How Gen Z and millennials changing the gold loan game?
The rapid digitization of gold markets has made gold loans enticing for young millennials who are now utilising their gold assets to fund their personal, medical, and business needs
Being unique and going after what you want while living your life to the fullest because ‘you only live once’, are what millennials have grown up listening to and welcoming in their lives. The idea has now deeply settled in their lifestyle and everyday habits and spending habits and to desire the best things in life, which comes at a lavish price but who isn’t ready to pay to support their lifestyle? According to a recent study, the share of India’s Gen Z and millennial population will be more than 49 per cent, which is higher than the world average of around 45 per cent.
The population nowadays is more tech-savvy, and the new age population prefers to opt for a loan to upgrade and boost their lifestyle what is better than a gold loan to a rescue? The current mix of millennials and generation Z is putting gold loans to good use but there is a sharp difference between the spending habits of these generations and how they leverage and utilize gold loans in the best possible way.
Anything you desire: From wanderlust to in-vogue gadgets
Imagine yourself living years ago when the gold loan was not even conceived in the market, and you had to either wait or cancel your wish list of having an extravagant time in the destination of your choice like Bali or owning a newly launched gadget. Well, no need to cancel on your needs but instead it’s time to take smart moves with the yellow metal loan 'the gold loan'.
Gold loan is a go-to choice for millennials and Gen Z to upgrade their lifestyle and meet their financial needs. From travelling to your dream destination, setting up a business, or buying a new smartphone, a gold loan at your doorstep got you all covered. The population today loves to travel with all their Instagram profiles proving their testimony. The love for the latest gadgets is another way where the present generation is utilizing the available loan services to keep up with the latest technological trend. To satisfy your inner wanderlust or fuel your passion for the latest gadgets, opting for a gold loan is a smarter choice.
Easy, affordable, and quick loans with low-interest rates and a simple process keep you away from worrying about the exorbitant amount on travel, education, other and more, all at the comfort of your doorstep. Since millennials are modern-day technology maniacs and want to cover almost everything virtually and, on the go, gold loans are the perfect offering available because of their paperless process, with zero credit history requirements.
Gen Z, millennials, and the conundrum of credit score
Who isn't familiar with the long drill when it comes to paperwork? When you apply by visiting a bank branch, it is very likely that you will have to go through a huge paperwork process, and we understand the pain. What do we do then? Gold loan, anytime, a loan against gold is a secured credit facility that is extended by financial institutions, which lets a person pledge gold ornament in exchange for funds.
Just imagine you have gold jewellery that can be used to support your family's current financial needs and you can do all that without selling it. Yes, it is possible. You can use that gold to get a short-term loan at a much lower interest rate. Whereas Gen-Z and millennials do not have to worry about poor credit scores or no credit history which leads to multiple roadblocks when it comes to availing loans. But with gold loans, things become a lot easier because now you can keep everything at bay and borrow without the need for a high credit score. Hence, the best option for people with low or nil credit scores.
Need a loan? Go for gold!
The contemporary world is all about taking calculated moves and we get why. Intelligent moves that serve you better and fulfill your needs without affecting you in any way are a big yes. But do not let the fear of the process keep you away from taking the benefits because it is not rocky when it comes to gold loans. From quick disbursement within an hour to low processing fees and, in some cases, it is zero, gold loans are fast and easy, but it is imperative to remember that you must pay the loan back or the gold would have to be surrendered.
Millennial consumers are now seeking gold loans as it is a much smarter move. Instead of keeping gold in their lockers, it is best to put it to work and make an extremely convenient choice! This type of loan is convenient and a great option for personal exigencies because it saves one from heavy interest while also helping in maintaining a good credit score. The rapid digitization of gold markets along with innovative players has made gold loans enticing for young millennials who are now ready to utilize their gold assets to fund their personal, medical, and business needs.
From being a go-to option for people willing to start their startup or even business owners can take a gold loan to raise funds by using their gold as collateral. The good part is unlike other loans, a gold loan does not require the applicant to mention how and where they are going to spend the funds. Go for gold loan today to meet all your financial and personal needs!
(The author is the Marketing Head of Manipal