Indians possess never ending love for gold jewelry and that is universally known. We Indians hold the record of importing around 25 ~ 33% of the gold production all across the globe. Be it as jewelry for occasions or bars and coins for investments, the intrinsic gold-value is revered and treasured all over.
The lenders understand that and so, appreciate the value of gold, whatever form it is in, provided it is pure and weighs over permitted extent. Gold is precious as its rare, and its extraction and processing a lot of time and effort consuming. Regardless the form of gold, its basic worth is linked to the international demand and supply factors, which adds up to a significant value. Let’s have a look at the ways you can use your gold other than wearing it once in a blue moon!
Leveraging Gold against a Bank Loan
If you have some gold, and have no idea how to meet urgent need of cash, you can simply go to the bank with the gold and get a gold loan. A gold loan is popular for its easy disbursement as well as quick processing against the safety of gold as collateral. The interest rates on gold loan are strikingly low, with varied tenure options and easy acquiring of the loan with gold as security deposit. The lenders stay on the safe side knowing that they have the option to sell the collateral in case of failed payment of loan amount.
ABCDs of Buying and Selling Gold
Now the question is how to put the entire potential of the gold to use?
First of all, you must be aware of gold price movements in the market. The most basic, ancient and most trusted way of making most of gold is by buying low and selling high. Observing the global indicators and factors contributing to gold rates and get into smart purchases on right time. There’s least chance of gold rate falling lower than the purchase price by a huge difference, and it’s almost a sign for you to appreciate it over the upcoming years and seeing the value grow.
So the trick is to buy when the price of gold is low, and to wait for selling it for a couple of years regardless what fluctuations occur in between. After a span of 2 to 3 years, look for the highest price and sell it. It’s never a wise idea to sell off your gold if there’s no dire need. This way, you will always have a good amount of gold to rely on. So after you have sold the gold, wait for the time the gold rate goes low and then buy another chunk to repeat the process.
Benefits of Gold Loan
- Low interest rate on gold loan
- Flexible tenure
- Minimal documentation
- Quick processing
- Fast disbursement
Gold loan comes with the above benefits and more to provide you the much needed financial support in the time of crisis. In a way, you make the most of the gold lying in a corner of your locker!