Typically 9%–18% p.a., short tenure
Gold loan EMI calculator
Gold loans are short and secured against jewellery. See the EMI, the interest cost, and how the repayment structure affects your outgo.
Your loan details
₹3.00 L
Monthly reducing balance. 0% is supported.
Total tenure: 24 months (2 years)
Use this for tenures like 5 years 6 months.
Added to every EMI and applied straight to principal.
Monthly EMI
₹14,052
Loan closes in
2 years
Oct 2028
Total interest
₹37.3K
₹37,250
Total payment
₹3.37 L
Principal ₹3.00 L
Shared links carry only the loan numbers you entered — never any personal details.
| Year | Interest | Principal | Balance |
|---|---|---|---|
| Year 1 | ₹27,200 | ₹1,41,425 | ₹1,58,575 |
| Year 2 | ₹10,051 | ₹1,58,575 | ₹0 |
ByeToEMI — Gold loan statement
Loan amount ₹3,00,000 · Rate 11.5% p.a. · Tenure 24 months · EMI ₹14,052
Assumptions: monthly reducing balance, interest on the outstanding principal, first EMI next month, extra payments applied to principal in the same month, fees shown separately.
Total interest ₹37,250 · Total payment ₹3,37,250 · Closes in 2 years (Oct 2028)
ByeToEMI provides indicative calculations for educational and planning purposes. Actual lender calculations, charges, interest-rate changes and repayment schedules may differ. ByeToEMI is not a lender, loan broker or financial advisor.
These results are mathematical estimates. Your lender's EMI, fees, taxes and prepayment charges may differ. Read the full financial disclaimer.
How this calculator works
Gold loans are given against the value of pledged jewellery, usually up to 75% of it, for tenures from a few months to about three years.
Lenders offer several structures: a regular EMI, interest-only monthly payments with principal at maturity, or a single bullet payment of principal and interest at the end.
This calculator models the regular EMI structure. For interest-only schemes, the monthly interest is roughly the outstanding amount times the annual rate divided by twelve.
The formula used is the standard monthly reducing-balance EMI: EMI = P × r × (1+r)^n / ((1+r)^n − 1), where P is the principal, r is the monthly rate (annual rate ÷ 12 ÷ 100) and n is the number of months. At 0% interest the EMI is simply P ÷ n.
A worked example
A ₹3,00,000 gold loan at 11.5% per year for 24 months has an EMI of about ₹14,058.
Total interest over the two years is roughly ₹37,400, so the total outgo is about ₹3.37 lakh.
Closing the same loan in 12 months instead raises the EMI to about ₹26,570 but cuts the interest to roughly ₹18,900.
Limitations you should know
- Valuation charges, custody fees and renewal charges are not included in the EMI figures.
- Bullet repayment and interest-only schemes are not simulated month by month.
- If gold prices fall sharply, lenders can ask for a part payment to restore the loan-to-value ratio; that risk is not modelled.
Frequently asked questions
- Is a gold loan cheaper than a personal loan?
- Usually yes, because it is secured against jewellery. Rates are typically several percentage points lower than an unsecured personal loan of the same size.
- What happens if I repay a gold loan early?
- Most gold loans can be closed early with little or no charge, and interest is charged only for the period you held the loan, which makes early closure attractive.
- What is the difference between EMI and bullet repayment?
- With an EMI you reduce the principal every month, so total interest is lower. With bullet repayment the full principal stays outstanding until maturity, so you pay interest on the whole amount throughout.
- How much loan can I get against my gold?
- RBI rules cap the loan-to-value ratio for gold loans at 75% of the value of the pledged ornaments, based on the lender's valuation of the gold content.
Last reviewed: 1 September 2026
ByeToEMI provides indicative calculations for educational and planning purposes. Actual lender calculations, charges, interest-rate changes and repayment schedules may differ. ByeToEMI is not a lender, loan broker or financial advisor.