Vol. 4, Issue 9, Part B (2018)

Loan against gold always carries interest. Many nationalized banks, private banks, other financial companies and money lenders offer gold loan at attractive rates. Many go for this loan for short period to meet the requirement of their children’s education, marriage and other financial problems in the family. And others think that instead of keeping the gold idle at home or locker, loan against gold is the best option. Moreover with the rise in gold rates the demand from companies and banks offering such loans has raised. In this study an effort was made to analyse the rate of interest charged by organised and unorganised sector on loan lent against gold.