Gold Loan Scheme

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✅ Eligibility

• Farmers, agriculturists, and other customers with satisfactory dealings and KYC compliance.
• Age: Minimum 18 years, Maximum 65 years.
• Borrower must own the Jewellery.

• Agriculture & Allied Activities
• Consumption / Domestic / Medical purposes
  (❌ Not for speculative purposes)
   

• Minimum: ₹5,000/-
• Maximum: ₹1,00,000/-
  (subject to maximum 70% of the gold valuation as per approved valuer)

• Term Loan for agriculture and non-agriculture purposes.
• Maximum period: 1 year.
   

• By approved Shroff / Jewel Appraiser notified by Head Office.
• Valuation must use appraisers accepted for Wealth Tax Assessment.

• For Agricultural Purposes:
  Repayment tied to harvesting period.
• For Others:
  • 12 EMIs, or
  • Short-term loan for 1 year:
    • Monthly servicing of interest
    • Bullet payment of principal on due date
    • Post-dated cheques (PDCs) to be obtained accordingly.

1️⃣ Security: Gold Jewellery pledged to the bank.
2️⃣ Custody Procedure:

• Ornaments placed in plastic box with cloth seal, mentioning:
  • Borrower’s name
  • Nature of articles
  • Account number
  • Date of advance
• Sealed immediately post-valuation with borrower’s & credit in-charge’s signatures.
• Kept in branch strong room under joint custody of officials with cash keys.
• Each packet:
  • Serially numbered
  • Entered in Jewellery Pledge Register with:
    • Full description (nature, gross weight, value, item count)
    • Borrower’s name, address, account number.
    • Borrower’s signature at pledge & at release upon settlement.

• Jewellery pledged must be insured by the branch against burglary & fire risks (FRS). 
• Insurance premium to be borne by the borrower.

•  If unpaid on due date:
  1. Issue notice demanding repayment within a specified period.
  2. If no response, send registered reminder warning of auction.
  3. On auction, sale proceeds adjust outstanding dues.
  4. Excess amount refunded to the borrower.

✅ Borrower’s identity must be properly introduced and verified.
✅ Obtain declaration of bonafide ownership of ornaments.
✅ ❌ No loans against:

• Primary gold (24-carat gold bars, biscuits)
• Jewellery not owned by the borrower.
• Jewellery embedded with another person’s name unless loan is jointly in both names.

1. Prescribed Loan Application Form
2. Bank Account Statement
3. KYC Documents:
   • ID Proof
   • Address Proof
   • Income Proof

         4. Stamped Loan Agreement

         5.Valuation Certificate from approved appraiser, countersigned by the borrower

• Branch Heads: Approvals up to ₹1,00,000/-.
• Above ₹1,00,000/-: Approval required at Head Office Level.

✅ Fast processing with minimal documentation
✅ Lower interest rates than personal loans
✅ Utilizes idle gold for productive/urgent needs
✅ Flexible repayment aligned with income cycle
✅ Secure storage & insured Jewellery