The interest rates on a gold loan varies and is dependent on the amount you have borrowed. But generally, they are relatively lower than other kinds of loans since the bank has your gold as security in case you default.

The interest rate also varies depending on how much the loan amount is compared to the value of gold you are pledging. The interest rates are lower when the loan amount is not more than 50-60% of the total value of the gold pledged. However, if the amount borrowed is high as compared to the value of the gold, the interest rate will be correspondingly higher.