Corona epidemic After that the gold loans have increased rapidly. Gold loans are also easily given by banks due to a secured loan. Also, the interest rate on the gold loan is also lower than the personal loan. Due to this, the demand for gold loan has increased rapidly. Now the question arises that if you take a gold loan and for some reason you are unable to repay his EMI. In such a situation, your gold can be auctioned after not paying so many EMIs. Is there any option to save gold in the condition of not paying EMI. Let’s answer all your questions.
How much EMI is not repaying the danger of auction?
Usually, if you do not pay EMI or loan continuously for 3 months (90 days) by taking a gold loan, then your account is declared NPA. The bank or NBFC then sends you notice, which is asked to repay the loan within 15 to 30 days. If you do not give EMI even after this notice, then banks start the process of auction. Let us tell you that by taking a gold loan, you not only lose your gold, but also limit the options of taking loans in the future. By defaulting the loan, your credit score deteriorates and later banks refuse to give loans.
Can gold be saved after default?
Now the question arises that if you are not paying the Gold loan EMI, can you save your gold auction. Let me tell you that for this, talk to you for loan restructuring. You tell the bank that due to which crisis you are not able to repay the Gold loan EMI. Banks can give you the option of loan restructuring. In this way, you can save your gold from auction by taking deferment. Apart from this, you can prevent gold auction by paying partial arrears. To prevent EMI default of gold loan, you can think of loan transfer to another bank.
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