Punjab National Bank slashes rates on gold loans and bonds

As a part of its festive season offer, Punjab National Bank (PNB) has cut interest rates on loans acquired against gold jewellery and sovereign gold bond by 145 basis points or 1.45 percentage points. The state-owned bank in a statement said that it offers loans against Sovereign Gold Bond (SGB) at 7.2% and against gold jewellery at 7.3%. In addition to that, PNB has also slashed rates on home loans, which starts from 6.60%. Customers can also get car loans from 7.15% and personal loans from 8.95%, which is one of the lowest in the industry.

Avail loans of up to 80% on property value

PNB is also offering a complete waiver of service charges and processing fee on loans against gold jewellery and SGB, similar to those announced recently on home loans and vehicle loans, during the festive season.

Without any upper ceiling on the loan amount, the margin on home loans has also been slashed by banks, which would enable the borrower to avail loans of up to 80% of the property’s value, PNB said.