Can You Buy Gold Using a Credit Card in India?

You can buy gold with a credit card almost anywhere in India; most online platforms and a considerable number of physical jewellery stores will accept your card. The catch is in the fine print: merchant fees that run 1.5–3.5%, RBI restrictions on EMI conversion for certain jewellery purchases, and interest charges.

Brands like Tanishq, Malabar Gold, Kalyan Jewellers, and Joyalukkas are some of the most trusted jewellery names that accept credit cards in their stores. Credit cards can also be used to pay on sites like MMTC-PAMP, Augmont, and SafeGold, including platforms that offer digital gold investments.

However, not all platforms allow credit card payments for bullion goods or gold. You may want to check for payment choices that are available while planning your next purchase in gold.

The Reserve Bank of India clamped down on credit card EMIs on gold purchases back in 2013, as part of a broader push to bring down gold imports. Banks were told not to convert credit-card gold purchases into EMIs, and cards were barred outright for gold-coin sales at bank branches.

Most big banks did pull jewellery EMI on credit cards after the advisory, but plenty of jewellers and online platforms still offer instalment plans through tie-ups with NBFCs and finance companies that fall outside what the RBI actually blocked. IIFL's 2026 guide on buying gold on EMI backs this up: financing through merchant partnerships is still very much alive.

In short, you won't get EMI at a bank branch counter for gold coins, and your card issuer probably won't convert a jewellery swipe into EMI either. But buying gold on EMI with a credit card is still doable through jeweller financing tie-ups, occasional point-of-sale EMI from the card issuer itself, or buy now, pay later on a few digital platforms. And if you're buying digital gold on a credit card, none of this applies. You can buy easily.

1. Processing Fees

There may be a small fee for using a credit card to buy gold on some sites. This is often between 1% and 2% of the value of the deal.

That 1-2% range is on the lower end. High-value jewellery counters and several online gold platforms charge as much as 3.5% as a merchant swipe fee; this fee is what the merchant pays Visa/Mastercard and the issuing bank to process your card. Some merchants pass that cost on to you. Ask before you swipe.

2. GST Charges

The 3% GST on gold is the same whether you pay with cash, UPI, or a credit card. The amount of tax you owe doesn't change how you pay it.

3. Interest on Credit Cards

You will have to pay interest on your card balance if you don't switch to EMI. This can quickly cancel any benefits that come with your purchase.

And it adds up fast. Most cards charge 30–42% per annum (around 2.5–3.5% a month) on an unpaid balance.

4. Reward Points

Many banks do not count gold sales towards their reward points programme. Before you think you will gain points on the purchase, check your card's terms.

5. Limit on Spending

A big buy of gold can use up all of your available credit. Before you place a big order, make sure you have enough room.

6. Watch the cash advance trap

Here's one most people miss; some card networks code a gold or bullion purchase as a cash advance instead of a regular retail buy. However, this is not feasible. Interest starts ticking from day one, with no grace period, plus a separate cash advance fee of roughly 2.5–3% is levied.

Numbers provide clearer insights than percentages. Here's what a straightforward ₹50,000 gold jewellery purchase actually costs across the usual payment methods, assuming you clear your credit card bill on time.

Here’s how EMI works. You use a credit card to buy something, and then either at the store or through your bank's application, you can split the payment into monthly payments. The term can be anywhere from 3 to 24 months, based on the lender and the platform.

Buying jewellery, bars or gold coins on EMI is the most common question asked by buyers. The short answer is yes. Most stores and online platforms allow you to pay over time with partner banks and NBFCs. People who don't want to pay for the whole thing at once can now get jewellery, coins or a gold chain on EMI.

Many banks and jewellery stores offer special credit card deals for buying gold. They usually target peak buying festivals such as Dhanteras, Akshaya Tritiya, and Diwali. Some common types of offers you might notice are:

• EMI with no processing fee on some credit cards

• Bonus reward points for buying gold

• Cashback up to a certain percentage on sales over a certain amount

• Interest-free loans for a short time.

Before you buy, always check your bank and the jeweller's websites. These deals can save you a good amount of money over time.

Here's the actual process, whether you're buying online or walking into a store.

