{"id":20824,"date":"2025-10-25T15:29:15","date_gmt":"2025-10-25T15:29:15","guid":{"rendered":"https:\/\/tezgyan.com\/index.php\/2025\/10\/25\/can-you-take-a-loan-against-silver-what-borrowers-should-know-about-rbis-new-guidelines-banking-and-finance-news\/"},"modified":"2025-10-25T15:29:15","modified_gmt":"2025-10-25T15:29:15","slug":"can-you-take-a-loan-against-silver-what-borrowers-should-know-about-rbis-new-guidelines-banking-and-finance-news","status":"publish","type":"post","link":"https:\/\/tezgyan.com\/index.php\/2025\/10\/25\/can-you-take-a-loan-against-silver-what-borrowers-should-know-about-rbis-new-guidelines-banking-and-finance-news\/","title":{"rendered":"Can You Take A Loan Against Silver? What Borrowers Should Know About RBI\u2019s\u00a0New\u00a0Guidelines | Banking and Finance News"},"content":{"rendered":"<p><br \/>\n<\/p>\n<div id=\"story-9657792\">\n<p><span class=\"jsx-395e0e0beb19cb6e jsx-4143937483\">Last Updated:<\/span><time class=\"jsx-395e0e0beb19cb6e jsx-4143937483\">October 25, 2025, 13:58 IST<\/time><\/p>\n<h2 id=\"asubttl-9657792\" class=\"jsx-c9f81425ec968c48 jsx-3228666399 asubttl-schema\">Silver will be accepting as a collateral for loans like gold. RBI had laid down guidelines for lending against loans on silver\/gold, which must be followed by April 01, 2026.<\/h2>\n<figure class=\"jsx-c9f81425ec968c48 jsx-3228666399 amimg\"><img decoding=\"async\" alt=\"News18\" title=\"News18\" src=\"https:\/\/images.news18.com\/ibnlive\/uploads\/2021\/07\/1627283897_news18_logo-1200x800.jpg?impolicy=website&amp;width=400&amp;height=225\" loading=\"eager\" fetchpriority=\"high\" class=\"jsx-c9f81425ec968c48 jsx-3228666399\"\/><\/p>\n<p>News18<\/p>\n<\/figure>\n<p id=\"0\" class=\"story_para_0\">Silver will soon join gold as an accepted collateral for loans under the RBI\u2019s new standardized lending guidelines, which all regulated lenders must follow from April 1, 2026. In an attempt to regularize and standardize loans against bullions such as gold and silver, the Reserve Bank of India (RBI) has issued guidelines of lending practices in gold and silver loan for banks and non-banking financial companies (NBFCs).<\/p>\n<p id=\"1\" class=\"story_para_1\">The reforms, announced on June 6, aim to enhance borrower protection, transparency, and lender accountability across commercial banks, NBFCs, cooperative banks, and housing finance companies.<\/p>\n<p id=\"2\" class=\"story_para_2\">RBI allows lending against gold and silver jewellery, ornaments or coins to meet short-term needs. However, loans against primary gold or sliver like bullion are not allowed to prevent speculation.<\/p>\n<p id=\"3\" class=\"story_para_3\">However, one can\u2019t re-pledge or lend using already pledged gold\/silver. Moreover, they can\u2019t take loans for buying gold, silver or gold-backed securities (like ETFs).<\/p>\n<h3>Higher LTV for Small Loans<\/h3>\n<p id=\"5\" class=\"story_para_5\">Borrowers can now get up to 85% of the gold value as a loan, up from 75%. This Loan-to-Value (LTV) cap applies to total loan amounts up to Rs 2.5 lakh, including interest. For example, if your gold is worth Rs 1 lakh, you can now borrow up to Rs 85,000.<\/p>\n<h3>12-Month Limit for Bullet Repayment Loans<\/h3>\n<p id=\"7\" class=\"story_para_7\">Bullet repayment loans\u2014where interest and principal are paid together at the end\u2014must now be repaid within 12 months.<\/p>\n<h3>Limits on Gold and Silver Pledged<\/h3>\n<p id=\"9\" class=\"story_para_9\"><strong>Borrowers can pledge:<\/strong><\/p>\n<ul class=\"listOncontentArticleUL\">\n<li>Gold ornaments up to 1 kg<\/li>\n<li>Gold coins up to 50 grams<\/li>\n<li>Silver ornaments up to 10 kg<\/li>\n<li>Silver coins up to 500 grams<\/li>\n<\/ul>\n<p id=\"11\" class=\"story_para_11\">These limits apply per borrower across all lender branches.<\/p>\n<h3>Faster Return of Pledged Items<\/h3>\n<p id=\"13\" class=\"story_para_13\">Lenders must return pledged gold or silver on the same day the loan is closed, or within 7 working days. If delayed, they must pay Rs 5,000 per day\u00a0in compensation to the borrower.<\/p>\n<h3>Mandatory Compensation for Loss or Damage<\/h3>\n<p id=\"15\" class=\"story_para_15\">If pledged gold or silver is lost or damaged during audits or handling, lenders must fully compensate borrowers.<\/p>\n<h3>Transparent Auction Process<\/h3>\n<p id=\"17\" class=\"story_para_17\"><strong>In case of loan defaults:<\/strong><\/p>\n<ul class=\"listOncontentArticleUL\">\n<li>Lenders must issue proper notice before auctioning gold.