At Lamna, we specialise in offering short-term, asset-based loans against personal assets, including gold coins.
Available in key cities across South Africa, our loans against Krugerrands are fast, straightforward and discreet.
Why consider a loan against gold coins instead of selling?
Selling gold coins when you need quick and easy access to cash is tempting but, once sold, the coins are no longer part of your asset portfolio.
Instead, if you use the Krugerrands as collateral for a loan, you get to keep the coins once you’ve paid back the loan.
This means the coins remain your property and you can always use them as collateral on further loans in the future.
Advantages of loans against Krugerrands with Lamna
Lamna offers asset-based loans against a variety of personal assets, including gold coins and Krugerrands. The advantages of getting a loan against Krugerrands with Lamna include:
- Fast: loans are paid out within 24 hours.
- Simple application: you can apply online in a few simple steps.
- Discreet: we don’t need to access your credit score or know your income.
- Safe and secure: we’re a registered credit provider with the NCR.
- Low risk: your ownership of the coins is not affected.
Interesting facts about Krugerrands
Krugerrands are gold bullion coins that are minted in South Africa. As of 2018, more than 50 million Krugerrands have been produced and sold.
They’re extremely popular with investors and collectors around the world. They are an easy and safe way to invest in gold.
Each Krugerrand is 91.67% gold and contains one full troy ounce of gold.
Different Krugerrand types and sizes
Most Krugerrands are gold but, since 2017, you can also buy silver Krugerrands. There are two types of gold Krugerrand – proof and bullion.
Bullion Krugerrands are valued at the universal gold bullion price. Proof Krugerrands have a numismatic value i.e., intrinsic value as a collectable coin.
The value of proof Krugerrands is affected by the condition of the coin. Bullion coins have the same value even if scratched.
Both versions are available in 1/10, 1/4, 1/2 and one ounce sizes. Silver Krugerrands are only available in one ounce.
How much is a Krugerrand worth?
The value of gold bullion Krugerrands fluctuates depending on the gold price and the current demand for bullion coins. Proof Krugerrands have value as a collectable coin.
In the 2013 financial year, the price of bullion Krugerrands reached a high of roughly US$1,800 each. Only two years later, in December of 2015, the price dipped to roughly US$1,100 each.
In August of 2020 during the pandemic, the price jumped to US$2,114. At the time of writing (February 2023), a single bullion Krugerrand is worth US$1,948.
The value of Krugerrands typically goes up during times of upheaval because gold is regarded as a good hedge during economic and social uncertainty.
The coins saw a surge during the pandemic and another one in 2022 due to the volatile markets in South Africa and worldwide due to high inflation, the energy crisis and the war in Ukraine.
What determines the loan amount for a gold coin?
An asset-based loan is secured against the Krugerrands, so the loan amount can’t be more than a percentage of the resale value of the coins.
The Krugerrands must be independently appraised to determine the maximum loan amount.
This is because we would need to sell the coins to recoup the loan in the unlikely event that you couldn’t repay it.
How to get fast loans against Krugerrands
Getting a fast loan against Krugerrands is quick and simple. Submit your application online giving details about the Krugerrands you’re using as collateral.
We can offer you a provisional loan quote based on this information. If you’re happy to go ahead, you will then submit a copy of your ID, proof of address and proof of ownership.
If everything is in order, the funds are transferred directly into your account within 24 hours. For more information about our loans against Krugerrands, contact us on 086 111 2866.
Client borrows R10,000 for 90 days.
Total Cost of Loan
Fixed rates range from 36% to 60% APR and payment options range from minimum 3 to maximum 24 months. Apart from the initiation and monthly fees shown below, the only additional fee is credit life insurance if the borrower does not have this already.
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