Sunday, 15 November 2015

Everything you need to know about Three gold monetization Schemes

India is the world's largest buyer of gold with estimated holdings of 20,000 tonnes, worth over Rs 55 lakh crore.

The three schemes launched by PM Narendra Modi on Thursday, and described as "sone pe suhaga", are meant to recycle a part of the huge pile of unused gold and reduce import of coins and bars.

A part of the gold collected through the monetisation scheme will be lent or sold to MMTC and RBI for minting of coins and auction.

Fine Points
Premature withdrawal: Allowed after minimum lock-in period with penalty

Investment limit: Min 30 gram of jewellery, bars, coins. No maximum limit

Where to begin

1. Go to BIS-certified Collection and Purity Testing Centres

2. Comply with KYC (know-your-customer) norms and regulations

3. Bank will issue deposit certificate equivalent to 995 fineness of gold


Tenure: Eight years

Premature exit: Allowed from fifth year

Interest rate: 2.75% a year, payable semiannually on the initial value of investment for the bonds issued in 2015-16

Investment limit: Minimum of 2 units (equal to 2 gram) and max of 500 gram in a financial year.

Where to buy: Banks and designated post offices

How Sovereign Gold Bond Works

1. Price linked to previous week's (Monday-Friday) simple average of closing price of gold of 999 purity published by the India Bullion and Jewellers Association Ltd. Redemption price to be based on same formula

2. Comply with KYC norms — Voter ID, Aadhaar Card, PAN, TAN , Passport

3. Payment through electronic transfer, cash payment, by cheque or demand draft

4. Investors to get stock/holding certificate. Bonds can also be kept in demat form

5. They can be used as collateral for loans

Distributor's Commission

1 per cent of investment amount TAX: Income and capital gains tax payable

India Gold Coins

Weight: Available in 5, 10 and 20 grams

Purity: 24 karat, 999 fineness

Where to buy: Initially available at designated and recognised

MMTC outlets. Will be sold through banks and post offices later

Draft Gold Monetization Scheme Download

No comments:

Post a Comment