{"id":1846,"date":"2026-09-04T21:00:00","date_gmt":"2026-09-04T15:30:00","guid":{"rendered":"https:\/\/digitoolkit.in\/blog\/?p=1846"},"modified":"2026-09-03T10:39:21","modified_gmt":"2026-09-03T05:09:21","slug":"gold-loan-formula-explained-examples","status":"publish","type":"post","link":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/","title":{"rendered":"Gold Loan Formula Explained with Examples (India)"},"content":{"rendered":"<div style=\"background:#f2f7fb;border-left:4px solid #2271b1;padding:16px 20px;margin:0 0 24px;border-radius:4px;\">\n<p><strong>Quick Answer:<\/strong> The gold loan formula has three parts: gold value = net weight \u00d7 per-gram 22K rate; eligible loan = gold value \u00d7 RBI LTV (85%\/80%\/75% by loan size); and EMI = P\u00d7r\u00d7(1+r)^n \/ ((1+r)^n\u20131), where r is the monthly rate and n the tenure in months. Bullet loans instead charge simple interest paid at maturity.<\/p>\n<p><strong>Key takeaways:<\/strong><\/p>\n<ul>\n<li>Gold value = net gold weight \u00d7 current 22K per-gram rate.<\/li>\n<li>Eligible loan = gold value \u00d7 RBI LTV cap for your loan band.<\/li>\n<li>EMI uses the reducing-balance formula; bullet loans use simple interest.<\/li>\n<li>Monthly rate r = annual rate \u00f7 12 \u00f7 100 before plugging into the formula.<\/li>\n<li>Total interest = (EMI \u00d7 months) \u2013 principal for reducing-balance loans.<\/li>\n<\/ul>\n<\/div>\n<p>If you want to understand exactly what a lender is doing when it quotes your gold loan, you need the underlying formulas. There are really three of them, chained together: one for the value of your gold, one for how much of that value you can borrow, and one for the repayment. This article explains each with clean rupee examples, so the output of any <a href=\"https:\/\/digitoolkit.in\/calculators\/gold-loan-calculator\/\">gold loan calculator<\/a> stops being a black box.<\/p>\n<blockquote>\n<p><strong>Expert insight:<\/strong> Most disputes at the branch come from step one \u2014 the valuation \u2014 not the interest maths. If you understand how net weight and karat feed the formula, you will rarely be surprised by the sanctioned amount.<\/p>\n<\/blockquote>\n<h2>Formula 1: The Gold Valuation Formula<\/h2>\n<p>The value the lender assigns to your gold is:<\/p>\n<p><code>Gold value = Net gold weight (g) \u00d7 Purity factor \u00d7 Per-gram 22K rate<\/code><\/p>\n<p>Net gold weight is the gross weight minus stones, beads and soldering. The purity factor scales other karats to the 22K benchmark: 22K = 1.00, 20K \u2248 0.909, 18K \u2248 0.818. Indian lenders almost universally price against a 22K reference because that is what ornaments are made of.<\/p>\n<table>\n<thead>\n<tr>\n<th>Item<\/th>\n<th>Gross wt<\/th>\n<th>Karat<\/th>\n<th>Net gold value (at \u20b96,600\/g 22K)<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Plain chain<\/td>\n<td>20 g<\/td>\n<td>22K<\/td>\n<td>20 \u00d7 1.00 \u00d7 \u20b96,600 = \u20b91,32,000<\/td>\n<\/tr>\n<tr>\n<td>Stone-set necklace<\/td>\n<td>50 g (8 g stones)<\/td>\n<td>22K<\/td>\n<td>42 \u00d7 1.00 \u00d7 \u20b96,600 = \u20b92,77,200<\/td>\n<\/tr>\n<tr>\n<td>Light bangles<\/td>\n<td>30 g<\/td>\n<td>18K<\/td>\n<td>30 \u00d7 0.818 \u00d7 \u20b96,600 = \u20b91,61,964<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2>Formula 2: The Loan-to-Value Formula<\/h2>\n<p>Once the gold value is known, the eligible loan is simply:<\/p>\n<p><code>Eligible loan = Gold value \u00d7 LTV<\/code><\/p>\n<p>Since 1 April 2026, the RBI LTV is tiered by loan size rather than a flat 75%. For a small loan up to \u20b92.5 lakh you can reach 85%; between \u20b92.5\u20135 lakh it is 80%; above \u20b95 lakh it is 75%. A subtle point is that the tier is decided by the loan amount, so on the \u20b92,77,200 necklace above, 85% would be \u20b92,35,620 \u2014 but that exceeds \u20b92.5 lakh only if you round up, so it stays comfortably in the 85% band and yields about \u20b92,35,620.