The interest rate is one of the main reasons people consider a gold loan. As it is a secured loan on your gold, lenders charge lower rates compared to personal loans. Since personal loans are unsecured, they have a slightly higher rate, especially for an average credit score. If your aim is to reduce the cost of borrowing, a gold loan would make more sense provided you already have idle gold either at home or in a locker.

Think about how fast you need the money

Gold loans are known for their quick approvals. Banks and NBFCs can disburse the amount within minutes because they don't need to run extensive checks. A personal loan, on the other hand, may take longer depending upon your income documents, credit score, and employment status. If the requirement is urgent, like a medical need

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