An Empirical Study on Borrower’s Perception towards Jewel Loan in Paramakudi (With Reference to Banks)

Abstract

India is one of the largest markets of gold, According to the World Gold Council, India accounts for 10 per cent of world’s total gold stock, of which rural India accounts for 65 per cent of the total gold stock, despite of rise in price since 2002-2012 the demand for gold has remained stable or has increased in India. Gold has been a value commodity particularly in India. Possession gold has been a symbol of prosperity; it is considered auspicious and has been in use in the form of jewellery, gold bar, Bullions and coins, it is also considered as safest form of investment and the last resort for the borrower to obtain easy fund.The gold loan companies have emerged as substantial contributor to the Indian economic growth by supplementing the efforts of banks and other financial institution. Gold loan companies are widely dispersed across the country and their management exhibits varied degree of professionalism.Keeping this aspect in mind the researcher has decided to make anattempt to study the borrowers perception towards jewel loan in banks located in Paramakudi.