Gold Deposit Scheme is a fixed deposit in gold. SBI lets their customer to deposit the gold that is lying idle under this scheme and in return get safety, earn interest and tax benefits.
Purpose of Gold Deposit Scheme
The Gold deposit scheme is offered to mobilize the idle gold in the country and put it in productive use and to provide the customer an opportunity to earn interest on the idle gold holdings.
Eligibility criteria for taking Gold Deposit Scheme
Gold Deposit Scheme can be opted by any resident Indian who is:
- Individual, single or jointly
- Hindu Undivided Family
- Trusts
- Companies
Features and Benefits of taking a Gold Deposit Scheme
The features of benefits of this scheme are as follows:
- The minimum quantity for deposit is 500 grams and there is no upper limit.
- The period of deposit can be 3 years, 4 years and 5 years.
- Gold can be deposited in the form of gold bars, coins, jewellery in scrap from.
- Gold Deposit Certificate will be issued by Nodal branch after it is melted, assayed and minted at India Government Mint.
- The certificate issued will be for pure gold contents.
- Maximum of 5 multiple certificates can be issued.
- Gold Deposit Certificate will be sent to the depositor within 90 days from the deposit of the gold.
- Nomination facility is available for deposits in single names in individual capacity.
- The scheme can be transferred by endorsement and delivery. The transfer has to be noted with the Nodal Branch.
- On the date of maturity, you can take repayment of principal in gold or equivalent rupees as on date of the maturity.
- Premature payment is permitted after the 1 year lock-in period, but a penalty is applicable on the interest rate.
- The scheme can be renewed any time after its maturity provided it is for a future date.
- You can avail loan facility at any SBI branch. Loan amount of up to 75% of the notional value of gold can be taken as loan.
- This scheme provides tax benefits as you can put it under exemption from Income Tax, Wealth Tax and Capital Gains Tax.
Branches of SBI Bank that offer Gold Deposit Scheme
The branches are as follows:
| Agra Main | Chennai- T. Nagar |
| Ahmedabad Main | Coimbatore |
| Amritsar | Cuttack |
| Bangalore Main | Dehradun Main |
| Baroda Main | Darbargadh |
| Belgaum | Ernakulam |
| Bhopal Main | Guwahati |
| Bhubaneshwar Main | Gwalior |
| Bullion Branch, Mumbai | Howrah |
| Burdwan | Hyderabad Main |
| Calicut | Indore Main |
| Chandigarh Main | Jaipur Special |
| Chandni Chowk, Delhi | Jallandhar Main |
| Chennai- AnnaSalai | Jammu |
| Kanpur Main | Mumbai Main |
| Kolkata Main | Nagpur Main |
| Lucknow Main | Panaji |
| Ludhiana | Patna Main |
| Madurai | PBB, New Delhi |
| Mangalore | Pune Main |
| Meerut Cantt | Raipur |
| Morabad | Rajkot |
| Ranchi | Thrissur |
| Secunderabad | Trivananthapuram |
| Shivaji Park, Mumbai | Varanasi |
| Surat | Vijayawada |
| Tirupati | Vishakhapatnam |
| Trivananthapuram | Thrissur |