Gold has always been seen as a safe store of value. But in moments when liquidity matters more than long-term holding, many investors ask a simple question:
Can I borrow against my gold instead of selling it?
The answer is yes — and a gold collateral loan offers a flexible, fast way to unlock cash while keeping your investment intact. This article breaks down how these loans work, how they compare to traditional cash loans, and what to expect during the process.
What Is a Gold Collateral Loan?
A gold collateral loan is a secured loan that allows you to borrow money using physical gold as collateral. Rather than liquidating your gold holdings, you temporarily hand them over to a lender in exchange for a short-term cash loan.
Once the loan is repaid — typically within a few months — your gold is returned in full. If you choose not to repay, the lender keeps the gold to cover the loan.
What Types of Gold Qualify?
Lenders like New York Loan typically accept:
- Gold coins (e.g., American Eagles, Krugerrands, Maple Leafs)
- Gold bullion bars (any recognized mint or refiner)
- High-karat gold jewelry (18K, 22K, 24K)
- Scrap gold or mixed lots (evaluated by purity and weight)
The purer and more verifiable the gold, the stronger the loan offer.
How Is Gold Valued?
Valuation is based on:
- Weight in troy ounces or grams
- Purity (karat level or assay)
- Current market price of gold (spot price)
- Condition and packaging (for coins or bars)
Gold is weighed and tested on-site, and loan offers are typically issued at 60% to 80% of the item’s melt or resale value, depending on risk and market volatility.
Gold Loan vs. Traditional Cash Loan: What’s the Difference?
| Feature | Gold Collateral Loan | Bank or Personal Loan |
|---|---|---|
| Approval time | Same day | Several days to weeks |
| Credit check | Not required | Usually required |
| Collateral | Gold assets | Often unsecured or income-based |
| Privacy | Fully confidential | Reported to credit bureaus |
| Repayment flexibility | Can forfeit gold with no penalty | Non-payment can damage credit |
For borrowers who prioritize speed, discretion, and flexibility, gold loans offer a clear edge.
What Are the Loan Terms?
- Loan length: 4 months, with renewal options available
- Interest rates: Competitive and disclosed up front
- No credit reporting: Loan is based on the asset, not your profile
- Non-recourse: If you don’t repay, the lender keeps the gold — no lawsuits or debt collection
What’s the Process Like?
- Schedule an appointment with New York Loan
- Bring your gold for in-person evaluation
- Receive a loan offer on the spot
- Review and sign the loan agreement
- Receive your funds — often same day
All gold is stored in high-security vaults under constant surveillance and insurance.
Why Choose New York Loan?
As part of the Borro network, New York Loan specializes in luxury asset lending. Our team evaluates gold on-site and offers fair, discreet, and fast service in a private Midtown Manhattan office.
Whether you’re holding coins, bullion, or heirloom jewelry, we provide a way to access cash without giving up your investment.
Looking for liquidity without selling your gold?
Schedule a confidential evaluation at New York Loan →
