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Gold Loan Calculator

Loan

Calculate your gold loan eligibility and monthly EMI based on gold weight, current price, and loan-to-value ratio. Free EMI calculator for India.

Reviewed by the thecalcu.com team · Last updated 2 August 2026

🇮🇳This tool is specific to India
11,000

seven thousand rupees

₹1,000₹20,000
5075
724
336

Loan Eligibility

₹2.63 L
Monthly EMI
₹23,200
Total Interest
₹15,902
Total Payment
₹2.78 L

This calculator computes your Loan Eligibility, Monthly EMI, Total Interest, Total Payment from the values you enter.

Inputs
Gold WeightGold Value (24K)Loan-to-Value (LTV)Interest Rate (p.a.)Loan Tenure
Outputs
Loan EligibilityMonthly EMITotal InterestTotal Payment

What is a Gold Loan?

A Gold Loan Calculator estimates how much loan you're eligible for against your gold, based on its weight, current market value, and the loan-to-value (LTV) ratio your lender applies, then calculates the monthly EMI on that loan amount. Gold loans are one of the fastest and most accessible forms of secured borrowing in India, since the pledged gold itself substantially reduces the lender's risk.

This calculator handles both halves of the gold loan decision, how much you can borrow, and what you'd pay back monthly, in one place. It pairs well with the Gold Investment Calculator for understanding the other side of gold ownership, and the Personal Loan EMI Calculator for comparing against an unsecured borrowing alternative.

Why Use a Gold Loan Calculator?

Knowing your gold's market value doesn't immediately tell you how much loan you'd actually be eligible for, since lenders only offer a percentage of that value (capped at 75% by RBI regulation) rather than the full amount. Without applying that LTV percentage and then running the EMI calculation, it's hard to plan whether a gold loan will actually cover what you need and what the monthly repayment commitment looks like.

This calculator does both calculations together. Someone considering a gold loan for an emergency expense, a business need, or a short-term cash requirement can see their likely eligible amount and repayment schedule before visiting a lender, the same way the Loan Eligibility Calculator helps assess borrowing capacity for other loan types.

Who Should Use This Calculator?

  • Anyone considering a gold loan for short-term cash needs, who wants to estimate eligibility before approaching a lender.
  • Small business owners using gold as collateral for working capital financing.
  • Households comparing gold loans against other borrowing options like personal loans or loans against property.
  • Anyone planning loan affordability who wants to see the EMI commitment before committing to a tenure.
  • Financial advisors illustrating gold-backed borrowing scenarios for clients.

What Insights Does the Gold Loan Calculator Give You?

The calculator returns four figures covering both the borrowing and repayment sides of a gold loan:

  • Loan Eligibility, the maximum amount you could likely borrow, based on your gold's value and the LTV ratio applied.
  • Monthly EMI, the fixed monthly repayment amount for your chosen tenure and interest rate.
  • Total Interest, the total interest cost over the full loan tenure.
  • Total Payment, the full amount repaid over the loan's life, principal plus interest combined.

How to use this Gold Loan calculator

  1. Enter your Gold Weight in grams.
  2. Update Gold Value (24K) with today's actual gold rate.
  3. Set the Loan-to-Value (LTV) ratio your lender offers, 75% is the RBI-permitted maximum.
  4. Enter the Interest Rate your lender quotes.
  5. Set your preferred Loan Tenure in months.
  6. Read the Loan Eligibility result for your estimated maximum loan amount.
  7. Check Monthly EMI, Total Interest, and Total Payment to understand the full repayment commitment.
Show formula & methodology ↓Show less ↑

Formula & Methodology

The calculator first determines loan eligibility, then applies the standard EMI formula:

Loan Eligibility = Gold Weight × Gold Value per Gram × LTV%

EMI = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), where P = loan eligibility, r = monthly interest rate, n = tenure in months

Worked example: for 50 grams of gold at ₹7,000/gram, 75% LTV, 11% annual interest, over 12 months:
- Gold Value = 50 × 7,000 = ₹3,50,000
- Loan Eligibility = 3,50,000 × 75% = ₹2,62,500
- Monthly EMI on ₹2,62,500 at 11% for 12 months ≈ ₹23,180

Frequently Asked Questions

How much loan can I get against my gold?
Indian banks and NBFCs can lend up to 75% of your gold's market value, as per RBI's loan-to-value (LTV) regulations for gold loans. So if your gold is worth ₹1,00,000, you could be eligible for a loan of up to ₹75,000, depending on the lender's specific policy.
What is loan-to-value (LTV) in a gold loan?
LTV is the percentage of your gold's value that a lender will offer as a loan, RBI caps this at 75% for gold loans in India, meaning lenders cannot offer more than three-quarters of your gold's assessed market value as a loan amount. Some lenders offer lower LTV ratios depending on their risk policies.
How is the gold's value assessed for a loan?
Lenders typically value gold based on its purity (22K, 24K, etc.) and weight, multiplied by the prevailing gold rate, often using a rate slightly below the live market rate as a safety margin. The exact valuation method can vary slightly between lenders, so the figure from your lender's appraisal may differ slightly from this calculator's estimate.
What interest rate should I expect on a gold loan?
Gold loan interest rates in India commonly range from around 7% to 24% per annum, depending on the lender, loan amount, tenure, and your relationship with the bank or NBFC. Gold loans are generally cheaper than unsecured personal loans because the gold itself serves as strong collateral.
What happens if I can't repay my gold loan?
If you default on a gold loan, the lender has the legal right to auction your pledged gold to recover the outstanding loan amount, after following the required notice procedures. This is why gold loans, despite being relatively easy to obtain, still carry real risk if repayment isn't managed carefully.
Can I get a gold loan without EMI payments?
Yes, many gold loans offer a bullet repayment option, where you pay only interest periodically (or none at all) and repay the full principal at the end of the tenure, instead of equal monthly instalments. This calculator models the standard EMI repayment structure; check with your specific lender if you want a bullet repayment option instead.
What's the difference between this and the Personal Loan EMI Calculator?
The [Personal Loan EMI Calculator](/in/personal-loan-emi-calculator/) calculates EMI for an unsecured loan based purely on the amount, rate, and tenure you specify, while this Gold Loan Calculator first determines your loan eligibility from your gold's value and LTV ratio, then calculates EMI on that eligible amount.
Why might my actual gold loan offer differ from this calculator's result?
Lenders may apply a slightly different gold valuation method, processing fees, or a different LTV ratio than the maximum allowed, all of which can shift the final approved amount and EMI from this calculator's estimate. Use this as a planning estimate and confirm exact figures with your specific lender.
Is a gold loan a good option compared to selling gold outright?
A gold loan lets you access funds while retaining ownership of your gold, which you get back once the loan is repaid, useful if you expect gold prices to rise or simply don't want to part with jewellery with sentimental value. Selling outright gives you the full value immediately but permanently, with no repayment obligation.
How quickly can I get a gold loan approved?
Gold loans are typically among the fastest loan types to process, often disbursed within a few hours to a day, since the gold collateral itself substantially reduces the lender's risk and need for extensive credit checks.
Also known as
gold loan eligibility calculatorgold loan EMI calculatorloan against gold calculatorgold loan interest calculatorgold jewellery loan calculator