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Gold Loan: Good news for borrowers as cooperative banks revise limits to Rs 10000 per gram
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News18•06-10-2026, 10:34
Gold Loan: Good news for borrowers as cooperative banks revise limits to Rs 10000 per gram
- •The Department of Cooperation announced that cooperative banks can now provide jewel loans up to Rs 10000 per gram or up to 75% of the market value of the jewelry.
- •The new rules apply to both newly issued jewel loans and existing loans that are currently being renewed.
- •DCCBs have been directed to keep interest rates on JL-CC PACCS at least 1.25 percent lower than branch public rates, with PACCS profit margins capped at 2.25 percent.
- •Customers can visit their nearest cooperative bank or Primary Agricultural Cooperative Society to check further details and take advantage of the increased loan limit.
Key Questions Answered
Cooperative banks have revised the maximum jewel loan amount up to Rs. 10,000 per gram or up to 75% of the market value of the jewelry, whichever is applicable.
It has been directed that the interest rate charged by DCCBs on JL-CC PACCS should be at least 1.25% lower than the public jewel loan rate at DCCB branches, and the profit margin of PACCS must not exceed 2.25%.
Yes, the increased loan limit is fully applicable to both new jewel loans and those that have already been taken and are currently being renewed.
