New Delhi, June 26 -- Gold loans are extremely attractive in India because they are easy to get, have minimal documentation and can be approved really fast. While thinking about your credit in general, and secured credit specifically, it is important to think about how a gold loan can affect your credit score. This guide breaks it all down with tips and frequently asked questions.

To raise funds, borrowers are only required to pledge their gold jewellery or ornaments as security for a loan secured against the gold; financial institutions like banks and NBFCs provide this borrowing facility. Gold loans are really popular because the approval is very quick, the interest rates are low, and term flexibility is all short.

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