A public sector bank should be your first priority as interest rates are lowest compared to private banks and non-banking financial companies (NBFCs). For instance, public sector banks such as the State Bank of India and Canara Bank charge 7.50 per cent and 7.65 per cent interest, respectively, per annum on gold loan. Private banks charge interest rates in the range of 9.90-11.5 per cent a year and NBFCs such as Manappuram Finance, Muthoot finance charge 12 per cent interest annually. … [Read more...] about What are the charges for gold loans, how is the value of ornaments calculated, which lenders are the best and other key questions answered
Sovereign gold bonds (SGB): SGB is issued by the RBI in tranches through scheduled commercial banks, recognised stock exchanges, designated post offices, etc. The minimum and maximum investment allowed to each individual investor per financial year is 1 gram and 4 kg, respectively. In addition to the potential of capital appreciation, SGB investors also benefit in the form of interest of 2.50 per cent annually payable in half yearly rests. While the interest income is taxable as per the tax slab of the investor, any capital gains resulting from the redemption of SGB is tax-exempt. Indexation benefits are applicable on long term capital gains arising out of transfer of bonds to other individuals. Another major advantage of SGB is the ability to use it as a collateral for availing bank loans. … [Read more...] about What’s the best way to invest in gold now?
Gold steadied near a one-week high on Thursday as the dollar weakened, but the yellow metal traded in a narrow $8 range as investors held back from making large bets ahead of the European Central Bank's monetary policy decision due later in the day. … [Read more...] about Gold at one-week high as weak dollar supports; ECB meet in focus
The dollar jumped to a near one-month high, as the pound dropped to a six-week low on renewed worries about Brexit and as risk appetite waned. A stronger greenback makes gold more expensive for holders of other currencies. … [Read more...] about Gold flat as dollar strength counters safe-haven demand
"Gold has become the go-to asset for investors in times of uncertainty. It has been on a ride with absolute returns of 40 percent year-to-date. Low yields in the US treasuries, low-interest rates and massive amount of liquidity pushed by major central banks across the globe has resulted in euphoria for the yellow metal," Prathamesh Mallya, AVP- Research, Non-Agri Commodities and Currencies at Angel Broking said. … [Read more...] about Increase in LTV ratio negative for gold loan financing firms, but good for banks: Experts