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Rates for Oct–Dec 2026PPF 7.1%Sukanya 8.2%SCSS 8.2%NSC 7.7%KVP 7.5%MIS 7.4%RD 6.7%All rates and limits
CalcTortoise

Step-by-step guide

Need money fast: gold loan, personal loan or credit card?

Enter how much you need and for how long. See the cheapest way to borrow.

Written by the CalcTortoise editorial team · How we work

Your numbers

months
Assumed: gold loan 11%, personal loan 13%, 2% fee, card 3.5% a month, 5% minimum due, gold ₹12,000/g. Change

On your card statement as “finance charges”.

Cheapest way to borrow

Gold loan

₹1 lakh over 12 months costs ₹6,058 — ₹22,475 less than a credit card.

Gold loan₹6,058 cost₹8,838 a month · real rate 11%Open the calculator →Personal loan₹9,541 cost₹8,932 a month · real rate 17.6%Open the calculator →
Credit card₹28,533 cost₹10,711 a month · real rate 42%
Gold you need10.7 g22K, at RBI’s 85% limit
Card: paying only the minimum28 years 5 monthscosts ₹3.73 lakh in interest and GST
Why these numbers?
  • Each way is repaid in equal monthly amounts over the same months, so the costs compare fairly.
  • The personal loan counts its 2% fee and the GST on it: you receive ₹97,640.
  • Card interest carries GST too. If gold prices fall, a gold lender can ask you to top up.
  • Once this is repaid, keep paying the same amount into savings — next time you will not need to borrow.

Sources: RBI (Lending Against Gold and Silver Collateral) Directions, 2025 for loan-to-value limits; GST on financial services at 18%.

Frequently asked questions

Which is cheaper, a gold loan or a personal loan?

Usually the gold loan, because the gold secures it. For ₹1 lakh over 12 months in the example, the gold loan costs ₹6,058 in all; the order can change with the rates you are offered.

How much gold loan can I get?

RBI allows at most 85% of the gold’s value for loans up to ₹2.5 lakh, 80% up to ₹5 lakh and 75% above that.

Why is paying the minimum due on a credit card a trap?

Interest is charged on the whole unpaid bill, plus 18% GST on it. Paying only 5% a month (at least ₹200), ₹1 lakh takes 28 years 5 months to clear in the example.

Does a personal loan’s processing fee matter?

Yes. The fee and the GST on it come off the money you receive, which raises the real rate. In the example you receive ₹97,640 of the ₹1 lakh loan.

Calculators this guide uses

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Last updated 10 October 2026. For information only — not financial advice. Check the final figures with your lender or bank.