All banks, post offices and stock exchanges offer the same interest rate on SGBs. If anyone promises a higher interest rate on Sovereign Gold Bonds, they are a fraud or Ponzi
Make sure you are not putting all your saved money in Sovereign Gold Bonds. Keep some amount of money in short-term investments as well.
Keep some amount of your savings in your savings bank account for emergencies. Don’t put all your savings into investments.
Make sure you do not withdraw your SGB investment before maturity. Premature withdrawal might sometimes not be allowed or have a penalty.
Since you get your money back in terms of the value of gold at the time of redemption, you might lose some amount of capital if the value of gold falls.
Make sure you enter the correct nomination details while filling out the SGB form. Filling nomination details ensures that your invested money goes to the right person in case of death.
You can invest in SGB only when the government opens the investment window
These announcements are placed in newspapers and are announced by banks and post offices
When the investment window is open, you can visit your nearest bank branch or post office
Ask for the application form to invest in SGB
Fill in the details correctly in the SGB application form and nomination form
Take copies of your identity and address proof with you while applying
Verify your documents with the original
Submit the investment amount in the form of cash or cheque
If all your eligibility documents are correctly filled, you will get the allotment
Take the receipt and the SGB certificate of your investment
Your SGB investment certificate will look like this
Check if all the details are correctly mentioned and keep it safe till redemption
Your SGB investment will then be active
Please note that no bank official or bank will call you or email you for any OTP, user ID, password, PIN or any card number and CVV.
Applying for SGB online can be cheaper. Given below are the steps to follow to apply.
Online applicants will have to pay ₹50 less for the issue price than offline
You can apply online for SGB through the netbanking website of your bank
You can click on Deposits and select SGB
Fill out the details in the application form and nomination form for SGB
Make payment for the investment using the online payment mode
Your SGB investment details will now appear when you log in to your bank’s internet banking website
Please note that no bank official or bank will call you or email you for any OTP, user ID, password, PIN or any card number and CVV.