<\/p>\n<h2>Formula 3: The Repayment Formula<\/h2>\n<p>Here the maths depends on the repayment structure you choose. For an EMI (reducing-balance) loan, the same formula used across our <a href=\"https:\/\/digitoolkit.in\/calculators\/personal-loan-emi-calculator\/\">personal loan EMI calculator<\/a> applies:<\/p>\n<p><code>EMI = P \u00d7 r \u00d7 (1+r)^n \/ ((1+r)^n \u2013 1)<\/code><\/p>\n<p>For a bullet or overdraft-style gold loan, interest is usually simple interest on the outstanding principal:<\/p>\n<p><code>Interest = P \u00d7 (annual rate\/100) \u00d7 (months\/12)<\/code><\/p>\n<p>and you repay P plus that interest at the end. The RBI now caps bullet-repayment tenures at 12 months, so simple-interest gold loans cannot run indefinitely.<\/p>\n<h3>Worked Example: EMI Loan<\/h3>\n<p>Priya borrows \u20b91,50,000 at 10% for 12 months. Monthly rate r = 10\/12\/100 = 0.008333. Plugging in, EMI \u2248 \u20b913,187, total repayment \u2248 \u20b91,58,240, so interest \u2248 \u20b98,240.<\/p>\n<h3>Worked Example: Bullet Loan<\/h3>\n<p>Karthik borrows \u20b92,00,000 at 12% for 9 months as a bullet loan. Interest = \u20b92,00,000 \u00d7 0.12 \u00d7 (9\/12) = \u20b918,000. He repays \u20b92,18,000 at the end. His monthly outgo is zero until maturity, which suits a borrower expecting a lump sum \u2014 a crop sale or a bonus.<\/p>\n<h2>Putting the Formulas Together<\/h2>\n<p>The full chain, from jewellery to monthly payment, looks like this for a typical case:<\/p>\n<ol>\n<li>Weigh and test: 40 g of 22K, no stones \u2192 net 40 g.<\/li>\n<li>Value: 40 \u00d7 \u20b96,600 = \u20b92,64,000.<\/li>\n<li>Apply LTV: loan just over \u20b92.5 lakh, so 80% \u2192 \u20b92,11,200 eligible.<\/li>\n<li>Borrow \u20b92,00,000 at 11% for 12 months \u2192 EMI \u2248 \u20b917,672.<\/li>\n<\/ol>\n<h2>Benefits of Knowing the Formula<\/h2>\n<p>Understanding the three formulas gives you negotiating power. You can immediately spot if a lender is quietly valuing your gold below the market rate, or applying an old flat LTV instead of the more generous tiered one. You can also decide between EMI and bullet repayment on cost grounds rather than guesswork, and you can forecast your total interest to the rupee before signing. This clarity is especially valuable for small business owners who use gold loans as rotating working capital.<\/p>\n<h2>Challenges and Limitations<\/h2>\n<p>The formulas are exact, but their inputs are not fully in your control. The per-gram rate changes daily, purity is decided by the lender&#8217;s testing machine, and processing fees sit outside the core formula yet still affect your effective cost. NBFCs may also add a spread for smaller towns. So the formula tells you the structure of the deal, while the branch fills in the exact numbers on the day.<\/p>\n<h2>Common Mistakes to Avoid<\/h2>\n<ul>\n<li><strong>Applying LTV before deducting stones.<\/strong> Always compute net gold value first, then apply the LTV.<\/li>\n<li><strong>Using an annual rate as the monthly r.<\/strong> Divide the annual rate by 12 and by 100 before using it in the EMI formula.<\/li>\n<li><strong>Mixing bullet and EMI logic.<\/strong> Simple interest and reducing-balance interest give very different totals for the same rate.<\/li>\n<li><strong>Forgetting the tiered LTV.<\/strong> The band is set by loan size, so a large loan is capped at 75%, not 85%.<\/li>\n<li><strong>Ignoring compounding on overdue amounts.<\/strong> Missed EMIs can attract penal interest that the base formula does not show.<\/li>\n<li><strong>Rounding the per-gram rate too aggressively.<\/strong> On heavy jewellery, a \u20b950 rounding error changes the loan by thousands.<\/li>\n<\/ul>\n<h2>Best Practices and Expert Recommendations<\/h2>\n<ul>\n<li><strong>Calculate all three steps<\/strong> before visiting, so you arrive with a realistic target loan in mind.<\/li>\n<li><strong>Ask for the reference gold rate<\/strong> the lender is using and compare it with a published benchmark.