SBT Gold Loan Schemes

The State Bank of Travancore (SBT), a nationalized bank rooted in the legacy of the Travancore Bank Limited and supported by the former Princely State of Travancore, operates as an associate bank under the State Bank of India per the SBI Subsidiary Banks Act, 1959. Headquartered in Trivandrum, Kerala, SBT offers comprehensive gold loan schemes designed to meet diverse financial needs. This article provides an in-depth look at SBT's gold loan offerings.

SBT Easy Gold Loan

The SBT Easy Gold Loan caters to individual customers with existing accounts with SBT, adhering to the KYC norms. Prospective applicants can initiate an SBT savings account if they haven’t already, allowing access to this gold loan scheme. This loan addresses emergency needs like medical expenses, unforeseen commitments, and other domestic purposes.

This scheme provides loans up to Rs.10 lakhs for a tenure of up to 12 months against 22-carat gold jewelry, whether hallmarked or non-hallmarked. Even specially minted gold coins sold by banks, not exceeding 50 grams, can be pledged. Interest on the loan is debited monthly and should be repaid alongside the principal on the due date. The processing charge is capped at Rs.1000.

Failure to pay interest within 90 days post the due date results in the classification of the loan account as a Non-performing Asset (NPA). In such cases, appropriate actions including auction sales of pledged gold ornaments may be initiated for recovery.

SBT Liquid Gold Scheme

The SBT Liquid Gold Scheme functions as an overdraft facility against gold, addressing requirements like emergency medical needs, unforeseen commitments, or domestic uses. Customers with an existing or newly opened savings account with SBT are eligible for this scheme.

Loans of up to Rs.25 lakhs are provided with a tenure of up to 36 months. The repayment of the principal is flexible—either in part or in full during the loan term. However, it is mandatory to close this loan within 36 months from the availment date. To keep the service ongoing, applicants must renew the loan annually at the branch. Upon closure, fresh limits can be sanctioned based on the prevailing finance scale.

The pledged securities include 22-carat gold jewelry (hallmarked or not) and specially minted gold coins.

For individuals interested in managing financial implications of gold investments and related loan services, understanding tax obligations and deadlines is crucial.

If you seek to expand your financial understanding, consider exploring other services such as Udyam registration for MSMEs and other suitable governmental schemes.

For more region-specific financial solutions, consider visiting our Kochi tax filing assistance page for locally tailored financial services.

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Frequently Asked Questions

Common questions about Gold Loan Schemes in Kerala.

To avail the SBT Easy Gold Loan, you must be an individual customer of State Bank of Travancore (SBT) and comply with KYC norms. If you are not an existing account holder, you can apply for the loan after opening a savings account with SBT.

Under the SBT Easy Gold Loan scheme, you can pledge 22-carat gold jewellery, both hallmarked and non-hallmarked, as well as specially minted gold coins sold by banks not exceeding 50 grams.

The SBT Easy Gold Loan offers a maximum loan amount of up to Rs. 10 lakhs with a tenure of up to 12 months.

For the SBT Easy Gold Loan, interest is debited monthly, and the principal amount along with the interest has to be repaid on the due date of the loan.

A maximum processing charge of Rs. 1000 is applicable while availing the SBT Easy Gold Loan.

If the interest is not received by the bank for a period of 90 days from the due date, the account will be classified as a Non-Performing Asset (NPA), and the branch can initiate appropriate action, including the auction sale of the pledged gold ornaments, for recovery of the outstanding amount.

The SBT Liquid Gold Scheme provides a loan in the nature of an overdraft facility against gold for emergency medical needs, unforeseen commitments, contingencies, and domestic purposes.

Under the SBT Liquid Gold Scheme, a maximum loan of up to Rs. 25 lakhs with a tenure of up to 36 months can be provided.

For the SBT Liquid Gold Scheme, interest is debited at monthly intervals, and the principal amount can be paid in part or in full during the currency of the loan.

Similar to the SBT Easy Gold Loan, you can pledge 22-carat gold jewellery (hallmarked or non-hallmarked) and specially minted gold coins as security for the SBT Liquid Gold Scheme.