When an emergency comes standing tall on the head, gold lying safe in the locker can become your greatest asset. Of course, with the possibility of taking a loan against gold, fulfilling sudden money needs has become incredibly easier. This article narrows down some instances where a loan against gold come in handy.
Immediate cash requirements might often leave you puzzled when it comes to figuring out where to get the amount from. However difficult it might appear to settle such urgent needs, you can always go on with leveraging the assets you have. A loan against gold turns out to be a viable option when you want to arrange money for various situations. So, here are five such situations where a loan against gold can help you out tremendously.
- An Alternative to Education Loan: While education loan is the go-to option for funding the higher studies, sometimes, it may not be able to help you. Education loan generally needs a guarantor which may restrict its availability. Moreover, an education loan cannot be availed on certain offbeat courses. Are you troubled with the rejected loan application of your child and want to keep up with education costs? It’s time to take out your yellow metal and use it to battle this situation. Borrowers don’t have to be worried about their credit scores while taking a loan. This is why you can quickly get your loan approved by showing some essential documentation and identity proofs.
- Fund Medical Emergencies: Healthcare requirements can sometimes go uncovered by your medical insurance, and you’re left with no other option but to consider a loan. Instead of delaying the process, you can use your gold assets to let you combat these medical emergencies. Such situations tend to come uninvited, but it gets convenient to arrange the amount without having to bear any hefty interest rates that come with other fast loan options such as personal loans.
- Growing Business Needs: Any business requires a capital investment which can turn out to be taxing to manage at times. You might be needing additional funds to expand a venture or purchase some equipment for your company. This is where you can go ahead with a loan against gold and get the amount disbursed from the lender to meet the monetary crunch.
- Expand Your Wedding Budget: Marriage planning can often surprise you with unforeseen costs that might disrupt your entire budgeting. Instead of cutting down on your wedding expenses, you can handle the situation with the help of this loan. For this, you need to look for a reputed lender who can offer a significant percentage of the market value of the gold you are putting as collateral.
- Arranging Quick Down Payments: Keeping up with the down payment of your dream home or car can also make you look for loan options. However, taking a personal loan might doom you with high rates of interest. Going for a gold loan can render you with the most affordable repayment situation as you only need to cater to a relatively lower interest rate.
As you can see, it becomes clear that loan against gold turns out to be a thoughtful choice when you want to use your existing assets to deal with the cash crunch. Ensure doing ample market research before reaching out to a lender for such a loan.