At least 10 grams have to be invested.
SBI Gold Deposit Scheme: The country’s largest public sector bank SBI has launched the Gold Deposit Scheme in a new avatar (R-GDS). This is a gold fixed deposit scheme. In this, the customer deposits gold in the bank and in return he gets interest. Here your gold is also safe.
Talking about the eligibility for SBI Gold Deposit Scheme, any Indian citizen can take advantage of this scheme. Apart from this, it can be Proprietor, HUF, Mutual Fund, Exchange Traded Fund which is registered with SEBI, Companies, Charitable Institution and any entity of the Central or State Government. At least 10 grams will have to be invested in this scheme of SBI. It can be in the form of gold bars, coins, jewellery. There is no upper limit. This means you can invest as much as you want.
There are three ways to invest
There are three ways one can invest in SBI Revamped Gold Deposit Scheme (SBI R-GDS). Short term deposits are for 1-3 years. Medium term deposits are for 5-7 years, while long term deposits are for 12-15 years.
Interest Rate Different for Different Term
Talking about the interest received, under short term deposits, for 1 year, 0.50 percent per annum, 0.55 percent for 1-2 years, 0.60 percent for 2-3 years, one gets an interest of 0.50 percent. The rate of interest is 2.25 per cent per annum for medium term deposits and 2.50 per cent per annum for long term deposits.
Returns can also be taken in cash
Talking about the repayment option, you can either take gold on maturity, or that value can be taken in cash. An administrative charge of 0.20 per cent is deducted for taking returns in the form of gold.
What is the lock-in period?
Talking about the lock-in period, it is 1 year for short term, 3 years for medium term and 5 years for long term. Premature payment along with penalty can be availed on completion of the lock-in period.
Also read: Between January and August this year, sales of houses in Delhi-NCR declined by 22 percent, but improvement is visible from June
Also read, Another announcement by Telecom Department, Vodafone Idea will get 12 thousand and Airtel will benefit 8000 crores
Shehnaz is a Corporate Communications Expert by profession and writer by Passion. She has experience of many years in the same. Her educational background in Mass communication has given her a broad base from which to approach many topics. She enjoys writing about Public relations, Corporate communications, travel, entrepreneurship, insurance, and finance among others.