Interest rates range from 9.5% to 16% per annum, depending on the loan amount, tenure, and repayment option. Unlike other loans, your CIBIL score does not affect the interest rate.

Gold loans are usually offered for short to medium terms, ranging from 3 to 36 months.

Even 5 grams of gold is enough to get started. The exact amount required depends on how much you want to borrow.

You can choose from the following options:

• Bullet Payment: No payments during the loan term. You pay the principal and interest at the end.
• EMI (Equated Monthly Installments): Like any other loan, the interest and principal are divided into equal monthly payments.
• "Interest-Only" EMI: The borrower pays only the monthly interest, and the principal is payable at the end of the loan term.

Loan disbursement is usually quick — typically within 45 minutes to a few hours.

In most cases, your CIBIL score does not affect your eligibility for a gold loan. In fact, it is one of the few loans available even to individuals with a poor CIBIL score.