Planner’s take
For consumers, a margin call can make gold loans go from ‘easy money’ to a serious financial liability. “For a bank, that loan is an asset; for you, it is a liability,” Mathpal explained. “They try to convince you to take a loan because it’s easily available, but you should only go for it when it is really needed. My suggestion is to keep a proper margin. If a bank offers you 70%, borrow less so that if prices drop, you can still manage the situation.”