Gold Loans

Backed by International Holding Company, Samman Capital aims to transform into a diversified NBFC and enter India's top three by AUM by FY29

Maintain a liquidity buffer in case you get a margin call due to falling gold prices

The new framework, which is scheduled to come into effect on April 1, 2026, aims to strengthen regulatory oversight and promote responsible lending practices in the gold loan segment

Gold loan disbursements nearly doubled in Q3 FY26 as borrowers favoured gold-backed credit, with NBFCs leading growth and PSBs contributing the largest share, Equifax data shows

Experian data shows secured loans growing 42% in Q3FY26, led by strong demand for gold loans, even as unsecured lending rebounded and home loans maintained steady momentum

Gold loans overtake auto loans as the second-largest retail segment, with rapid growth driven by soaring gold prices and rising borrower demand

Higher-ticket loans show better credit performance compared to small-ticket loans.

With clearer RBI norms, easing microfinance stress and digital-first models, small finance banks are set for steady growth and deeper reach among underserved customers

Assets under management of non-banking financial companies specialising in gold loans are set to log a compound annual growth rate (CAGR) of about 40 per cent between this fiscal and next, surpassing Rs 4 lakh crore by March 2027, a report said. The surge will be driven by elevated gold prices, a shift towards secured credit and an evolved regulatory environment, outpacing the CAGR of 27 per cent clocked between fiscals 2023 and 2025, said the report by Crisil Ratings. Gold prices soared about 68 per cent in the first nine months of this fiscal year to an all-time high. "This enhances collateral values, enabling lenders to scale up disbursements," it said. Furthermore, amid the limited availability of credit from segments such as unsecured lending, borrowers are looking for other sources of funding. To capitalise on these lending opportunities, gold-loan NBFCs (both large and mid-size ones) have been expanding their market presence, despite stiff competition from banks, Crisil Rati

EMI-based repayment steadily reduces the principal and lowers LTV, offering better protection against price volatility than the bullet option

JM Financial said the non-bank lender's diversified retail-focused franchise, strong asset quality and expanding non-interest income engine position it well for sustained growth.

Muthoot Finance posted robust Q2FY26 earnings driven by higher gold prices and strong AUM growth, but analysts flag risks from yield pressure, NIM compression and regulatory uncertainty

Gold loans offer structure, overdrafts offer flexibility. Here's how to pick the smarter way to borrow against your gold.

Muthoot Finance shares have risen 47 per cent so far this year, while Manappuram Finance was up 48 per cent

Regulatory changes seek to ensure more discipline, transparency and protection for borrowers

With the revised rules, lenders can now extend working capital loans to any business that relies on gold as a raw material, expanding credit access beyond the jewellery sector

Muthoot Finance reported strong Q1FY26 results with 42% YoY AUM growth, improved asset quality, higher yields and strong recoveries as gold loans drove profitability

Shares of Muthoot Finance have surged 37.7 per cent so far in CY-25, while that of Manappuram Finance have rallied 54.6 per cent. Gold has surged 42 per cent in 2025

India's consumption loans grew 14.5% YoY in Q1FY26 to Rs 105.6 trillion, driven by gold loans, while personal loan growth slowed and credit card originations dropped sharply

Muthoot Microfin plans to grow AUM from ₹12,253 cr to ₹20,000 cr by FY27, raising secured loan share to 35% through LAP, gold co-lending and individual lending products