<\/li>\n<li><strong>Choose repayment by cash flow:<\/strong> steady salary suits EMI, lumpy income suits bullet.<\/li>\n<li><strong>Re-run the EMI formula<\/strong> if the lender changes the tenure, since a longer term lowers EMI but raises total interest.<\/li>\n<li><strong>Confirm all fees<\/strong> and fold them into your effective rate before comparing lenders.<\/li>\n<li><strong>Keep documentation<\/strong> of the valuation, so you can verify the return weight and purity when you close the loan.<\/li>\n<\/ul>\n<h2>Gold Loan vs Personal Loan: The Numbers Compared<\/h2>\n<p>Because a gold loan is secured while a personal loan is not, the formulas produce very different totals for the same borrowing. On a \u20b92,00,000 requirement over 12 months, a gold loan at 11% costs far less interest than a typical personal loan at 16\u201318%, and the gold loan is usually approved the same day without income proof. The table below shows how the same principal behaves under each product, using the reducing-balance formula for both.<\/p>\n<table>\n<thead>\n<tr>\n<th>Parameter<\/th>\n<th>Gold loan (11%)<\/th>\n<th>Personal loan (17%)<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Principal<\/td>\n<td>\u20b92,00,000<\/td>\n<td>\u20b92,00,000<\/td>\n<\/tr>\n<tr>\n<td>Tenure<\/td>\n<td>12 months<\/td>\n<td>12 months<\/td>\n<\/tr>\n<tr>\n<td>Approx. EMI<\/td>\n<td>\u20b917,672<\/td>\n<td>\u20b918,241<\/td>\n<\/tr>\n<tr>\n<td>Approx. total interest<\/td>\n<td>\u20b912,060<\/td>\n<td>\u20b918,890<\/td>\n<\/tr>\n<tr>\n<td>Documents<\/td>\n<td>ID + gold<\/td>\n<td>Income proof + credit score<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The gap widens as tenure and rate rise, which is why families with idle gold often prefer the secured route for short-term needs. Running both scenarios through a calculator before you borrow makes the trade-off obvious and helps you pick the cheaper structure with confidence.<\/p>\n<div data-dtk-related=\"1\" style=\"background:#f8f9fb;border:1px solid #e2e8f0;border-radius:6px;padding:16px 20px;margin:28px 0;\"><strong>Related tools &amp; guides on DigiToolkit<\/strong><\/p>\n<ul>\n<li><a href=\"https:\/\/digitoolkit.in\/calculators\/gold-loan-calculator\/\">Try the free Gold Loan Calculator &rarr;<\/a><\/li>\n<li><a href=\"https:\/\/digitoolkit.in\/blog\/how-to-calculate-gold-loan-amount-emi\/\">How to Calculate a Gold Loan Amount &amp; EMI (Step by Step)<\/a><\/li>\n<li><a href=\"https:\/\/digitoolkit.in\/blog\/what-is-a-gold-loan-simple-guide\/\">What Is a Gold Loan? A Simple Guide for Indian Borrowers<\/a><\/li>\n<li><a href=\"https:\/\/digitoolkit.in\/blog\/gold-loan-calculator-free-online-tool-guide\/\">Gold Loan Calculator: Free Online Tool + Guide (India)<\/a><\/li>\n<li><a href=\"https:\/\/digitoolkit.in\/blog\/gold-loan-examples-for-beginners\/\">Gold Loan Examples for Beginners (India, With EMI)<\/a><\/li>\n<li><a href=\"https:\/\/digitoolkit.in\/blog\/loan-examples-for-beginners\/\">Loan Examples for Beginners (India)<\/a><\/li>\n<li><a href=\"https:\/\/digitoolkit.in\/blog\/loan-calculator-free-tool-guide\/\">Loan Calculator: Free Online Tool + Complete Guide<\/a><\/li>\n<li><a href=\"https:\/\/digitoolkit.in\/blog\/category\/loans-emi\/\">More Loans &amp; EMI guides<\/a><\/li>\n<\/ul>\n<\/div>\n<h2>Frequently Asked Questions<\/h2>\n<p><strong>What is the gold loan interest formula?<\/strong><\/p>\n<p>For EMI loans it is the reducing-balance formula EMI = P\u00d7r\u00d7(1+r)^n \/ ((1+r)^n\u20131), where r is the monthly rate. For bullet loans it is simple interest: P \u00d7 (annual rate\/100) \u00d7 (months\/12), paid with the principal at maturity.<\/p>\n<p><strong>How do you calculate the value of gold for a loan?<\/strong><\/p>\n<p>Multiply the net gold weight (gross weight minus stones and impurities) by a purity factor (22K = 1.0) and by the current 22K per-gram rate. Lenders use this assessed value, not the resale or making-charge value of the jewellery.