Muthoot Gold Loan Interest rates

The following are the key features of Muthoot Gold Loan:

• Purpose of the loan: Muthoot Gold Loan can be utilised for various purposes. There is no restriction on the end use. It can be used either for personal requirements or for business purposes.
• Nature of facility: Term Loan as well as Overdraft facility, both are available
• Quantum of loan: The minimum quantum of the loan is 1,500 and there is no maximum limit. The quantum of the loan will be assessed on the basis of purity of the gold pledged and the weight of the gold.
• Security: The loan is provided against the collateral security of gold ornaments and gold coins.
• Interest rate: The interest rate ranges from 12% to 27% and is specific to different states and schemes. The interest also varies with the loan to value (LTV) ratio. The higher the LTV, the higher is the rate.
• Repayment: The minimum repayment tenure is 7 days and the maximum is 12 months (for normal schemes) and 36 months (for EMI-based scheme).
• Pre-closure/part payment charges: Pre-closure and part-payment allowed without any charges.

Also Check: Lowest Gold Loan Interest Rate

The benefits of availing Gold Loan from Muthoot are:

• The loan is disbursed as quickly in minutes
• The minimum loan amount is 1,500 and there is no maximum limit
• There is a pre-payment option for Gold Loan that doesn't involve any penalty
• Documentation requirement is minimal and the process is hassle-free
• There is an in-house gold evaluation facility available
• They offer the best customer service within a short time
• The safety of the gold pledged with them is ensured
• The rate of interest is competitive and starts at 12%
• Payments to the loan account can be done on either a daily, weekly, or monthly basis
• Even bullet payment where interest has to be paid as and when due and the principal paid in a lump sum at the time of maturity of the loan is permitted.
• Part-payment and part release of the loan is enabled.

There are various schemes under Muthoot Gold Loan the details of which are as given below:

Mahila Loan (MML)

The key features of this loan are:

• Quantum of loan: The maximum quantum of the loan under this scheme is 5 Lakhs
• Interest: The interest is charged at 24% p.a. Penal interest will be charged at 2% above the regular rate, i.e., 26% on the overdue quantum for the overdue period.
• Repayment: The maximum repayment period is 360 days

Best Value Loan

The key features of this loan are:

• Quantum of loan: The maximum quantum of the loan under this scheme is 3 Lakhs
• Interest: Interest is charged at 24% p.a. Penal interest will be charged at 2% above the regular rate, i.e., 26% p.a. on the overdue amount for the overdue period.
• Repayment: The maximum repayment period is 360 days

Interest pre-paid loan (IPL)

The key features of this loan are:

• Quantum of loan: The maximum quantum of the loan under this scheme is 5 Lakhs
• Interest: Interest is charged at 16% p.a. for 3 months tenure, at 15% p.a. for 6 months tenure and at 12% p.a. for 12 months tenure. If the loan is closed before maturity the rate of interest charged will be 22% p.a.
• Repayment: The maximum repayment period is 12 months

Win Bank Loan (WBS)

The key features of this loan are:

• Quantum of loan: The maximum quantum of the loan under this scheme is 5 Lakhs
• Interest: The interest is charged at 23% p.a. Penal interest at 25% p.a. will be charged on the overdue amount for the overdue period.
• Repayment: The maximum repayment period is 360 days

Super Loan (MSL)

The key features of this loan are:

• Quantum of loan: The maximum loan is not defined for this loan
• Interest: The interest is charged at 24% p.a. The interest will be charged at 21% p.a. for 90 days, and at 23% for 180 days. Penal interest at 2% above the normal rate will be applicable for the overdue amount for the overdue period.
• Repayment: The maximum repayment period for this loan is 360 days

Advantage Loan (MAL)

The key features for this loan are:

• Quantum of loan: The maximum quantum for this loan is not defined. It is as per sanction on case to case basis.
• Interest: The interest for tenure up to 360 days will be charged at 24% p.a. for the Southern Regions an at 25% for rest of India.

The interest is charged at discounted rates for lesser tenure in slab rates depending upon the tenure. The interest will be charged at 19% p.a. for southern regions for 90 days and at 22% p.a. for 180 days tenure. The interest will be charged at 20% p.a. for 30 days tenure, at 22% p.a. for 90 days tenure and at 24% p.a. for 180 days tenure for the rest of India. Penal interest will be charged at 2% above the normal rate, i.e., at 25% p.a. for southern regions and at 26% p.a. for the rest of India for the overdue period on the overdue amount.

• Repayment: The maximum repayment period for the loan is 360 days

High-Value Loan (MHL)

The key features of this loan are:

• Quantum of loan: The minimum quantum under this loan is 3 Lakhs and there is no maximum limit.
• Interest: The interest for tenure up to 360 days is charged at 24% p.a. for southern regions and at 25% p.a. for the rest of India.

