Paul Merchants Finance Private Limited (PMFPL) launches Loan Against Silver, becomes India's first NBFC to set up exclusive silver loan branches

Key facts

• Paul Merchants Finance Private Limited (PMFPL), a diversified NBFC and part of the Paul Merchants Group, has launched its Loan Against Silver product.
• The Reserve Bank of India (RBI) introduced the Reserve Bank of India (Lending Against Gold and Silver Collateral) Directions, 2025, enabling eligible regulated lenders to accept silver as collateral.
• PMFPL has become India's first NBFC to set up exclusive silver loan branches.
• PMFPL has commenced silver loan operations from Chandigarh and plans to expand to other locations in a phased manner.
• Customers can avail loans ranging from ₹2,000 to ₹15 lakh against eligible silver jewellery, ornaments and approved silver coins, subject to lending policies and regulatory requirements.
• The product is intended to cater to individuals, proprietors and MSMEs for personal, business and other legitimate financial requirements.
• PMFPL's silver loan business will form part of its secured lending portfolio alongside Secured MSME Loans, Loan Against Property (LAP), Loan Against Shares (LAS) and Corporate Loans.