Gold is glittering brightly for the Muthoot family, India’s golden billionaires! Their family-run business, Muthoot Finance Ltd., has been giving gold loans for nearly 90 years. Now, as gold prices reach new heights, more Indians are pawning their jewelry for quick cash. This trend has catapulted the company’s stock to record highs, pushing the Muthoot family fortune above $13 billion, says the Bloomberg Billionaires Index. “The market is exploding,” says George Alexander Muthoot, the 70-year-old managing director and third-generation leader. “Even for rich people, it’s fashionable today to take gold loans.” Indeed, gold lending in India jumped 35% to 13.4 trillion rupees ($151 billion) in one year—by far the fastest growth among all consumer loans, per CRIF High Mark Credit Information Services Pvt. But the gold rush means fierce battles ahead. Rival firms are heating up the competition! Bain Capital bought an 18% stake in Manappuram Finance for $500 million, while Mitsubishi UFJ Financial Group is eyeing a 20% stake in Shriram Finance for $2.6 billion. Muthoot’s plan to add 200 branches yearly to its 7,500-strong network may not be enough alone to stay on top. During a recent earnings call, experts grilled Muthoot about facing foreign rivals and expanding banks. But he kept cool: “There is no need to take any hasty or knee-jerk reactions,” he said. “The challenges in the operations will catch up with them.” India’s love for gold is legendary. Households own a staggering 34,600 tons—valued at $3.8 trillion, more than the gold of US, Germany, Italy, France, Russia, and China combined! That’s almost 25 grams per person, worth $3,250, while India's GDP per person is just $2,820 (IMF). Gold is much more than wealth—it’s woven into India’s culture. During Dhanteras, the start of Diwali, people buy gold to worship Lakshmi, the goddess of wealth. Weddings sparkle with gold everything—brides bathed in bangles, rings, and necklaces. For centuries, jewelers lent money against gold, sometimes as little as $17. Higher gold prices now mean bigger loans and more interest for lenders like Muthoot. Meet Sandarsh, a 27-year-old driver from Bengaluru: “It’s much easier to borrow from Muthoot,” he says. He took a 500,000-rupee loan using family gold, paying 1.25% monthly—cheaper than big banks—and used it to start a biryani business, which later closed. Still, he repaid the loan. The Muthoot family is unique—Orthodox Christians in a mostly Hindu country. Many company directors share the name George, with nine of 15 directors named George! They are the 19th family generation since founder Ninan Mathai Muthoot. How does their gold loan magic work? Simple. Bring jewelry to a branch where staff check purity with a Kasauti stone and acid test. They offer loans up to 75% of the gold’s value if at least 18-karat. Loans last 4 to 12 months, with interest rates between 1% to 1.5% per month, or over 19% yearly. Customers take out loans to reclaim their precious heirlooms later. Muthoot branches look modest, nestled in low-income areas ignored by banks. In Mumbai’s financial hub, a branch sits behind a busy street, next to a small grocery and a hardware store. Security is tight with metal detectors and locks. Gold is kept safely in vaults controlled centrally. Muthoot held 209 metric tons of gold worth nearly $28 billion—more than Singapore’s official reserves. By September’s end, Muthoot’s outstanding gold loans reached 1.25 trillion rupees, beating State Bank of India’s 725.5 billion rupees. Yet SBI’s gold loan segment grew faster—87% compared to Muthoot’s 45%. Experts suggest Muthoot could offer more products like insurance or remittances to grow further. Despite serving mostly low-income clients, Muthoot’s non-performing loan rate is a low 2.3%, matching big banks. If borrowers default, Muthoot auctions the gold. The company’s stock has soared for three years, climbing 73% this year. Four family members doubled their fortunes, each holding big stakes in the company valued at nearly $17 billion. Looking ahead, the clan grooms the next generation. George Muthoot says it’s a “sensitive” topic if women can run the business because “They get married, they go to the husband’s family.” Among his deputies is nephew George Muthoot Jacob, 42, who studied in England, but returned proudly: “We have a great family business here.” With gold shining bright in their hands, the Muthoot family story shows how tradition and modern finance glitter together in today’s India.