[0001] Technical field of the invention

[0002] The present invention relates to a system and method to release pledged gold of the customer (s) from the financial institutions.

[0003] Background of the invention

[0004] Many people face financial crisis caused by illness, loss of job, or overspending, it can seem overwhelming. Often, the crisis can be overcome, but many people do not consider easily available options such as redefining a budget, contact creditors, manage secured loans, or credit counselling etc. Recent developments in the gold selling/buying business methods have led to the development of the system to release the pledged gold.

[0005] Various types of conventional gold selling and buying methods are known in the prior art, wherein, most of the methods, the financial institutions provides loan to the customer (s) for pledging the gold. The loan received by the customer (s) needs to be paid back or settled within predetermined date and time along with fixed rate of interest defined by the financial institutions. For example, if customer (s) fails to pay the loan to the financial institutions within the predetermined date and time, the gold pledged by the customer (s) will be owned by the financial institutions.

[0006] In conventional methods, the financial institutions buy the customer's gold at online price. Even though, the financial institutions buy the customer's gold at online price, the customer (s) have to bare making and wastage charges along with the online price, which leads to extra charges for the customer (s). [0007] Hence, there is need of the system and method to release or buy the gold from financial institution which is pledged by the customer (s) at online price.

[0008] Summary of the invention

[0009] The present invention overcomes the drawbacks in the prior art and provides a method to release pledged gold of the customer (s) from the financial institutions. In most preferred embodiment, the method includes the step of receiving a request from the customer (s) to release the gold pledged in the financial institutions. After receiving request from the customer (s), the method collects the details about the pledged gold from the customer (s). The collected details include the quantity and duration of the gold being pledged with the financial institutions. After collecting the details of the pledged gold, the method receives the receipt or acknowledgment or pawn ticket of the pledged gold from the customers, which is issued by the financial institutions. The receipt clearly indicates the quantity and duration of the gold being pledged and also indicates the amount received by the customer (s) from the financial institutions on behalf of pledged gold. Further, the method evaluates the estimated cost of the pledged gold through the received receipt from the customers. Furthermore, the method permits the executives to release the pledged gold of the customer (s) from the financial institutions by paying the estimated cost. Finally, the method permits the executive to return the remaining amount to the customer (s) after evaluating the estimated cost of pledged gold and deducting the fixed amount of service charges.

[0010] In the preferred embodiment of the invention, the fixed amount of service charges includes two percent of the total evaluated cost charged for the pledged gold.

[0011] In the preferred embodiment of the invention, the evaluation of the pledged gold is processed by considering plurality of factors such as online gold price, pledged gold purity, interest rate on the pledged gold charged by financial institutions and service charge. [0012] According to another embodiment of the invention, the invention provides a system to release pledged gold of the customer (s) from the financial institutions. The system comprises of an input module, a collection module, an evaluation module, a permit module and a payment module. The input module is configured to receive a request from the customer (s) to release pledged gold from the financial institutions. The collection module is configured to collect a receipt or acknowledgement of pledged gold details of the requested customer (s). The receipt provided by the financial institutions clearly indicates the quantity and duration of the gold being pledged and also indicates the amount received by the customer (s) on behalf of pledged gold. The system further collects the contact details of the customer (s). The evaluation module is configured to evaluate the estimated cost of the pledged gold through the collected details from the customers. The system evaluates the pledged gold by considering various factors such as online gold price, pledged gold purity, rate of interest charged by financial institutions on the pledged gold, and service charges. The permit module with the help of evaluation module permits the executive to release the pledged gold from the financial institutions by paying the estimated cost after evaluating the pledged gold. The payment module is configured to return the remaining amount to the customer (s) after evaluating the estimated cost of pledged gold and deducting the fixed amount of service charges i.e. two percent of the total evaluated cost charged for the pledged gold to process the preceding modules.

[0013] The present invention eliminates the method where the customer (s) need to bear making and wastage charges along with the online price, which leads to extra charges for the customer (s). The invented method buys the gold at the online price without deducting any making or wastage charges. The losses incurred by the customer (s) i.e. interest paid for the amount obtained by pledging the gold is avoided by using the present invention.

[0014] The method is easy to implement and simple and is more suitable for applications in financial institutions which intends to release the gold pledged by the customer (s). [0015] It is to be understood that both the foregoing general description and the following details description are exemplary and explanatory and are intended to provide further explanation of the invention as claimed.

[0016] Brief description of the drawings:

[0017] The foregoing and other features of embodiments will become more apparent from the following detailed description of embodiments when read in conjunction with the accompanying drawings. In the drawings, like reference numerals refer to like elements.

[0018] Figure 1 illustrates a method to release pledged gold of the customer (s) from the financial institutions, according to one embodiment of the invention.

[0019] Figure 2 illustrates a system to release pledged gold of the customer (s) from the financial institutions, according to one embodiment of the invention.

[0020] Detailed description of the invention:

[0021] Reference will now be made in detail to the description of the present subject matter, one or more examples of which are shown in figures. Each embodiment is provided to explain the subject matter and not a limitation. These embodiments are described in sufficient detail to enable a person skilled in the art to practice the invention, and it is to be understood that other embodiments may be utilized and that logical, physical, and other changes may be made within the scope of the embodiments. The following detailed description is, therefore, not be taken as limiting the scope of the invention, but instead the invention is to be defined by the appended claims.

