Gold Monetization Scheme

1. The scheme accepts a minimum deposit of 10 grams of raw gold in the form of a bar, coin or jewelry. 

1. There is no maximum limit of investment under this scheme. 

1. The scheme allows premature withdrawal after a minimum lock-in period. 

1. All designated commercial banks would be able to implement the Gold Monetization Scheme in India. 

1. The short-term deposits offered by the Gold Monetization Scheme can be redeemed in either gold or in rupees at current rates applicable at the time of redemption. 

Note: Penalties may be charged for premature withdrawal after lock-in period. 

Benefits of Investing in Gold Monetization Scheme 

By investing gold in the Gold Monetization Scheme 2015, an investor can enjoy the following benefits: 

1. You would earn interest on your idle gold which would add value to your savings. 

1. The scheme would benefit the country by reducing its gold imports. 

1. The schemes offer flexibility to your investment or gold as and when you need it. 

1. You can start your investment with as low as 10 grams of gold. 

A portion of the gold collected through the Gold Monetization Scheme can be sold or lent to MMTC and RBI for minting of gold coins and sale. Thus, the gold deposited through this scheme will be re-circulated in the country to help reduce gold imports. Gold being the most precious asset of the country, the Government of India aims to use it for the purpose of nation building and strengthen the country’s economy.

Gold Monetization Scheme Eligibility 

All residents Indians can invest in this new Gold Monetization Scheme, 2015. The following are the entities that are eligible to avail the new Gold Monetization Scheme: 

1. Individuals 

1. Hindu Undivided Family (HUF) 

1. Companies 

1. Charitable institutions 

1. Proprietorship and Partnership firms 

1. Any trusts including Mutual Funds or Exchange Traded Funds 

1. Central Government 

1. State Government 

1. Other entities owned by Central or State Government 

Note: The Mutual Fund or Exchange Traded Fund should be registered under Securities and Exchange Board of India (SEBI) Mutual Fund Regulations 

How to Invest in Gold under GMS? 

You can easily deposit gold under the Gold Monetization Scheme (GMS) by following the steps given below: 

1. In order to apply for the scheme, customers who already have an existing account with a bank offering GMS can directly visit its designated branch. 

1. If a customer does not have an account, then firstly they must open a savings or current account before proceeding with the scheme. 

1. Then you need to fill in and submit an application form for the scheme at the branch. 

1. Within a week, you need to visit the nearest authorized Collection and Purity Testing Centre (CPTC) with a copy of the scheme application form. 

1. You need to hand over the gold to the CPTC along with your written consent for the melting process. 

1. Collect a receipt that shows the quantity and purity of gold. 

1. You will get a deposit certificate by courier and in your registered email. The certificate contains information such as gold's weight, purity, and scheme particulars. 

Bank that Provides GMS 

The given below are the seven banks which provides the facility to invest under GMS Scheme: 

• Bank of Baroda   

• HDFC Bank 

• ICICI Bank  

• Indian Overseas Bank  

• Punjab National Bank  

• State Bank of India 

• Yes Bank