<\/p>\n<p><strong>What LTV do I use in the formula?<\/strong><\/p>\n<p>Use the RBI tiered cap effective April 2026: 85% for loans up to \u20b92.5 lakh, 80% for \u20b92.5\u20135 lakh and 75% above \u20b95 lakh. The tier is chosen by the loan amount, not the gold value.<\/p>\n<p><strong>Is gold loan interest simple or compound?<\/strong><\/p>\n<p>Bullet and overdraft gold loans usually charge simple interest on the outstanding principal, paid at maturity. EMI gold loans use reducing-balance interest, which is effectively compounded monthly through the amortisation schedule.<\/p>\n<p><strong>How do I find total interest paid?<\/strong><\/p>\n<p>For an EMI loan, total interest = (EMI \u00d7 number of months) \u2013 principal. For a bullet loan it is simply the simple-interest amount you pay along with the principal at the end of the tenure.<\/p>\n<p><script type=\"application\/ld+json\">{\"@context\":\"https:\/\/schema.org\",\"@type\":\"FAQPage\",\"mainEntity\":[{\"@type\":\"Question\",\"name\":\"What is the gold loan interest formula?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"For EMI loans it is the reducing-balance formula EMI = P\u00d7r\u00d7(1+r)^n \/ ((1+r)^n\u20131), where r is the monthly rate. For bullet loans it is simple interest: P \u00d7 (annual rate\/100) \u00d7 (months\/12), paid with the principal at maturity.\"}},{\"@type\":\"Question\",\"name\":\"How do you calculate the value of gold for a loan?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Multiply the net gold weight (gross weight minus stones and impurities) by a purity factor (22K = 1.0) and by the current 22K per-gram rate. Lenders use this assessed value, not the resale or making-charge value of the jewellery.\"}},{\"@type\":\"Question\",\"name\":\"What LTV do I use in the formula?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Use the RBI tiered cap effective April 2026: 85% for loans up to \u20b92.5 lakh, 80% for \u20b92.5\u20135 lakh and 75% above \u20b95 lakh. The tier is chosen by the loan amount, not the gold value.\"}},{\"@type\":\"Question\",\"name\":\"Is gold loan interest simple or compound?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Bullet and overdraft gold loans usually charge simple interest on the outstanding principal, paid at maturity. EMI gold loans use reducing-balance interest, which is effectively compounded monthly through the amortisation schedule.\"}},{\"@type\":\"Question\",\"name\":\"How do I find total interest paid?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"For an EMI loan, total interest = (EMI \u00d7 number of months) \u2013 principal. For a bullet loan it is simply the simple-interest amount you pay along with the principal at the end of the tenure.\"}}]}<\/script><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The gold loan formula in India \u2014 gold valuation, RBI LTV and EMI\/bullet interest \u2014 explained with clear rupee-worked examples.<\/p>\n","protected":false},"author":1,"featured_media":1876,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-1846","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-loans-emi"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Gold Loan Formula Explained with Examples (India)<\/title>\n<meta name=\"description\" content=\"The gold loan formula in India \u2014 gold valuation, RBI LTV and EMI\/bullet interest \u2014 explained with clear rupee-worked examples.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Gold Loan Formula Explained with Examples (India)\" \/>\n<meta property=\"og:description\" content=\"The gold loan formula in India \u2014 gold valuation, RBI LTV and EMI\/bullet interest \u2014 explained with clear rupee-worked examples.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/\" \/>\n<meta property=\"article:published_time\" content=\"2026-09-04T15:30:00+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/digitoolkit.in\/blog\/wp-content\/uploads\/2026\/09\/dtk-featured-1846-gold-loan-formula-explained-examples.