This research paper is an empirical presentation of a study on consumer attitude and perception towards gold loan with reference to Beawar city. At present in India, Gold loans can be availed from co-operative banks, public sector banks, private sector banks and other private lenders. Some banks, however, offer it only in certain regions, while private lenders process the loan in less than a couple of hours, some co-operative and public sector banks may issue the loan within a day. Some companies fall under the category of Non-Banking Financial Company (NBFCs) of the RBI guidelines. The present paper identifies the various factors which are considered by borrowers while availing the gold loan. The study also identifies the various demographic factors like gender, age, income level, and educational background of the borrowers which have an impact in opting financial institutions and NBFC’s for availing gold loan. The gold loans have appeared as mostly use as quick & short-term capital. Gold loans were preferred more than traditional personal loans due to less procedures, fast disbursement and easy EMI (Equated Monthly Installment). The study shows that the respondents preferred gold loans from the banks, NBFCs and most of the respondents use the fund for their consumption smoothing. Finally this paper warns that a person should go for the gold loans only if he is confident enough to repay his money otherwise it is not your cup of tea.

KEYWORDS:  Consumer Attitude, Consumer Perception, NBFC’s, Public Sector Bank.