Answered: Your most burning questions about instant gold loans

The gold loan market is expected to grow[1]  at a healthy CAGR of more than 13%. By 2022, the gold loan market should be worth more than Rs 4500 billion. These numbers make it evident that gold loans are highly favoured by Indians. However, one might still have several questions about gold loans. In this article, we have answered some of the most pressing questions which borrowers would have.



Q1) What is a gold loan?


A gold loan is a form of secured loan. It involves the lender keeping a borrower’s gold as collateral and lending funds, whose value is proportional to the value of gold. As compared to other loans, it is processed quickly. A borrower’s credit score is not required since the gold pledged by the borrower is treated as collateral. Usually, 75[2] % of gold’s value is disbursed as loan. The highlight of a gold loan is that it can be used for any purpose.



Q2) How do the lenders assign a value to my jewellery?


As a very famous saying goes, beauty lies in the eye of the beholder. While you might assign a very high value to a piece of jewellery, it being an heirloom or having exclusive craftsmanship, lenders are only interested in the volume of gold that the piece possesses.

Only the gold from your jewellery will be considered while assigning a loan. No other precious metals or gems.


Q3)What am I supposed to use as collateral for a gold loan?


Anything, be it an ornament or jewellery, with a certain threshold of purity of gold depending from Institution to Institution. This threshold is mostly anything above 18 carats.


Q4)How much money can I avail from a gold loan?


The maximum amount of money one can avail from a gold loan varies across lenders. But, most lenders earmark 75% value of the innate gold in the ornament or jewellery. This means if the value of gold in your pledged ornament is worth Rs 50,000 you would receive a gold loan of Rs 37,500. Keep in mind that the overall value of your ornament might be much more than Rs 50,000 but as mentioned earlier, only the value of gold in your ornament is considered.


Q5)What documents will I require for a gold loan?


You will mostly just require 2 documents one being your identity proof and address proof such as

  •       Aadhar card
  •       Valid driver’s license
  •       Pan card
  •       Voter ID card
  •       Voter password


Q6) Is there a processing fee with the gold loan?


While there absolutely is a processing fee with a gold loan, the fees are of a smaller amount as compared to other loans.



Q7)What guarantee of safety do I get for my ornaments or jewellery when I pledge them as collateral for a gold loan?


The lenders are equally concerned about your gold as you are. Thus, your gold is stored in safe their vaults, so the possibility of anything going wrong is incredibly low. Most credible lenders have up to date security systems and personnel guarding their vaults. Plus, the lender has your valuables insured, thus while pledging the gold, you have absolutely nothing to worry about.



Q8)What if I’m not able to pay back the amount I got for my instant gold loan?


Sometimes, the borrower might be unable to pay back the amount owed to the lender. In unfortunate cases like this, the lender will repeatedly give the loan bearer notices. Depending on the lender, the borrower’s relationship with the lender and the instances of delay, the lender would wait for the borrower to respond. If there is repeated reluctance in repaying the loan, the lender would be forced to possess the gold and claim ownership over it. The lender would then auction off the gold to the highest bidder.



Q9) How do I apply for a gold loan?


To apply for a gold loan, a borrower can visit the closest branch of a preferred lender. Over there, the borrower can conduct enquiries and discover the various gold loans on offer. The borrower can also get an estimate of the value of the gold in her possession.


A gold loan is one of the most instantaneous methods of acquiring money fast. By going through the above-mentioned questions, we hope that most of your doubts related to acquiring a gold loan were resolved. Do keep in mind that the most important aspect of applying for a gold loan is the credibility of the lender. Speak with people in your network who would have applied for gold loans earlier and rely on their experience.

Top ten small business ideas for 2020

The advantage of these Top ten small business ideas for 2020 is that you can choose the ones that best fit you from among the huge amount, in addition to that, with little investment, you can test the waters before launching.

So, if things are going well, you can reinvest profits and grow them until they are your only activity, or you can leave them as an additional monthly contribution, in which you spend part of your free time.