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"675\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"mundliya\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"mundliya\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"7 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/\"},\"author\":{\"name\":\"mundliya\",\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/#\\\/schema\\\/person\\\/2ec0a40ee547d8717205703b12c30cb4\"},\"headline\":\"Gold Loan Formula Explained with Examples (India)\",\"datePublished\":\"2026-09-04T15:30:00+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/\"},\"wordCount\":1362,\"commentCount\":0,\"image\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/wp-content\\\/uploads\\\/2026\\\/09\\\/dtk-featured-1846-gold-loan-formula-explained-examples.png\",\"articleSection\":[\"Loans &amp; EMI\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/\",\"url\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/\",\"name\":\"Gold Loan Formula Explained with Examples (India)\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/wp-content\\\/uploads\\\/2026\\\/09\\\/dtk-featured-1846-gold-loan-formula-explained-examples.png\",\"datePublished\":\"2026-09-04T15:30:00+00:00\",\"author\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/#\\\/schema\\\/person\\\/2ec0a40ee547d8717205703b12c30cb4\"},\"description\":\"The gold loan formula in India \u2014 gold valuation, RBI LTV and EMI\\\/bullet interest \u2014 explained with clear rupee-worked examples.\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#primaryimage\",\"url\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/wp-content\\\/uploads\\\/2026\\\/09\\\/dtk-featured-1846-gold-loan-formula-explained-examples.png\",\"contentUrl\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/wp-content\\\/uploads\\\/2026\\\/09\\\/dtk-featured-1846-gold-loan-formula-explained-examples.png\",\"width\":1200,\"height\":675,\"caption\":\"Illustration for Gold Loan Formula Explained with Examples (India) - DigiToolkit\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/gold-loan-formula-explained-examples\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Gold Loan Formula Explained with Examples (India)\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/#website\",\"url\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/\",\"name\":\"\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/#\\\/schema\\\/person\\\/2ec0a40ee547d8717205703b12c30cb4\",\"name\":\"mundliya\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/ff96cdd08389817bdf26bc4354a696a60d104a9c4324e7d47b224f29adc5d116?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/ff96cdd08389817bdf26bc4354a696a60d104a9c4324e7d47b224f29adc5d116?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/ff96cdd08389817bdf26bc4354a696a60d104a9c4324e7d47b224f29adc5d116?s=96&d=mm&r=g\",\"caption\":\"mundliya\"},\"sameAs\":[\"https:\\\/\\\/digitoolkit.in\\\/blog\"],\"url\":\"https:\\\/\\\/digitoolkit.in\\\/blog\\\/author\\\/mundliya\\\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Gold Loan Formula Explained with Examples (India)","description":"The gold loan formula in India \u2014 gold valuation, RBI LTV and EMI\/bullet interest \u2014 explained with clear rupee-worked examples.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/","og_locale":"en_US","og_type":"article","og_title":"Gold Loan Formula Explained with Examples (India)","og_description":"The gold loan formula in India \u2014 gold valuation, RBI LTV and EMI\/bullet interest \u2014 explained with clear rupee-worked examples.","og_url":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/","article_published_time":"2026-09-04T15:30:00+00:00","og_image":[{"width":1200,"height":675,"url":"https:\/\/digitoolkit.in\/blog\/wp-content\/uploads\/2026\/09\/dtk-featured-1846-gold-loan-formula-explained-examples.png","type":"image\/png"}],"author":"mundliya","twitter_card":"summary_large_image","twitter_misc":{"Written