Gold in the year 2000 cost ₹ 4,400/10 grams of gold. In 2010, this rate had jumped to ₹ 18,500. Do you know what today’s gold rate in Karnataka is? The price of today’s gold rate in Karnataka is a whopping 51,350/10 gm for 24K gold! Here’s how you too can use the present gold rate in Karnataka to your advantage when investing in gold. Let’s take a look at the gold rate today in Karnataka.

What is the Gold Rate Today in Karnataka?

The 22-carat gold rate in Karnataka today is ₹ 6875/gm of 22K gold. The 24-carat gold rate in Karnataka is ₹ 7219/gm of 24K gold as 19th April 2024.

The rising today’s gold rate in Karnataka per gram can be because of a slew of factors which we will go into. Before that, take a look at gold rate variations in Karnataka over the last 10-days. 

Gold Rate in Karnataka For Last 10 Days 

Here’s how the 22k gold rate today in Karnataka and the 24-carat gold rate in Karnataka have performed over the last 10-days. Note the consistent price rise.

Historical Prices of the Gold Rates in Karnataka

Take a look at the prices over the last 3-months.

Factors Affecting the Gold Prices in Karnataka

Since March 2020, the gold rate in Karnataka has shown a steady rise over 90 days. Here’s why the gold rate today in Karnataka changes:

• High demand, low supply : The demand and supply of gold can affect the prices. 
• Inflation - Gold is a good bet against inflation. Investors prefer to buy gold when inflation starts rising because then the value of gold climbs.
• Fluctuating currency rates: The exchange rate of the Rupee to USD fluctuates, and it affects the gold rates.

Final Gold Price

Gold rates vary depending on all these and more. Many factors contribute to the final selling price that may differ from jeweller to jeweller. Let us consider the 18-carat gold rate in Karnataka today since it is prevalent in Karnataka for jewellery making. The final jewellery price can be arrived at using this:

The final jewellery price is equal to [Gold Weight in grams multiplied by the 18-carat gold rate in Karnataka today. Wastage and Making charges 3% GST on the final price arrived at including cost, wastage, making charges, etc.]. 

There are plenty of modern options whereby you can invest in gold and get better returns. 

Also Read: Steps to Calculate the Gold Price for Jewellery

Gold Investments 

Let’s learn about the choices of investing in gold. You can buy gold today in a variety of methods. Take a look at your options.

• Physical Gold: You can buy jewellery or bullion (coins/bars) at 916 gold rate in Karnataka at banks, jewellery shops, etc.
• Digital Gold: This is gold bought on platforms like Khatabook help you to start saving small and keep accumulating gold in an insured locker till maturity. 
• Derivatives and trading in gold as a commodity at the current gold rate in Karnataka is riskier and involves trading on the stock market.
• SGBs or Gold Sovereign Bonds are government-backed bonds and have an 8-year term with 2.5% returns. They are like fixed deposits.

What Documents are Needed When Investing in Gold? 

• Physical gold purchase requires no documents, brokerage or Demat account. However, keep the purchase receipt and BIS certification carefully. 
• If investing Rs. 2 lakhs or more on jewellery, coins, bars etc., you need the PAN Card and identification with name and address like Voter ID/ Passport/ Aadhar Card. 
• For Digital Gold and ETFs, one must open a brokerage account and a Demat account with the ETF seller firm.
• For SGBs, digital gold, etc., very little paperwork is needed and no Demat account is involved.
• For mutual funds, you will need a brokerage and Demat account.

Why Investing in Gold is a Smart Choice?

Indian households hold 25,000 Tons of gold in jewellery and bullion, four times the total stored gold in Indian banks and the governmental holdings! Let's quickly understand how Gold investments compare.

 Here’s the performance comparison of these investments.

Necessary Checks When Buying Gold Jewellery

Here’s what to check when buying gold jewellery:

• Verify the gold rates: Gold rates vary daily, across locations and even by the moment on the stock market. Before investing, do take a look at the 22-carat gold rate in Karnataka.
• Wastage and Making Charges: The final price of jewellery in Karnataka is higher than today gold rate in Karnataka 916 and can be calculated as the Final jewellery price= gold weight in grams multiplied by the day’s gold rate plus an approximate 10 to 20% in making and wastage charges plus the GST applicable at 3% of the purchase price.
• Ensure BIS Certification: The BIS or Bureau of Indian standards certifies the purity of gold. The most popular 22K gold bears the BIS-916 hallmark, meaning that every 100gm of gold contains 91.6gm of pure 24k gold. 
• Check the purity levels: 24K gold is 99.94% pure. However, it is not malleable and needs the addition of Copper, Silver etc. The alloyed gold has less pure gold in it, and you have a choice of gold such as 22K, 18K, 14K, 10K etc. 
• Check the purchase bill, and buy-back terms: The buy-back rates decide the profit you make. Most jewellers assure customers of buyback facilities and exchange of jewellery on a gram-to-gram basis charging only making and wastage charges.

Also Read: What is Gold Standard and How Does it Work?

Types of Gold

Pure Gold is 24K while gold in jewellery is generally 22K. 18K options of white and rose gold are trendy today in the jewellery segment and are closely tied to the18-carat gold rate in Karnataka today.

Comparative Chart for 22K, 24K and 18K Gold:  

Digital Gold 

Digital gold is a preferred investment today in Karnataka. The investment is made digitally and gold is sold as units of pure gold, where 1 unit =1 gm of physical gold. This means you can accumulate money in your account starting as low as Rs 1/- and buy a unit of gold at the daily rates. The seller firm will help you open a Demat account with simple paperwork when investing, and the charges include fees on brokerage, asset management charges, etc. Digital gold/ ETF has ZERO risk of burglary/theft as your gold is stored in insured online vaults till the time of delivery.

Also Read: What are the Smartest Ways to Invest in Digital Gold?

You can sell it from home or convert it to physical gold at will and liquidate it as 24k gold on the Khatabook digital platform. You can buy pure gold online on your mobile phone with a few clicks on the app without the need of stepping out. Just remember that to convert it into physical gold, you have to buy jewellery, coins, bars and it is delivered at home without any hassles.

Availing Gold Loans

Physical gold, jewellery etc., can raise 90% of its value or today’s gold rate in Karnataka as a secured loan in times of distress.  A secured loan is offered by most banks, NBFCs etc., with gold as the collateral. It fetches up to 90% of the gold value as a loan to be repaid with bank interest within the specified time. A default causes the lender to auction the gold collateral. 

Where to Buy Gold in Karnataka

You can buy gold jewellery across Karnataka. Many factors influence the price-sensitive gold market, so be careful when buying gold jewellery. You can also buy jewellery online from reputed websites like Krishna Jewellers, Bluestone, Tanishq, Kalyan Jewellers etc. Karnataka has a choice of jewellery stores. Take your pick.

Final Words:

Are you deciding on buying gold as an investment at the gold rate in Karnataka? You will need to track the daily gold rates, and foreign currency rates since these have a  bearing on your gold investment. Make the right choices and risk tolerance when building your investment portfolio.