The interest is charged at discounted rates depending upon the tenure. The interest is charged at 17% p.a. for the southern region and at 18% p.a. for the Rest of India for 30 days tenure. The interest is charged at 19% for the southern region and at 20% for the rest of India for 90 days tenure, at 21% p.a. for the southern region and at 22% for the rest of India for 180 days tenure and, at 22% p.a. for the southern region alone for 270 days tenure. Penal interest at 25 above the normal rate at 26% p.a. for the southern region and 27% p.a. for the Rest of India will be charged for the overdue amount for the overdue period.

• Repayment: The maximum repayment period for this loan is 360 days

High -Value Loan Plus (MHP)

The key features of this loan are:

• Quantum of loan: The minimum quantum of the loan is 5 Lakhs. There is no maximum limit. It is based on specific approval.
• Interest: The rate of interest charged for tenure of 360 days is 24% p.a. in the southern region and 25% p.a. in the rest of India. Penal interest at 2% over and above the regular rate will be charged on the overdue amount for the overdue period.

The interest will be charged at a discounted rate for lesser tenures in slabs depending on the tenure chosen. The interest will be charged at 12% p.a. for the southern region and at 13% p.a. for the rest of India for 30 days tenure, at 17% p.a. for the Rest of India for 60 days tenure, at 17% p.a. for the southern region and at 20% p.a. for the Rest of India for 90 days tenure, at 21% p.a. for the rest of India for 180 days tenure, at 21% p.a. for both the regions for 270 days tenure and, at 23% p.a. for 360 days for the southern region.

• Repayment: The maximum repayment period is 360 days

Muthoot Overdraft Scheme (MOS):

The key features of this loan are:

• Quantum of loan: The minimum quantum of loan is 5 Lakhs for southern region and 2 Lakhs for the rest of India. The maximum limit is based on specific approval.
• Interest: The interest is charged at 19% p.a. for the Southern Region as well as for the Rest of India.
• Repayment: The overdraft facility is provided only for 12 months. It will be renewed every year at the discretion of Muthoot Finance. It is a revolving credit facility and recurring withdrawal and deposit transactions can be done any number of times. Penal interest will be charged at 2% above the normal rate for the overdue amount for the overdue period.

Zero Interest Loan

The key features of the loan are:

• Quantum of loan: The quantum of loan is not specified for this scheme. The quantum is as specific approval.
• Interest: 0% as the name suggests, but for delayed EMI, interest at 24% p.a. will be charged
• Repayment: The repayment period is not specified for this category of loan

One percent Loan

The key features of this loan are:

• Quantum of loan: The maximum amount of loan for this loan is 5 Lakhs
• Interest: An interest will be charged at 26% p.a. for tenure up to 360 days throughout the country. Discounted rate in slabs will be charged at 12% p.a. for 30 days tenure, at 21% p.a. for 90 days tenure, 23% p.a. for 180 days tenure and, at 25% p.a. for 270 days tenure. Penal interest at 1% above the normal rate will be collected for the delayed EMI.
• Repayment: The maximum repayment period for this loan is 360 days.

Delight Loan (MDL)

The key features of this loan are:

• Quantum of loan: The maximum quantum under this loan is 2 Lakhs
• Interest: An Interest at 26% p.a. will be charged for 360 days tenure. An interest at a discounted rate will be charged at 17% p.a. for 30 days tenure, at 22% p.a. for 90 days and, at 24% p.a. for 180 days tenure. Penal interest at 1% over and above the normal rate will be collected for delayed payment on the overdue amount.
• Repayment: The maximum repayment period is 360 days

Ultimate Loan (MUL)

The key features of this loan are:

• Quantum of loan: The quantum of the loan under this scheme is as per specific approval
• Interest: An interest at 26% p.a. will be charged for 360 days tenure. Interest at a discounted rate will be charged at 22% p.a. for 30 days tenure, at 24% for 90 days tenure and at 25% p.a. for 180 days tenure. Penal interest at 1% over and above the normal rate will be charged on the overdue amount for the overdue period.
• Repayment: The maximum repayment period for this loan is 360 days

Muthoot EMI Scheme

The key features of the loan are:

• Quantum of loan: The minimum quantum of the loan is 20,000
• Interest: An interest at 21% p.a. will be charged
• Repayment: The maximum repayment period is 36 months. The loan can be repaid in 6/12/18/24/30/36 months. The minimum repayment period is 6 months.

The applicant should be 18 year above Indian citizen having gold ornaments and all the required documents.

The documents required for Muthoot Gold Loan are:

• Duly filled application form for Gold Loan
• Two recent photographs of the applicant in passport size
• Proof of identity and residential address

The fees and charges associated with Muthoot Gold Loan are:

The following are the things to remember while applying for Muthoot Gold Loan:

• The gems and stones embedded in the ornament are excluded from the weight of gold while assessing the quantum of loan.
• The rate of gold is based on the average rate for 30 days as quoted by IBJA as per the RBI guidelines.
• There will be a discount on the rate of interest if the monthly interest is paid regularly
• No minimum days of interest. Interest will be charged only for the days pledged
• Muthoot will accept the pledge of both hallmarked and un-hallmarked gold
• The purity of gold required is between 18-carat to 24-carat
• CIBIL Score is not a concern to avail a Gold Loan. An applicant with a low credit score also can avail the loan.