type and amount. The rates are structured as follows:
| Loan Type | Interest Rate (p.a.) | Loan Amount Range |
|---|---|---|
| Jewel Loan (Non-Priority) | 8.65% – 9.80% | Up to ₹35 lakh |
| OD against Gold Jewels | 9.90% – 10.40% | ₹25,000 to ₹10 lakh |
| Sovereign Gold Bond | 9.05% – 9.90% | As per bond value |
Source: Indian Bank Official Website
Indian Bank Gold Loan for 8 Gram Rate
The loan amount for 8 grams of gold depends on the current market value and the bank’s loan-to-value (LTV) ratio, which is typically up to 75%. Assuming a gold price of ₹5,000 per gram, 8 grams would be valued at ₹40,000. At a 75% LTV, the loan amount would be approximately ₹30,000. The applicable interest rate would fall within the 8.65% to 9.80% range, depending on the specific loan scheme chosen.
Indian Bank Gold Loan Interest Rate for ₹1 Lakh
For a loan amount of ₹1 lakh, the interest rate would be determined based on the loan type:
- Jewel Loan (Non-Priority): 8.65% – 9.80% p.a.
- OD against Gold Jewels: 9.90% – 10.40% p.a.
Indian Bank Gold Loan Interest Rate Per Month
The monthly interest rate can be calculated by dividing the annual rate by 12. For example, at an annual rate of 8.65%, the monthly interest rate would be approximately 0.72%. This means that for a ₹1 lakh loan, the monthly interest would be around ₹720.
Indian Bank Gold Loan Interest Rate for Senior Citizens
Indian Bank offers gold loans to senior citizens aged up to 70 years. While there are no specific interest rate concessions exclusively for senior citizens, they can avail of the same competitive rates as other customers, ranging from 8.65% to 10.45% p.a.
Indian Bank Gold Loan Per Gram 2025
The per gram loan amount is influenced by the gold’s purity and current market price. Assuming a gold price of ₹5,000 per gram and a 75% LTV, the loan per gram would be ₹3,750. Therefore, for 10 grams of gold, one could avail a loan of approximately ₹37,500.
Indian Bank Gold Loan Interest Rate for Farmers
Indian Bank offers specialized gold loan schemes for farmers, such as the Agri Jewel Loan. The interest rates for these loans are linked to the bank’s Marginal Cost of Funds based Lending Rate (MCLR) and are structured as follows:
- Up to ₹3 lakh: MCLR + 2.50%
- ₹3 lakh to ₹10 lakh: MCLR + 2.75%
- Above ₹10 lakh: MCLR + 3.00%
Source: Indian Bank Agri Products Interest Rates
Indian Bank Gold Loan Interest Rate for ₹1 Lakh Calculator
To calculate the interest for a ₹1 lakh gold loan:
Formula: (Loan Amount × Interest Rate × Tenure) / 100
Example: For a 1-year loan at 9% interest:
(₹1,00,000 × 9 × 1) / 100 = ₹9,000
Total repayment amount = ₹1,09,000
Additional Topics
Loan Tenure and Repayment Options
- Bullet Repayment: Repay the entire loan amount and interest at the end of the tenure (up to 1 year).
- Monthly Installments: Repay through EMIs over a tenure of up to 35 months.
Processing Fees and Charges
Processing fees are typically 0.50% of the loan amount. For loans up to ₹1 lakh, the processing fee is often waived. Appraiser fees may apply and are communicated during the loan application process.
FAQs
- 1. What is the Indian Bank gold loan interest rate?
- Indian Bank offers gold loan interest rates ranging from 8.65% to 10.45% per annum, depending on the loan type and amount.
- 2. What is the interest rate of Bank of India gold loan?
- As per the latest data, Bank of India offers gold loans with interest rates starting from 7% per annum.
- 3. How much loan can I get on 10gm gold in SBI?
- Assuming a gold price of ₹5,000 per gram and a 75% LTV, SBI would offer approximately ₹37,500 for 10 grams of gold.
- 4. What is the interest rate of loan in Indian Bank?
- Indian Bank’s gold loan interest rates range from 8.65% to 10.45% per annum, varying based on the specific loan scheme and amount.
- 5. Which bank is best for a gold loan?
- The best bank for a gold loan depends on individual requirements. Indian Bank is a strong contender due to its competitive interest rates and flexible repayment options.
Conclusion
Indian Bank’s gold loan offerings in 2025 provide a reliable and cost-effective financing solution for various needs, including personal expenses, agricultural requirements, and more. With competitive interest rates, flexible repayment options, and a straightforward application process, Indian Bank stands out as a preferred choice for gold loans.
For more details and to apply online, visit the Indian Bank Official Website.