Gold Loan EMI Calculator
Calculate your eligible gold loan amount based on gold weight, purity and LTV. Instant EMI calculation.
Last updated: April 2026
Default ₹6,500/g (24K reference price)
Gold Value Breakdown
Gross Weight
50g
Pure Gold (22K)
45.80g
Gold Value
₹2,97,700
LTV Applied (75%)
₹2,23,275
Eligible Loan Amount
₹2,23,275
Monthly EMI
₹19,838
Total Interest
₹14,778
Total Payment
₹2,38,053
Interest to Loan Ratio
6.6%
What is a Gold Loan?
A gold loan is a secured loan where you pledge your gold jewellery or ornaments as collateral to get instant funding. The loan amount is based on the weight, purity of your gold and the lender's LTV ratio.
Gold loans are popular in India for emergency needs due to fast processing (often within hours), lower interest rates compared to personal loans, and no credit score requirement.
How to use this calculator
- 1Enter gold weight — Total weight of gold jewellery you plan to pledge (in grams).
- 2Select purity — Choose 24K (99.9%), 22K (91.6%), or 18K (75%) — most Indian jewellery is 22K.
- 3Set gold price — Current gold price per gram (check MCX or bank's rate — typically slightly lower than market).
- 4Set LTV ratio — 75% is the RBI maximum for NBFCs. Banks may offer up to 90%.
- 5View EMI and loan details — See your eligible loan amount and monthly EMI.
Formula & example
Loan = Weight × Purity × Price/gram × LTV% EMI = [L × r × (1+r)^n] / [(1+r)^n - 1]
50g of 22K gold at ₹6,500/gram, LTV 75%:
Loan = 50 × 0.916 × 6,500 × 0.75 = ₹2,22,900
At 12% for 12 months: EMI = ₹19,804/month
Benefits
No credit check
Gold loans don't require CIBIL score — only the gold value matters.
Fast disbursement
Loan disbursed within hours at gold loan NBFCs and banks.
Lower rate than personal loans
Gold loans at 7-15% vs personal loans at 12-24%.
Flexible repayment
Choose between EMI, bullet repayment, or overdraft facility.
Use cases
Emergency medical expenses
Instant cash against idle gold jewellery for medical emergencies.
Business working capital
Short-term business funding without lengthy documentation.
Agricultural needs
Farmers use gold loans for seasonal agricultural expenses.
Debt consolidation
Replace high-interest credit card debt with lower-interest gold loan.
Frequently asked questions
How is gold loan amount calculated?+
Gold loan amount = Gold weight (grams) × Purity factor × Market price per gram × LTV ratio. For example, 50g of 22K gold at ₹6,500/gram with 75% LTV = 50 × 0.916 × 6,500 × 0.75 = ₹2,22,900 eligible loan.
What is LTV ratio in gold loans?+
LTV (Loan-to-Value) is the percentage of gold value you can borrow. RBI allows maximum 75% LTV for gold loans by NBFCs. Banks may offer up to 80-90% in some cases. Higher LTV means higher loan but also higher interest.
What is the interest rate on gold loans?+
Gold loan interest rates typically range from 7% to 24% p.a. Banks like SBI and HDFC offer rates from 7-11%, while NBFCs like Muthoot and Manappuram typically charge 12-24%. Rates depend on tenure, LTV and your profile.
What gold purity is accepted for gold loans?+
Most lenders accept 18K, 22K and 24K gold jewellery. 22K (91.6% pure) is most common as it's used in Indian jewellery. 24K gold bars/coins are also accepted. Below 18K purity may be rejected or offered lower LTV.
Is there a maximum tenure for gold loans?+
Most gold loans have short tenures of 3-36 months. Some lenders offer bullet repayment (pay interest monthly, principal at end) or EMI-based repayment. Tenures beyond 36 months are rare for gold loans.
Related articles
Gold loan vs personal loan: Which is better?
Comparing interest rates, documentation and speed of gold loans vs personal loans.
Muthoot vs Manappuram vs SBI gold loan rates 2026
Comparing the biggest gold loan providers on rates, LTV and processing fees.
How to get maximum loan on your gold jewellery
Tips to maximize your gold loan amount: purity, LTV negotiation and lender choice.