1. Pick a platform or jeweller you trust, and confirm upfront that they actually take credit cards.
2. Decide what you want: coins, bars, jewellery, or digital gold, and check the purity (22K/24K for physical and 24K/999.9 for digital).
3. Make sure your credit limit can absorb the purchase plus the processing fee and GST, not just the sticker price.
4. At checkout, choose credit card, and enter your details only on a secure (HTTPS) page.
5. Finish the OTP/3D Secure step to authenticate the payment.
6. Save your invoice and double-check that the transaction shows up as a retail purchase, not a cash advance.

Quick tip: The BIS Care app allows you to check hallmark purity for physical gold right away. Hallmarking now covers 380 districts across six carats: 14K, 18K, 20K, 22K, 23K, and 24K.

As mentioned above, the big banks have mostly stepped away from jewellery EMI on credit cards since the 2013 advisory. A few still offer it through merchant tie-ups on purchases above ₹10,000, but it's entirely at the bank's discretion, so don't assume it'll be there. Digital gold, on the other hand, rarely qualifies for EMI conversion. Your best option is to call your card issuer directly before you commit, since the rules vary from one bank to the next.

Not all gold is treated the same way at checkout. Here's how the three main formats stack up.

No payment method is purely good or bad. Here's the split:

What works in its favour

• You get to buy now instead of waiting to save up or sell something else
• Some cards still give cashback or points on gold spends
• Built-in fraud cover and purchase protection that cash doesn't offer
• You can act the moment prices dip, without waiting on funds

Where it does not work for you

• Swipe fees of 1.5–3.5% chip away at whatever you'd save
• Miss the due date, and 30–42% annual interest wipes out the math entirely
• EMI is still restricted for a lot of gold purchases
• A big-ticket purchase can spike your credit utilisation and dent your score
• There's always a chance the bank codes it as a cash advance instead of a regular buy

Pro Tip: A credit card is worth using for gold only if you can settle the bill in full by the due date and your card actually rewards gold/jewellery purchases. Can't pay in full? Skip the card. UPI, debit, or net banking will cost you far less.

Three things matter here, and they have nothing to do with how you paid:

GST at purchase: 3% on the gold itself, 5% on making charges if it's jewellery, and no, paying by card doesn't add a rupee extra.

Capital gains when you sell: Hold physical gold or gold mutual funds for more than 24 months, and you're looking at long-term capital gains tax, a flat 12.5%, with no indexation benefit. Sell within 24 months, and it's short-term capital gains instead, taxed at whatever income slab you fall under.

TDS on resale: if you sell gold for more than ₹1 lakh in cash, TDS kicks in. How you originally paid for it – card, cash, or UPI – doesn't matter here.

A handful of habits separate a wise gold purchase from an expensive mistake:

• Clear the full bill by the due date every time. Interest will eat any reward you earned.
• Don't assume your card gives points on gold. Some cards specifically exclude this category; check first.
• Ask the merchant upfront whether the swipe fee gets passed on to you.
• Make sure the transaction is processed as a retail purchase, not a cash advance.
• Use the BIS Care App to check hallmark purity before buying physical gold.
• Hold on to every invoice; you'll need them for capital gains records when you eventually sell.

It's easy to buy gold with a credit card, but here are certain guidelines you should remember.

1. Processing Fees

There may be a small fee for using a credit card to buy gold on some sites. This is often between 1% and 2% of the value of the deal.

2. GST Charges

The 3% GST on gold is the same whether you pay with cash, UPI, or a credit card. The amount of tax you owe doesn't change how you pay it.

3. Interest on Credit Cards

You will have to pay interest on your card balance if you don't switch to EMI. This can quickly cancel out any benefits that come with your purchase.

4. Reward Points

A lot of banks don't count gold sales toward their reward points programme. Before you think you will gain points on the purchase, check your card's terms.

5. Limit on Spending

A big buy of gold can use up all of your available credit. Before you place a big order, make sure you have enough room.

Buying a gold chain on EMI, or gold jewellery or gold coins or bars, is completely your choice and depends on your investment plans. You can use the plans offered by sellers and banks to save money on your next big purchase. Understand whether there is a clear benefit on offer, like reward points or a zero-cost EMI plan and more. If not, using UPI or a debit card to pay keeps things easy and low-cost.

Can we buy gold using a credit card in India? Yes, and it's not too hard to do. Credit cards can be used at most big jewellery stores and online stores, and you can easily pay for anything from a gold chain to a full gold biscuit with EMI. Make sure you’re aware of any extra fees and GST charges that might apply.

The Aditya Birla Capital platform, which is powered by MMTC-PAMP, also offers different solutions to buy gold. Visit their website or download the ABCD application to find out more.