If we have a piece of knowledge about something, we can make it profitable, without having to cost us a fortune, teaching others something we can do.

The key? We can do it in person or online, with the tools that are available today, such as Udemy or Coursera.

Ideally, do it on some of the most demanded topics in 2020, these are:

  • Health and sex
  • Social relationships.
  • Gastronomy

We want fashion issues because I insist, the market comes first when starting a business and profiting quickly.

Within this teaching in general, several more concrete initiatives that are excellent business ideas in 2020 should highlight.



One of the most valuable knowledge and, above all, that gives us more flexibility when undertaking.

Instead of investing in infrastructure, we can organize chat activities in places like bars.

Knock on the door of one of the many academies and offer our services to several at once. Starting from a microenterprise, this is a business idea for 2020 that we can grow almost without limit.



Ideal for free time too, another one of the classics that never stops demanding is a review for children who don’t do too well in school.

If you have a hand with them, and you can deal with the enormous distractions that mobile phones entail (and that surely do not lack business in this activity), it is an activity to consider.

The advantage?

You don’t need trained or advanced knowledge. The different touch should be the ability to manage children and get them to learn.



Within that teaching to children, there is a variant that can be an excellent business idea for 2020: new technologies.

Programming, robotics or drones are already being highly demanded disciplines. And that will only grow even more.

So it will be much easier to convince parents that their children will have a secured future if they know these fields.

If you can make classes fun, entertaining and interactive, you know.



If we want to make our knowledge of a topic profitable, but we don’t want to spend too much time a day, we can write a book about it.

Thanks to the possibility of self-publishing on platforms such as Amazon, we can have that book in digital format and even on paper, without the need to invest in printing, printing or distribution.

The key, again, is the same as always when undertaking: being able to provide the expert knowledge that others are ignoring, and doing so entertainingly and differently.



What can we say? It’s the coach’s years. There are all kinds of them, and it is one of the most direct ways to monetize an area of ​​experience.

Thanks to new technologies, the possibilities of coaching have gone beyond doing it in person. It is a business idea that will continue to rise in 2020, as long as we give a highly demanded topic.

Mixing online courses, book and classroom activity will build our coaching brand and demonstrate what we can contribute.



I have already talked here about the importance of timing. Many times, to have a business that works, you need to surf the crest of the wave. Because when the wind is in favor, the boat does not have to be perfect.

Renewable energies are experiencing a boom, and more since the abolition of the “sun tax.”

Any service in this field, any knowledge that we can acquire or apply, will have that wind in favor as a profitable business idea in 2020, at least for now.



Whether dancing, martial arts, a sport, or having a body in general. The personal training is fashionable and nothing better than these principles of the year to capture people for the summer.

If physical activity is your thing, and you can demonstrate what you say with results, this is always an excellent business idea. Why?

Because liking others and feeling good about oneself is something that is always in demand.



A key in many personal services is that we can target companies.

One of the advantages of this refocusing is that we can make more and better profitability since companies tend to have more budget than many individuals.

If at the time of organizing events, we specialize in companies, one of the keys is to have the experience.

How to win it if we are starting?

I fear that the answer is the same as always: we will have to offer a strong guarantee and lower the price somewhat at the beginning to “get our foot in the door”, before accessing the big projects.

That connects with the next business idea.



The new startups, with a very Silicon Valley philosophy, seek to retain talent. For that, the work environment and culture must be perfect.

In many sectors, especially technology and pointers, the figure of the corporate wellness monitor has emerged.

It is someone who organizes activities, mainly related to health and well-being, in addition to locating work environment problems and proposing solutions.

From meditation sessions, to group activities to strengthen the union and improve camaraderie, are some of the activities performed.

If you know the sport, psychology, yoga, etc., you can probe the terrain in this regard.

The key when you’re starting?

In this class of services, you can carry out demonstrations without risk. Tracing a personalized plan for the client company and with that demonstration without compromise, will earn us points.

Curtains in Dubai presented the few useful small business ideas for 2020 without investments.