Here are the top offerings on gold loan interest rates in 2021:


Loan Amount (in Rs.)

Interest Rate

Processing Fee

Bank of India 

Up to Rs. 25 lakhs

7.35% p.a. onwards

None for Rs. 1 lakh and maximum can go up to Rs. 300

State Bank of India

20,000 to 50 lakhs

7.50% p.a. onwards

 None, if applied through the SBI YONO app; 0.25% of the loan amount

Canara Bank

5,000 to Rs. 20 lakhs

7.65% p.a. onwards

0.25% of the loan amount onwards

Punjab National Bank

25,000 to 10 lakhs

8.75% p.a. onwards

0.75% of loan amount

IIFL Finance

3,000 to Unlimited

9.24% p.a. onwards

Dependent on the scheme


No limit

9.69% p.a. onwards



25,000 to Unlimited

9.90% p.a. onwards

1.5% of the loan amount


10,000 to 1 crore

11% p.a. onwards

1% of loan amount

Muthoot Finance

1,500 to Unlimited

12% p.a. onwards

Shared at time of application

Axis Bank

25,001 to 25 lakhs

12.50% p.a. onwards

0.5% of the loan amount

Fincare Small Finance Bank

5,000 to 25 lakhs

12.99% p.a. onwards

Up to 0.5% of the loan amount

A gold loan can be availed to meet urgent financial requirements by pledging gold, gold ornaments, gold jewellery, gold coins as collateral with the bank or lender. Banks and lenders charge interest on the loan borrowed and once the loan has been repaid in full, the gold items pledged by the borrower are returned. Although it is a secured loan, the interest rate on gold loans starts from 7.00% annually.