Find the EMI for a gold loan — a loan you take against gold jewellery or coins.
Uses the standard EMI formula.
Because gold is used as security, these loans often have lower rates and shorter repayment times than loans without security.
EMI: P × r × (1+r)ⁿ ÷ ((1+r)ⁿ − 1)
Why do gold loans have lower rates than personal loans?
Gold is easy to value and easy to sell, so it is safe security for a lender. This lower risk means you get a lower interest rate than a loan with no security.