Karnataka Bank Gold Loan Interest Rate

The key features of Karnataka Bank gold loan are as mentioned below:

• Karnataka Bank loan against gold can be availed of to meet immediate financial requirements for agricultural, business, personal needs. 
• The loan amount of up to Rs. 25 Lakhs can be availed of against the pledge of gold ornaments.
• Karnataka Bank gold loan interest rate starts from 9.23% p.a. for KBL-Agri Gold Loan, 9.53% p.a. for General Gold Loan, and 9.78% p.a. for KBL GOLD en CASH-OD.
• The tenure available for repayment varies from 6 months to 12 months.
• No processing charges are levied for advances against gold up to Rs. 50,000.
• You can use the online gold loan calculator to calculate your Karnataka Bank gold loan Equated Monthly Instalment (EMI).
• The bank offers multiple repayment options to choose from, such as Term Repayment, Overdraft and Bullet Repayment. Repayment should be made on the due date, and servicing of interest has to be done on a monthly basis for general gold loans.
• The documents required for gold loan may vary depending on the type of scheme to be availed of by the applicant.

Below is the comparison of the Karnataka Bank gold loan interest rate with the gold loan interest rates of other lenders. Based on the following features, you can check the best gold loan bank before applying for the loan:

Karnataka Bank offers the following three types of gold loan schemes:

• KBL-Agri Gold loan (finance against the security of gold ornaments for agriculture purpose): 9.23% p.a.
• General Gold Loan (for personal purposes). 
• KBL GOLD en CASH-OD (overdraft facility).

Currently, the Karnataka Bank gold loan rate per gram today is Rs. 2,900 to Rs. 3,450. The rate depends on the loan amount to be availed of, tenure of repayment, interest rate, and other factors.

Following are the details of the latest Karnataka Bank gold loan interest rates w.e.f. 01.11.2022:

• KBL-Agri Gold loan (finance against the security of gold ornaments for agriculture purposes): 9.23% p.a.
• General Gold Loan: 9.53% p.a. for a loan up to Rs. 2 Lakhs and 9.83% p.a. for loan above Rs. 2 Lakhs to Rs. 25 Lakhs. 
• KBL GOLD en CASH-OD: 9.78% p.a.

Interest rates for Karnataka Bank gold loan are linked to External Benchmark based Lending Rate (EBLR) for loans less than Rs. 500 Lakhs (excluding MSME loans).

Apart from Karnataka Bank gold loan interest rate, the borrower has to pay the following charges on loan:

Processing fees:

• Agricultural & General Gold Loan (priority and non-priority) of above Rs. 50,000: 0.25% of the loan amount with a minimum of Rs. 250 + applicable tax.
• For advances against the bank’s own deposits, including ODAD, Gold Loan up to Rs. 50,000 & government-sponsored schemes: Nil.

Gold loans handling charges (one time): Rs. 150 for Agricultural Gold Loans & Rs. 250 for General Gold Loans for all new sanctions w.e.f 20.04.2020.

Reappraisal charges for gold loans:

• Up to 10 gold loan packets: Up to Rs. 500.
• Above 10 packets: Up to Rs. 500 + Rs. 25 per packet from the 11th gold loan packet and conveyance.