Gold loans typically cost 7–11% annually—slightly lower than Loans Against Mutual Funds (LAMF) at 9–12%—but they require pledging physical gold. LAMF, in contrast, is a fully digital process with no valuation visits or branch paperwork. Gold loans offer 75% loan-to-value (LTV), while LAMF ranges from 50–80% depending on fund type. The key difference: gold assets earn nothing during tenure, whereas mutual funds keep compounding 10–15% annually. Gold loans suit short terms; LAMF fits longer horizons and ongoing portfolio growth.