<\/li>\n<li>The reserve price must be at least 90% of the market value (85% after two failed auctions).<\/li>\n<li>Any surplus from the auction must be returned to the borrower within 7 working days.<\/li>\n<\/ul>\n<h3>Clear Communication in Local Language<\/h3>\n<p id=\"20\" class=\"story_para_20\">All loan terms and valuation details must be provided in the borrower\u2019s preferred or regional language. For illiterate borrowers, these details must be shared in the presence of an independent witness.<\/p>\n<div class=\"jsx-95088aad1b3c53cd atawrap\">\n<div class=\"jsx-95088aad1b3c53cd atadetailwrp\">\n<div class=\"jsx-95088aad1b3c53cd ataname\"><span class=\"jsx-95088aad1b3c53cd atthumb\"><\/p>\n<figure class=\"jsx-95088aad1b3c53cd\"><img decoding=\"async\" alt=\"Varun Yadav\" title=\"Varun Yadav\" src=\"https:\/\/images.news18.com\/ibnlive\/uploads\/2025\/02\/WhatsApp-Image-2025-02-11-at-14.38.33-2025-02-47cdd4fd31681cc3efe5087cb8bd1418.jpeg?impolicy=website&amp;width=60&amp;height=60\" class=\"jsx-95088aad1b3c53cd\"\/><\/figure>\n<p><\/span><\/p>\n<div class=\"jsx-95088aad1b3c53cd attitle\"><a href=\"https:\/\/www.news18.com\/byline\/varun-yadav-28203.html\" class=\"jsx-95088aad1b3c53cd atamail\">Varun Yadav<\/a><\/p>\n<p>Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst&#8230;<span class=\"jsx-95088aad1b3c53cd aurpdebtn\">Read More<\/span><\/p>\n<\/div>\n<\/div>\n<p>Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst&#8230;<!-- --> <span class=\"jsx-95088aad1b3c53cd aurpdebtn\">Read More<\/span><\/p>\n<\/div>\n<\/div>\n<div class=\"jsx-c9f81425ec968c48 jsx-3228666399 artcta\"><a href=\"https:\/\/news18.co\/n18egpab\" target=\"_blank\" rel=\"noopener noreferrer\">Follow News18 on Google<\/a>. Join the fun, play <a href=\"https:\/\/www.news18.com\/games\/\">QIK games on News18<\/a>. Stay updated with all the latest business news, including <a href=\"https:\/\/www.news18.com\/business\/markets\/\">market trends<\/a>,\u00a0<a href=\"https:\/\/www.news18.com\/topics\/stocks-to-watch\/\">stock updates<\/a>,\u00a0<a href=\"https:\/\/www.news18.com\/business\/tax\/\">tax<\/a>, IPO,\u00a0<a href=\"https:\/\/www.news18.com\/business\/banking-finance\/\">banking finance<\/a>, real estate, savings and investments. To Get in-depth analysis, expert opinions, and real-time updates. Also <span data-olk-copy-source=\"MessageBody\">Download the\u00a0<a href=\"https:\/\/onelink.to\/eng-article-eop\">News18 App<\/a> to stay updated.<\/span><\/div>\n<div class=\"jsx-c9f81425ec968c48 jsx-3228666399 atbtlink fp\"><span>First Published:<\/span><\/p>\n<div class=\"rs\">\n<p>October 25, 2025, 13:58 IST<\/p>\n<\/div>\n<\/div>\n<div id=\"coral-wrap\" class=\"jsx-ba4d8f086a12294f \">\n<div class=\"jsx-ba4d8f086a12294f coral-cont\">\n<div class=\"jsx-ba4d8f086a12294f coltoptxt\">Disclaimer: Comments reflect users\u2019 views, not News18\u2019s. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our <a href=\"https:\/\/www.news18.com\/disclaimer\/\" class=\"jsx-ba4d8f086a12294f\">Terms of Use<\/a> and <a href=\"https:\/\/www.news18.com\/privacy_policy\/\" class=\"jsx-ba4d8f086a12294f\">Privacy Policy<\/a>.<\/div>\n<\/div>\n<\/div>\n<p><span class=\"jsx-c9f81425ec968c48 jsx-3228666399 rmbtn news18_read_more\">Read More<\/span><\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.news18.com\/business\/banking-finance\/can-you-take-a-loan-against-silver-what-borrowers-should-know-about-rbis-new-guidelines-ws-el-9657792.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Last Updated:October 25, 2025, 13:58 IST Silver will be accepting as a collateral for loans like gold. RBI had laid down guidelines for lending against loans on silver\/gold, which must be followed by April 01, 2026. News18 Silver will soon join gold as an accepted collateral for loans under the RBI\u2019s new standardized lending guidelines,&#8230;<\/p>\n","protected":false},"author":1,"featured_media":20825,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[],"class_list":["post-20824","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/20824","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/comments?post=20824"}],"version-history":[{"count":0,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/20824\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media\/20825"}],"wp:attachment":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media?parent=20824"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/categories?post=20824"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/tags?post=20824"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}