What you need to know
Your loan depends on the pure-gold content of your jewellery. Lenders test purity, deduct non-gold parts and value the net gold using a benchmark price.
Karat and fineness
| Karat | Fineness | Gold content |
|---|---|---|
| 24K | 999 | 99.9% |
| 22K | 916 | 91.6% |
| 20K | 833 | 83.3% |
| 18K | 750 | 75.0% |
| 14K | 585 | 58.5% |
How valuation works
- TestingTouchstone, acid test or XRF karatmeter; hallmarked items with HUID are easier to verify.
- Net weightStones, beads, lac and hooks deducted.
- Benchmark priceLower of 30-day average and previous-day closing price for that purity (IBJA or SEBI exchange).
- RecordWeight and purity recorded on your pledge receipt.
Frequently asked questions
Is hallmarking compulsory?
Hallmarking with a 6-digit HUID is compulsory for jewellery sold by jewellers in notified districts; lenders still test old jewellery.
For information and comparison only. Loan terms, rates and rules change — confirm with the lender and read the Key Facts Statement before borrowing.