The leading non-bank financial corporation (NBFC) – IIFL Finance, has launched gold lending products with interest rates starting at 0.54 percent – one of the lowest interest rates offered by an NBFC gold loan. The program is available at more than 2,200 branches of IIFL Finance, according to a recent statement shared by the company.
Gold loan is a secure financial product in which gold jewelry is taken as collateral. When valuing gold, the market value is calculated using the market rate per gram on the day of the loan application. Only the gold parts are used to calculate the value. Other metals, stones and gems are excluded from the calculations.
IIFL Gold Loan offers a longer life of up to 24 months, allowing clients to better manage their cash flow. In addition, it offers clients flexible interest repayment – monthly, bi-monthly, quarterly and semi-annual options – depending on their needs.
A client can visit the IIFL Finance branch and receive the loan within 30 minutes. The company offers a five-day grace period for repayment of interest, which is new to this segment.
“IIFL Finance has a loyal customer base with over 70% of customers choosing to do business with us again. Our clients include farmers and small entrepreneurs, who have used gold loans to meet their capital needs. They appreciate our lower interest rates, our longer tenure. , a grace period and easy digital repayment options, ” said Mr. Saurabh Kumar, Business Manager – Gold Loans, IIFL Finance.
Shares of IIFL Finance were last trading 0.56 percent higher at Rs 286.75 each on BSE. Shares of IIFL Finance opened on BSE at Rs 287, recording an intra-day high of Rs 290.20 and an intra-day low of Rs 279.90 during the trading session so far.