About this calculator
Under the RBI’s Lending Against Gold and Silver Collateral Directions, in force from 1 April 2026, lenders can give up to 85% of the gold’s value for loans up to ₹2.5 lakh, 80% for loans up to ₹5 lakh, and 75% above that. Enter your gold’s weight and purity and today’s rate to see your limit.
How to use it
- Enter the gold’s weight and choose its purity.
- Enter today’s 24 carat rate per 10 grams.
- Enter the interest rate and tenure.
The formula
- weight
- grams of gold, excluding stones
- carat
- purity: 22 carat is 22 parts gold in 24
- price
- the 24 carat rate
Worked example
50 g of 22 carat gold at ₹1,00,000 per 10 g
- Gold value = 50 × 22/24 × 1,00,000 ÷ 10 = ₹4,58,333.
- At 85% the loan would be ₹3,89,583, above ₹2.5 lakh, so the 80% tier applies: ₹3,66,667.
- Interest at 9% for 12 months: ₹33,000; repay ₹3,99,667 at the end.
What the result means
The limit is a ceiling; lenders may offer less. Borrowing near the maximum leaves little room if gold prices fall.
Assumptions
- Interest is simple and paid with the principal at the end.
Limitations
- Lenders value gold on their own tested purity and an average of recent rates, so the real figure can differ.
- Processing fees are not included.
Frequently asked questions
How much loan can I get on 10 grams of gold?
At ₹1,00,000 per 10 g of 24 carat, 10 g of 22 carat is worth about ₹91,667, so up to about ₹77,917 at 85%.
Is there a time limit on gold loans?
From April 2026, consumption gold loans repaid in one payment must be closed, with interest, within 12 months.
Do lenders count stones in jewellery?
No. Only the gold content is valued.
For information only. This calculator gives estimates based on the figures you enter and the assumptions listed above. It is not financial advice. Actual amounts depend on the lender’s or institution’s terms, fees, rounding and rate changes. Please confirm with them before you decide.
Last reviewed on 1 October 2026. Found a mistake? Tell us.