Commercial Bank reduces interest on gold loans

The Commercial Bank of Ceylon has reduced its interest rate on gold loans by three percentage points, enhancing the value of this precious metal as a means of raising funds at short notice for any business or personal purpose.

The Bank said that interest on gold loans has been cut from 14 percent per annum to 11 percent, enabling borrowers to raise money at less than 1 percent per month, one of the lowest rates for Gold Loans in the country.

The Bank has increased the value of advance for 22kt and 24kt gold sovereign for loans above Rs 10,000.

Gold Loans can be obtained faster and ,at a lower interest and is therefore attractive than options such as overdraft facilities and regular loans, Assistant General Manager (Personal Banking) of Commercial Bank Vimal Fernando said. "With the introduction of these benefits, Commercial Bank's Gold Loans have emerged as one of the most convenient and affordable methods to obtain funds for any financial purpose."