[0022] The term "financial institutions" as claimed in the embodiments refers to Nationalized banks, schedule banks, private Banks, Co-operative Banks, Non- Banking Financial Companies (NBFC's), states registered money lenders or any pawn brokers. [0023] The present invention provides a method to release pledged gold of the customer (s) from the financial institutions. The method receives a request from the customer (s) to release the pledged gold from the financial institutions. The method further receives the pawn ticket of the pledged gold from the customer (s) which is issued by the financial institutions. The receipt provided by the financial institutions clearly indicates the quantity and duration of the gold being pledged and also indicates amount received by the customer (s) on behalf of pledged gold. Furthermore, the method evaluates the estimated cost of pledged gold by comparing with the online gold price and releases the pledged gold of the customer (s) from the financial institutions by paying the estimated cost. Finally, the remaining amount to the customer (s) is returned after evaluating the estimated cost of pledged gold and deducting the fixed amount of service charges.

[0024] The present invention eliminates the method where the customer (s) need to bear making and wastage charges along with the online price, which leads to extra charges for the customer (s). By using the invented method the gold can be bought at the online price without deducting any making or wastage charges. The losses incurred by the customer (s) i.e. interest paid for the amount obtained by pledging the gold is avoided by using the present invention.

[0025] The method is easy to implement and simple and is more suitable for applications in financial institutions, which intend to release the gold pledged by the customer (s).

[0026] Figure 1 illustrates a method to release pledged gold of the customer (s) from the financial institutions, according to one embodiment of the invention. The method (100) is configured to receive a request from the customer (s) to release the pledged gold from the financial institutions. After receiving the request, at step

(102) , the method collects the complete details of the pledged gold from the customer (s). The collected information includes the quantity and duration of the gold being pledged in the financial institutions. The method further collects the contact details of the customer (s). After collecting details of customer (s), at step

(103) , the method receives the receipt or acknowledgment of the pledged gold from the customers which is issued by the financial institutions. After receiving the receipt from the customer (s), at step (104), the method is configured to valuate or evaluate the estimated cost of the pledged gold. The evaluation of the pledged gold is done by considering various factors such as online gold price, pledged gold purity, rate of interest charged by financial institutions on the pledged gold and service charges. At step (105), the executive releases the pledged gold of the customer (s) from the financial institutions. Finally, at step (106), the method returns the remaining amount to the customer (s) after evaluating the estimated cost of pledged gold and deducting the fixed amount of service charges i.e. two percent of the total evaluated cost charged for the pledged gold to process the preceding steps.

[0027] Consider the example, where the customer (s) wants to release the pledged gold from the financial institutions. In this case, the customer sends a request to the executive. The executive collects the details of the customer details and also collects the details of the pledged gold from the requested customer (s). The details of the pledged gold include the quantity and duration of the gold being pledged in the financial institutions. Further, the executive receive the receipt or acknowledgement of the pledged gold from the customer (s) which is issued by the financial institutions. The receipt provided by the financial institutions clearly indicates the quantity and duration of the gold being pledged and it also indicates the amount received by the customer (s) on behalf of pledged gold. Furthermore, the method evaluates the estimated cost for the pledged gold by comparing with the online gold price. The evaluation of the pledged gold permits the executive to release the pledged gold of the customer (s) from the financial institutions.

[0028] For example, consider the customer (s) is pledging 10 grams of gold in the financial institutions for an amount of 20,000 INR for duration of six months, wherein the online price of pledged gold at that time is 30,000 INR. After six months, the customer (s) needs to repay the loan amount of 22,400 INR which includes rate of interest 24 percent per annum. If the customer (s) fails to repay the said amount, then the pledged gold will be owned by financial institutions by default. During this period, the customer (s) requests the executive to release the pledged gold by providing the receipt given by the financial institutions. The executive evaluates the estimated cost of pledged gold price by comparing with the online gold price and releases the customer's pledged gold from the financial institutions i.e. the executive releases the pledged gold by paying 22,400 INR to the financial institutions and pays the customer remaining amount i.e. the amount obtained after deducting 22,400 INR and service charges from online price at that time. The service charge of two percent of total amount is applicable for every customer.

[0029] Figure 2 illustrates a system to release pledged gold of the customer (s) from the financial institutions, according to one embodiment of the invention. The system (200) comprises of an input module (201), a collection module (202), a evaluation module (203), a permit module (204) and a payment module (205). The input module (201) is configured to receive a request from the customer (s) to release pledged gold from the financial institutions. The collection module (202) is configured to collect a receipt or acknowledgement of pledged gold details of the requested customer (s). The receipt or acknowledgement of the pledged gold detail includes the quantity and duration of the gold being pledged in the financial institutions. The system (200) further collects the contact details of the customer (s).The evaluation module (203) is configured to evaluate the estimated cost of the pledged gold through the collected details from the customers. The system (200) evaluates the pledged gold by considering various factors such as online gold price, pledged gold purity, rate of interest charged by financial institutions on the pledged gold, and service charges. The permit module (204) with the help of evaluation module permits the executive to release the pledged gold from the financial institutions by paying the estimated cost after evaluating the pledged gold. The payment module (205) configured to return the remaining amount to the customer (s) after evaluating the estimated cost of pledged gold and deducting the fixed amount of service charges i.e. two percent of the total evaluated cost charged for the pledged gold to process the preceding modules. [0030] The present invention eliminates the method where the customer (s) need to bear making and wastage charges along with the online price, which leads to extra charges for the customer (s). By using the invented method the gold can be bought at the online price without deducting any making or wastage charges. The losses incurred by the customer (s) i.e. interest paid for the amount obtained by pledging the gold is avoided by using the present invention.

[0031] The method is easy to implement and simple and is more suitable for applications in financial institutions which intend to release the gold pledged by the customer (s).

[0032] It is to be understood, however, that even though numerous characteristics and advantages of the present invention have been set forth in the foregoing description, together with details of the structure and function of the invention, the disclosure is illustrative only. Changes may be made in the details, especially in matters of shape, size, and arrangement of parts within the principles of the invention to the full extent indicated by the broad general meaning of the terms in which the appended claims are expressed.