by":"mundliya","Est. reading time":"7 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#article","isPartOf":{"@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/"},"author":{"name":"mundliya","@id":"https:\/\/digitoolkit.in\/blog\/#\/schema\/person\/2ec0a40ee547d8717205703b12c30cb4"},"headline":"Gold Loan Formula Explained with Examples (India)","datePublished":"2026-09-04T15:30:00+00:00","mainEntityOfPage":{"@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/"},"wordCount":1362,"commentCount":0,"image":{"@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#primaryimage"},"thumbnailUrl":"https:\/\/digitoolkit.in\/blog\/wp-content\/uploads\/2026\/09\/dtk-featured-1846-gold-loan-formula-explained-examples.png","articleSection":["Loans &amp; EMI"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/","url":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/","name":"Gold Loan Formula Explained with Examples (India)","isPartOf":{"@id":"https:\/\/digitoolkit.in\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#primaryimage"},"image":{"@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#primaryimage"},"thumbnailUrl":"https:\/\/digitoolkit.in\/blog\/wp-content\/uploads\/2026\/09\/dtk-featured-1846-gold-loan-formula-explained-examples.png","datePublished":"2026-09-04T15:30:00+00:00","author":{"@id":"https:\/\/digitoolkit.in\/blog\/#\/schema\/person\/2ec0a40ee547d8717205703b12c30cb4"},"description":"The gold loan formula in India \u2014 gold valuation, RBI LTV and EMI\/bullet interest \u2014 explained with clear rupee-worked examples.","breadcrumb":{"@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#primaryimage","url":"https:\/\/digitoolkit.in\/blog\/wp-content\/uploads\/2026\/09\/dtk-featured-1846-gold-loan-formula-explained-examples.png","contentUrl":"https:\/\/digitoolkit.in\/blog\/wp-content\/uploads\/2026\/09\/dtk-featured-1846-gold-loan-formula-explained-examples.png","width":1200,"height":675,"caption":"Illustration for Gold Loan Formula Explained with Examples (India) - DigiToolkit"},{"@type":"BreadcrumbList","@id":"https:\/\/digitoolkit.in\/blog\/gold-loan-formula-explained-examples\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/digitoolkit.in\/blog\/"},{"@type":"ListItem","position":2,"name":"Gold Loan Formula Explained with Examples (India)"}]},{"@type":"WebSite","@id":"https:\/\/digitoolkit.in\/blog\/#website","url":"https:\/\/digitoolkit.in\/blog\/","name":"","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/digitoolkit.in\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/digitoolkit.in\/blog\/#\/schema\/person\/2ec0a40ee547d8717205703b12c30cb4","name":"mundliya","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/ff96cdd08389817bdf26bc4354a696a60d104a9c4324e7d47b224f29adc5d116?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/ff96cdd08389817bdf26bc4354a696a60d104a9c4324e7d47b224f29adc5d116?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/ff96cdd08389817bdf26bc4354a696a60d104a9c4324e7d47b224f29adc5d116?s=96&d=mm&r=g","caption":"mundliya"},"sameAs":["https:\/\/digitoolkit.in\/blog"],"url":"https:\/\/digitoolkit.in\/blog\/author\/mundliya\/"}]}},"_links":{"self":[{"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/posts\/1846","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/comments?post=1846"}],"version-history":[{"count":1,"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/posts\/1846\/revisions"}],"predecessor-version":[{"id":1861,"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/posts\/1846\/revisions\/1861"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/media\/1876"}],"wp:attachment":[{"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/media?parent=1846"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/categories?post=1846"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/digitoolkit.in\/blog\/wp-json\/wp\/v2\/tags?post=1846"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}