Gold Monetization Scheme, 2015
- In Gold Monetization Scheme, Gold is mobilized from households and institutions of the country to facilitate its use for productive purposes, and in the long run, to reduce country’s reliance on the import of gold.
- 45 BOB Branches (PAN INDIA) are authorized to accept Gold deposit under GMS. Click on Annexure to know BOB GMS Authorized Branches to collect Gold under Gold Monetization Scheme.
- Under Gold Monetization Scheme, there are three types of deposits
Short Term Bank Deposit (STBD)
- The deposit under this category will be accepted by the designated branches for a short term period of 1-3 years (with a roll over in multiples of one year). Rate of Interest for STBD varies from 0.35% - 1% (depending on wt. of gold)
- No premature closure will be permitted till 1 Year from the date of opening of Gold deposit under the scheme. Penalty of 0.25 % will be charged in case of premature withdrawal.
- Redemption of principal and interest at maturity will be either in Indian Rupee or Gold
Medium and Long Term Government Deposit (MLTGD)
- The deposit under this category will be accepted by the designated branches on behalf of the Central Government
- The deposit can be made for a period of 5-7 years in case of Medium Term Government Deposit (MTGD) @ 2.25% p.a. and 12-15 years in case of Long Term Government Deposit (LTGD) @ 2.50% p.a.
- There is a minimum Lock-in period of 3 years in MTGD and 5 years in LTGD. However, penalty of 0.25 % -0.375% (depending on period) will be charged in case of premature withdrawal in both MTGD and LTGD.
- The redemption of principal at maturity shall be either in Indian Rupee or in gold. However the redemption of interest shall be in Indian Rupee only
****For more details, please visit Bank of Baroda GMS Authorised Branch.