Though in India the healthcare cost is low comparatively, it is surely a financial burden on middle-class families even today. But gold is also an easily available asset with almost every family in India. And gold loans for such cases are definitely a great option!
There are certain bankers, says my personal experience, who would not encourage you to go for gold loans because of simple reason – they don’t get incentives out of that but if you approach the right bank like Muthoot Finance, not only your loan would be disbursed in few hours but you will also get the comfort that you require in such an emergency condition.
Muthoot Gold loans are easier – you can avail it without your credit history. So you actually do away with the huge amount of paperwork because you are taking a loan against a security. And you get a loan in a few hours. You just have to give your identification proof and your loan will be disbursed as soon as possible.
Also, Muthoot Gold loan has a very good option for repayment. You can repay the principal amount at the end of your tenure in lump-sum and pay the interest as EMI. So, you can be less burdened for something like a medical emergency when you have to recover physically as well as financially. For example, if you take a loan of INR 5 Lac at 12% p.a. the interest rate for two years, then monthly you would be required to pay INR 2500 and at the end of two years, you pay the principal amount together, ie, INR 5Lac. This flexibility is not easily available say in case of personal loan, you pay around INR 12000 every month, which includes the principal amount keeping everything the same.
By writing about gold loans, I just want my readers to understand that through loans are a burden and I know people tend to avoid that. But at the time of need, never hesitate to use something that lies in your locker undisturbed for ages. And yes, loans are a better option than selling off your gold. You really don’t have to part with your appreciating asset!