Loan Without Credit Score: For bank loan, credit score should be good and income proof is also required.
Nowadays banks give loans for almost every need. To take a loan from the bank, your credit score should be good. Besides, you also have to provide income proof. Banks generally do not give loans to those who have a bad credit score. Even if they give, they charge more interest. Similarly, taking money from the bank even without income proof is a difficult task. But, there is also a loan which you can get even if you have a bad credit score. Also, for this you do not have to provide any income proof. This loan which has lower interest than instant and personal loan is Gold Loan.
By taking a gold loan you can fulfill your financial needs without any hassle. Gold loan is available immediately. Usually it is available in 2 to 3 days. Banks and NBFCs give gold loans up to Rs 1.5 crore. You can use this loan as per your need. To take this loan you have to pledge your gold. Gold pledged with the bank remains safe. You can bring your gold home by repaying the loan whenever you want.
No need for CIBIL, no need for income proof
Gold loan is a secured loan. A good CIBIL score is not required for this. Also, there is no need to provide any income proof to the bank. The reason for this is that you pledge your precious gold with the bank. Because of this the bank is not in danger of losing its money. You can take gold loan for a period of 3 months to 4 years. Gold loan processing fee is usually 0.5% + GST of the total loan amount.
Interest also less
The interest rates on gold loan are also not very high. Its interest is less than personal loan. The interest rate of gold loan starts from 8 percent per annum. According to Bankbazaar.com, Kotak Mahindra Bank offers gold loan interest at the rate of 8 percent to 24 percent. The interest rate on SBI Gold Loan is 8.70 to 9.80 percent. Punjab National Bank (PNB Gold Loan) is offering gold loan at an annual interest rate of 8.65 percent to 9.25 percent. The interest rate on HDFC Gold Loan is 11 to 16 percent.