Fast growing gold loans turn sour hit by lockdowns

Banks for which gold loans contribute substantial amount to their profits, were hit in the first quarter. Out of the Rs 640 crore slippages that Federal Bank saw during the quarter, Rs 86 crore was from gold loans or linked to the product as a result, the bank's gross NPAs rose to 3.50% of advances, up from 2.96% a year.

from Banking/Finance-Industry-Economic Times https://ift.tt/3zFZpJ2