A gold loan is one of the easiest ways to raise funds by an individual. Gold laying in the lockers of people has been able to do nothing. Gold loan in a way allows the people who want to get their gold to work. That is why gold loans became enormously popular. It is very safe, secured involving minimum documentation.                                                                                                                                                                                                                                            

A gold loan is a loan where a borrower pledges their gold with the lender. In this process verification of the quantity and quality of the gold plays a vital role. So the lender gets the gold verified whether in-house or from anywhere. An amount equivalent to generally 80% of the value of the gold is assigned to the borrower.                                                                                                                                                                                                                                            

As a gold loan is a secured loan only 80% amount is approved. In case if the customer makes any default, banks have the liberty to sell the gold in the open market and recover their money and interest.