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NBP Gold Loan (Cash n Gold)

Borrow against gold ornaments — Rs 50,000 to Rs 7 million, with a discounted rate for women borrowers.

  • KIBOR + 4.5%
  • Rs 50K – 7M
  • Women's Discount

NBP's Gold Loan, branded Cash n Gold on its official site, is a demand finance facility secured against gold ornaments. It's a way to unlock cash without selling the gold outright. This page covers the terms confirmed directly from NBP's official Cash n Gold product features page for the gold loan.

Product Features

FeatureDetail
Nature of FinanceDemand Finance
Financing LimitRs 50,000 – Rs 7,000,000
Mark-up Rate1-Year KIBOR + 4.5%
Rate for Female Borrowers1-Year KIBOR + 4.0%
TenureUp to 3 years (renewable)
Age — Salaried18 to 60 years at loan maturity
Age — Self-Employed / Business18 to 65 years at loan maturity
CollateralGold ornaments, 24-karat net content basis
InsuranceFree coverage on net gold ornaments
RepaymentMark-up quarterly or annually; principal at maturity

All figures confirmed directly from NBP's official Cash n Gold product features page (nbp.com.pk/CashnGold).

Income Requirement — There Isn't One, Sort Of

NBP's own documentation states there's no minimum income requirement for this facility, but that comes with a real-world caveat: financing is still allowed only after the bank assesses your repayment capacity. NBP will look at your ability to service the mark-up even without a formal minimum threshold. Income assessment doesn't get skipped entirely; there's just no fixed floor you need to clear.

Costs Beyond the Mark-up

Processing fees follow NBP's standard Schedule of Charges. On top of that, expect Shroff (goldsmith) charges for valuing and verifying the gold, paid by the borrower at actual cost, plus documentation charges at actual rates. These aren't part of the mark-up calculation. Budget for them separately when working out what the loan actually costs you.

Why the Women's Rate Exists

The 0.5 percentage-point discount for female borrowers (KIBOR + 4.0% instead of KIBOR + 4.5%) sits alongside a broader push across Pakistani banking, encouraged by SBP's Banking on Equality framework, to close the gender gap in access to credit. If you're a woman borrowing against your own gold, confirm at application that this rate is applied; it's a defined product feature, not a discretionary discount.

National Bank Gold Loan vs. Other Banks

Gold loan comparison pages online rarely include NBP directly, or use outdated NBP figures. Here's where Cash n Gold's confirmed rate sits against other Pakistani banks offering gold-backed financing.

Bank / ProductMarkup StructureLoan-to-Value
NBP Cash n Gold (men)1-Year KIBOR + 4.5%Up to 70%
NBP Cash n Gold (women)1-Year KIBOR + 4.0%Up to 70%
MCB Gold LoanReported from ~9% (conventional pricing, not confirmed KIBOR-linked)Not independently confirmed
JS Bank GoldFinanceNot publicly published — bank states rate is competitive but doesn't post a figureNot independently confirmed

NBP's rate is confirmed directly from NBP's own official Cash n Gold FAQ page. MCB and JS Bank figures are compiled from third-party gold-loan comparison sources (not independently fetchable from each bank's own site) and should be treated as directional only — MCB's "from 9%" figure in particular looks low enough compared to typical KIBOR-linked gold financing that it may reflect a promotional rate, a different product tier, or simply be inaccurate; confirm directly with MCB before treating it as comparable. NBP is one of the very few banks that publishes both a men's and women's rate for the same gold-backed product.

Gold Financing vs. Selling Your Gold

The obvious alternative to a gold-backed loan is just selling the gold outright, and for some situations that's genuinely the simpler option. Financing against it keeps the asset in your name instead. You get it back once the loan is repaid, rather than losing it permanently along with any future appreciation in gold prices. The trade-off is the mark-up cost over the loan tenure, plus the Shroff and documentation charges on top. If the amount you need is well below the value of your gold, or you expect to want the ornaments back within a few years, financing against it usually works out better than an outright sale. If you don't actually need the gold back, a straight sale avoids the mark-up cost entirely.

What to Bring to the Branch

Beyond the gold itself, you'll need a valid CNIC and the standard loan application form. Because the gold gets independently valued by a Shroff before financing is approved, expect the whole process to take longer than a straightforward cash loan. That valuation step is what determines your actual borrowing limit within the Rs 50,000 to Rs 7 million range, not a figure you can pre-calculate yourself.

Good For

  • Quick access to cash without selling gold jewellery or ornaments outright
  • Borrowers who don't meet income requirements for a standard personal loan
  • Short-term liquidity needs where a lower women's rate applies to female borrowers
  • Anyone comparing NBP's confirmed rate against other banks' gold-backed financing

Confirm current gold loan rates

KIBOR moves regularly, so the effective mark-up rate changes with it — confirm the current figure before applying.

Frequently Asked Questions

What is the mark-up rate on NBP's Gold Loan?

1-year KIBOR plus 4.5%, with a special discounted rate of 1-year KIBOR plus 4.0% for female borrowers — confirmed directly from NBP's official Cash n Gold product page.

How much can I borrow against gold at NBP?

Between Rs 50,000 and Rs 7,000,000, secured against gold ornaments measured on a 24-karat net-content basis, per NBP's official product features page.

Is NBP's gold loan rate cheaper than other banks?

NBP's rate (KIBOR + 4.0%–4.5%) is confirmed directly from its own official page. Some competitor comparison sites cite lower headline figures for banks like MCB, but those aren't independently confirmed and may reflect different terms — confirm directly with each bank before comparing.

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