Gold Loan Calculator
Calculate your eligible gold loan amount based on gold weight, purity, current rate, and loan-to-value ratio, plus estimated EMI.
Gold Weight (grams)
g
Gold Purity
Current Gold Rate (24K, per gram)
₹
Loan-to-Value (LTV %)
%
Interest Rate (% p.a., optional)
%
Tenure (months, optional)
months
Eligible Loan Amount
₹ 2,40,450
Appraised Gold Value
₹ 3,20,600
Estimated EMI
₹ 21,139
Total Interest Payable
₹ 13,223
How gold loan eligibility is calculated
A gold loan lets you borrow against gold jewellery or coins you already own, without selling it. Lenders first appraise your gold's value based on its purity (karat) and the current gold rate, then lend you a percentage of that value — the Loan-to-Value (LTV) ratio. In India, the Reserve Bank of India caps gold loan LTV at 75% of the gold's value for most lenders.
Formula
Eligible Loan = Appraised Value × LTV%
Purity converts your karat to a fraction of pure (24K) gold — 22K gold is about 91.6% pure, 18K about 75% pure. Enter the current 24K gold rate per gram; the calculator adjusts it for your gold's purity automatically. If your lender offers a fixed interest rate and tenure, the calculator also estimates the resulting EMI.
Example
50 grams of 22K gold (91.6% pure) at a 24K rate of ₹7,000/gram appraises to roughly ₹3,20,600. At 75% LTV, the eligible loan amount is about ₹2,40,450. At 10% annual interest over 12 months, the EMI comes to roughly ₹21,120/month.
Common Use Cases
- Estimating how much you could borrow against gold jewellery before visiting a lender.
- Comparing eligible loan amounts across different karat purities for the same weight.
- Checking the EMI impact of different tenures or interest rates before taking a gold loan.
FAQs
What is LTV in a gold loan?
Loan-to-Value is the percentage of your gold's appraised value that a lender will actually lend you. In India, RBI regulations cap gold loan LTV at 75%, meaning if your gold is worth ₹1,00,000, the maximum loan is ₹75,000 — lenders may offer less depending on their own risk policies.
Does gold purity really change how much I can borrow?
Yes — purity directly scales the appraised value. The same weight of 24K gold is worth more than 22K or 18K gold of identical weight, so higher-purity gold yields a proportionally higher eligible loan amount at the same LTV.
Are gold loan EMIs always amortizing like a regular loan?
Not always — many gold loans let you pay interest-only each month (or even upfront) and repay the principal as a lump sum (bullet payment) at the end of the tenure. This calculator estimates a standard amortizing EMI; check your lender's specific repayment structure, since your actual monthly payment may differ.