Jana Small Finance Bank Agriculture Gold Loan

Jana Small Finance Bank Agriculture Gold Loan Features & Benefits

Jana Small Finance Bank is a small finance bank based in Bengaluru, India, that began operations on March 28, 2018. Under Section 22 (1) of the Banking Regulation Act, 1949, the Reserve Bank of India granted the bank a licence. Janalakshmi Financial Services, India’s largest microfinance organisation, was created on July 24, 2006, before becoming a bank.

Following the 2016 Indian banknote demonetisation, the firm suffered substantial losses as a microfinance lender, citing total losses of 2,504 crores (US$356 million) at the time of its conversion to a small finance bank.

In November 2019, Jana said that the September 2019 quarter was the company’s first profitable quarter after demonetisation. The bank’s current CEO is Ajay Kanwal.

Jana Small Finance Bank Agriculture Gold Loan Calculator

The Jana Small Finance Bank Agriculture Gold Loan allows farmers to get cash in exchange for insured gold, which they may use to help with agricultural planting and harvesting. However, it’s also critical to understand the loan’s terms, which can be done with the help of an online EMI calculator, which shows the monthly EMI charges for the required amount. Some of the factors that determine EMI estimations are as follows:

The value of the jewellery you may put up as collateral with the bank determines the amount of a gold loan you may be qualified for. Banks frequently give a gem loan based on the weight of gold.

This changes depending on the gold purity and the loan amount calculated using a pre-determined LTV ratio. On higher sums of money, banks provide lower interest rates. The Jana Small Finance Bank offers loans ranging from Rs. 5,000 to Rs. 20 lakh.

Customers who open accounts with the Jana Small Finance Bank can take advantage of special rates, incentives, and fees. Customers who have paid their gold loans on time in the past are eligible for low-interest loans from the Jana Small Finance Bank.

Shorter-term gold loans have higher interest rates, whereas longer-term gold loans have lower interest rates. The Jana Small Finance Bank offers gold loans for six to twelve months.

For gold jewellery, the Reserve Bank of India has set a maximum loan-to-value (LTV) ratio of 75 per cent. On the other side, the Jana Small Finance Bank offers loans with lower LTVs. The interest rate for agriculture gold loans with a lower LTV will be cheaper than those with a higher LTV. Based on the net weight of gold in your jewellery, the Jana Small Finance Bank provides a maximum LTV of 75%.

One of the Jana Small Finance Bank’s main lending criterion is gold loans for agriculture.

Jana Small Finance Bank Agriculture Gold Loan Eligibility

There are certain requirements that are required to be fulfilled to avail a agriculture gold loan:

• The applicant should have attained at least 18 years of age
• The individual should have his own gold ornaments or articles that can be pledged
• The gold to be pledged should be 18 carats or above
• The applicant should have a decent CIBIL score

Documents Required for Jana Small Finance Bank Agriculture Gold Loan

Jana Small Finance Bank Agriculture Gold Loan Rate Per Gram by Gold Purity

The India-based Jana Small Finance Bank is a financial institution. Agriculture Gold Loans from the Jana Small Finance Bank are a one-of-a-kind programme open to both public and commercial enterprises. Agriculture has been practised by the vast majority of India’s inhabitants from ancient times, resulting in a country with high agricultural intensity.

The annual interest rate for agriculture gold bank loans is 7%, and it rises with time. Interest rates on agricultural gold loans vary per bank, as do eligibility, repayment terms, fees, and penalties.

The above table shows the method by which Banks will calculate your per gram gold loan for gold of varying purity.

• Gold loan per gram offer for 22-carat jewelry will be between ₹ 4,620 to ₹ 4,956
• Gold loan per gram offer for 20-carat jewelry will be between ₹ 3,795 to ₹ 4,178
• Gold loan per gram offer for 18-carat jewelry will be between ₹ 3,460 to ₹ 3,784

Jana Small Finance Bank Agriculture Gold Loan Interest Rates Per Gram

The rates for borrowing gold loans from the Jana Small Finance Bank Agriculture Gold Loan are as follows:

Historical Gold Loan Rates Per Gram

Because of India’s imperial heritage and abundance of natural resources, our soil can sustain a wide variety of plants and flowers. Diverse geographical aspects have an influence on the development and long-term survival of various crops and plants in different sections of the country.

Despite the fact that farming is the country’s most common activity, the bulk of it is done for profit.

Using current methods, commercial farming is not practised on a big enough scale in the country. The market provides a number of agriculture-specific gold loans, such as the Jana Small Finance Bank Agriculture Gold Loan, to address this issue.

Major Banks Agriculture Gold Loan Per Gram Rate Comparison 

Tips to Get The Highest Agriculture Gold Loan Amount from Jana Small Finance Bank 

Any farmer may acquire an agriculture gold loan from one of the many lenders on the market, but applicants must meet the following criteria to receive the best deal and avoid fraud and other financial problems.

• Because a gold loan is secured, the loan amount is determined by the value of the gold you put up as collateral. Banks and non-bank financial organisations (NBFCs) cannot lend more than 75% of the value of gold, according to the Reserve Bank of India.
• These loans are often awarded within a few hours after receiving the loan application because they need minimal paperwork. As a consequence, a gold loan may be a viable option for coping with financial difficulties.
• Gold loans are short-term loans with periods ranging from seven to three years and repayment options ranging from seven to three years. In addition to the usual EMI repayment option, borrowers can choose to return the whole interest amount now and the principal component later at the end of the loan period.
• The interest rate on a gold loan is determined by the lender’s risk assessment, which can range from 7% to 12% each year. The interest rate on gold loans is influenced by the loan-to-value (LTV) ratio, loan period, loan amount, and other factors.
• Lenders will demand processing fees and expenditures once you’ve completed your gold loan application. It typically varies between 0% and 2% of the overall loan amount. A one-time fee may be charged by some lenders. This expense should be researched before filing your loan application since it may be taken into account if you are looking for a large-ticket loan.