Know how to cancel your gold loan

Read this article to know how you can cancel your gold loan
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Know how to cancel your gold loan
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3 min
10-September-2024
Cancelling a gold loan might become necessary due to changes in your financial situation or the discovery of better options. This comprehensive guide explains the common reasons behind gold loan cancellations and provides detailed methods for cancelling your loan both online and offline. Whether you are using Bajaj Finserv’s online portal or reaching out to customer support, understanding these procedures will help you manage the cancellation efficiently and avoid any potential penalties.

Common reasons for gold loan cancellation

There are various reasons why someone might choose to cancel a gold loan, often reflecting shifts in financial circumstances or personal preferences. A significant improvement in the borrower’s financial situation, such as receiving a bonus, inheritance, or a substantial salary increase, can negate the need for the loan. Discovering more attractive loan offers from other financial institutions with lower interest rates or better terms can also prompt cancellation.

Moreover, the initial purpose for securing the gold loan might be fulfilled through other financial means, such as help from family, friends, or personal savings. Additionally, after closely reviewing the loan agreement, borrowers might find certain terms and conditions, like hidden charges or less favourable repayment terms, to be unacceptable. Recognising these reasons can help borrowers make informed decisions, ensuring they manage their finances more effectively.

How to cancel a gold loan?

Methods and documents required

Cancelling a gold loan involves several steps and can be done through various methods, both offline and online. The first step is to notify your lender of your intention to cancel the loan as soon as possible. This can be done through customer support, a personal loan manager, or via an online portal. You'll need to provide specific details such as your loan application number, personal identification, and the reason for cancellation.

For those opting to contact customer support, it is advisable to send a detailed cancellation request via email or a formal letter. This should clearly state your intention and request confirmation of the cancellation. If your loan is managed by a personal loan manager, contacting them directly can streamline the process, as they can provide personalised assistance. In cases where the loan has already been disbursed, pre-closure might be an option, involving the early repayment of the remaining balance, although it may incur penalty charges.

Online methods for gold loan cancellation

Cancelling a gold loan online is both convenient and efficient. If you have a gold loan with Bajaj Finserv, you can manage the cancellation process through their online portal. Here’s what you need to do:

  1. Log in to your account: Access your account through Bajaj Finserv app or web.
  1. Navigate to loan details: Click on “Account” and go to “Your relations” where you will find the section that includes your gold loan information. For more details, visit the loan details page.
  1. Submit a cancellation request: Follow the instructions to submit your cancellation request.
  1. Confirmation and follow-up: Check for confirmation of your request and follow any additional instructions provided by the lender.
For further assistance, you can reach out to their Customer care number. This approach ensures your cancellation request is processed efficiently and documented correctly.

Offline methods to cancel a gold loan

Via customer care

Cancelling a gold loan through customer care involves a few straightforward steps. First, contact the lender’s customer service hotline. Be prepared to provide your loan application number, personal details, and the reason for your cancellation. Clearly state your intent and follow the instructions given by the customer care representative. They might ask for additional documentation or details to process your request. This method ensures that your request is properly recorded and handled by the customer service team, offering a personalised touch to the cancellation process.

Via branch visit

Visiting the nearest branch of your lender is another effective method for cancelling your gold loan. This process involves gathering necessary documents, such as identification, loan application paperwork, and any other relevant materials. Once at the branch, speak to a representative and explain your intention to cancel the loan. Provide all required details and follow the instructions given. This face-to-face interaction can help clarify any doubts and ensure that all formalities are correctly completed. It also allows you to ask any questions about the process or potential charges associated with the cancellation.Top of FormBottom of Form

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While care is taken to update the information, products, and services included in or available on our website and related platforms/websites, there may be inadvertent inaccuracies or typographical errors or delays in updating the information. The material contained in this site, and on associated web pages, is for reference and general information purpose and the details mentioned in the respective product/service document shall prevail in case of any inconsistency. Subscribers and users should seek professional advice before acting on the basis of the information contained herein. Please take an informed decision with respect to any product or service after going through the relevant product/service document and applicable terms and conditions. In case any inconsistencies observed, please click on reach us.

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Frequently asked questions

Can I cancel my loan once approved?
Yes, you can cancel your loan even after it has been approved. However, the process can be more complex once the loan is sanctioned. You will need to contact your lender immediately to initiate the cancellation. Be prepared to explain your reason for cancellation and follow any specific procedures the lender may have. Note that there may be cancellation fees or charges, and any processing fees already paid might not be refundable.

How to foreclose gold loan online?
To foreclose a gold loan online, log in to your lender's online portal using your credentials. Navigate to the loan management section and look for the foreclosure option. Follow the instructions to pay off the remaining loan balance. Make sure you check for any foreclosure charges that might apply. Once the payment is made, the lender will update your loan status and you can request a No Objection Certificate (NOC) to confirm the closure of your loan.

How can I check my gold loan statement?
You can check your gold loan statement by logging into your lender's online portal. Once logged in, navigate to the section that displays your loan details or account summary. Here, you can view and download your gold loan statement, which will include information such as the outstanding balance, repayment schedule, interest rates, and any recent transactions. If you do not have online access, you can request a statement by contacting customer support or visiting the nearest branch of your lender.

What is the return policy of a gold loan?
The return policy of a gold loan typically involves repaying the loan amount along with any accrued interest and charges within the agreed loan tenure. If you decide to repay the loan early, pre-closure charges may apply. After full repayment, the lender will return your pledged gold. It is important to review the specific terms and conditions outlined in your loan agreement regarding early repayment, foreclosure, and any associated penalties to understand the exact return policy of your gold loan.

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