Financial emergencies may arise due to urgent medical needs, demanding quick access to funds. In such situations, the required funds surpass the current available resources. Prakash, a salaried individual from Vijaywada, encountered a similar situation that he navigated through the smart choice of taking a gold loan
The life was all merry go round for Prakash, until he got news of his brother being admitted to the city hospital after a road accident. The disheartening news also brought a challenge of arranging funds for an immediate, life-saving operation to be performed upon his brother. Being the sole earner with a family depending upon his limited salary, he had no surplus available for this medical emergency. After inquiring through relatives and close friends, he still fell short of a substantial amount. It was then his wisdom prevailed that he thought of pledging the idle gold jewellery and avail gold loan. The required funds were arranged and disbursed, and the medical emergency was navigated well.
Gold as saviour in financial crisis
In addition to the sudden medical situation faced by Prakash, the unexpected financial crisis arise sometimes for even less pressing matters like seizing a business expansion opportunity or meeting higher studies educational expense. It is always prudent to be proactively prepared for such unforeseen situations with the available resources and overcome them without enduring significant harm. The rationale of keeping aside a portion of income for gold investment was best understood by Prakash when he availed of a gold loan. The gold investment is twofold: it serves as both an investment and a safety net during potential financial downturns. This principle remains valid to this day.
Why gold loan is advantageous
The below points underscore why a gold loan stands out as the most advantageous form of credit.
Hassle-free process: Taking a gold loan is absolutely hassle-free. It has least documentation and does not require income proof, credit score etc. like for other loans.
Instant: The gold loan is instant. Once the valuation is done the disbursal is immediate.
No Credit Score: Since the borrower is submitting gold as collateral no other documentation is needed. In fact, gold loan is the best option for the borrowers with lower credit score.
Lesser Charges: Gold loans do not have pre-payment charges and incur least processing fees, hence are always cheaper than other loans.
Large Loan Amount: Unlike other loans where the documentation and processing is directly proportionate to the loan value, gold loan is quickest to arrange large funds required for any business investment or medical emergency. Lender can sanction maximum amount basis gold’s market value.
Repayment Customization: The repayment of gold loan can be tailored to suit the borrower’s convenience. The lenders have multiple schemes to match every borrower’s need.
Safest: Once the borrower has repaid the loan, the gold pledged is returned.
No Purpose Restriction: The gold loan has no purpose restriction. The borrower is free to use it for business or leisure.
In today’s digital world, the gold loan has become more convenient. Now the borrowers need not visit the branch for every occasion like application, disbursement of loans, interest payment, loan closure, etc. The Arvog gold loan offers doorstep service. So no more worries for any unforeseen financial crisis. A gold loan is the most convenient and quick way to access funds in times of need; however, it is advised to borrow responsibly and understand all the terms as stated in the Key Facts Statement before signing for it.
Arvog is a new-age, AI/ML-powered, customer-centric finance company that makes digital lending quick, efficient, and easy. We see worth in in lending wings to people’s aspirations, hopes and dreams. We believe purpose-driven credit can be a true-life enabler. Arvog is here to lend a helping hand, with affordable loans designed specifically for those who need them the most.
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