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Auction Policy

Not yet published

What happens to the gold you gave as security if a loan is not repaid: notice, sale and return of any money left over.

What this policy is

An auction policy explains when a lender may sell the gold you have given as security and what written notice you must get first. It also explains how the sale is kept fair and how any money left after your dues is returned to you.

Who it applies to

Lenders regulated by the Reserve Bank of India (RBI) must follow the RBI’s rules on gold loans. Licensed pawnbrokers in Tamil Nadu follow the Tamil Nadu Pawnbrokers Act, 1943. Whoever the lender is, the sale must be fair, and any money left over belongs to the borrower.

Where Zera stands today

This website does not describe Zera as registered with, supervised by or approved by the RBI. Zera has not published an Auction Policy.

Our Refund Policy covers this. If your gold has to be sold to recover overdue amounts, the sale happens after notice, as set out in your loan agreement. Any money left after the dues and costs is returned to you or your legal heirs.

Before you sign, ask for the notice period and the steps of a sale in writing.

This page is general information. It is not legal advice and does not replace your loan agreement or the law.