ICICI Bank Gold Loan

Investors with a low-risk appetite have been attracted to gold scheme deposits for ages. One of the main reasons behind this is the stable returns over both short-term and long-term deposits. Furthermore, it offers high liquidity. This allows immediate access to funds during financial emergencies. Keep reading to make an informed approach towards paring their funds in this scheme.

ICICI Bank has been a pioneer for the Indian banking sector and its innovative spirit continues to shine brightly, which is evident through the gold loans and investment schemes offered by the bank. It offers a variety of plans and schemes for those who wish to purchase gold and begin building their investment portfolio. These include ICICI Dream Gold Plan, ICICI Bank Gold Monetisation Scheme, as well as ICICI Bank Gold Loans. 

 

Read on to learn more about all three plans, and assess which works best for you in terms of growing your investment portfolio. 

The Dream Gold Plan offered by ICICI Bank is great for investors who are unable to save enough to purchase this yellow metal. 

• The plan allows you to choose between the options for fixed deposit or recurring deposit. 

• Once done, you can instantly start to deposit funds which can then be used for purchasing gold over a period of time. 

• By creating this account, you are essentially setting aside or deliberately saving funds which will exclusively be used for buying gold. 

• While opting for a fixed deposit, you can earmark the funds you require to purchase the gold whereas by opting for a recurring deposit, you can build up your funds over a period of time.

There are several benefits of ICICI Bank gold investment scheme which you can ensure to fulfil your financial goals at the earliest. This also ensures that you are able to achieve your investment objectives successfully. These b benefits are as follows:

• Investors benefit from this scheme by availing forced savings, which can further be used to purchase gold, and result in enormous savings and returns over a period of time.

• If investors use the amount generated from this deposit to purchase gold coins from the bank within a period of 3 months from the date of maturity of the deposit; they can even benefit from a 30% discount on the price of gold.

The ICICI Bank Gold Monetisation scheme allows investors to deposit their gold with the bank and earn interest on them which would otherwise lay idle in your bank account. This gold deposited by investors can be in the form of jewellery, bars, coins, etc. It’s a great route for existing investors to earn higher returns on their existing investments.

1. ICICI Bank Gold Monetisation Features

Some features of the ICICI Bank Gold Monetisation scheme make it a very promising avenue for investors. Read on to learn more about these features.

• Gold can be in any form: Gold can be deposited in any form, regardless of whether investors have kept coins or bars or chosen to make ornaments out of them. The gold will be measured by the bank in grams with 995 purity for a specified period of time. Gold Loan Interest rate receivable by investors will be on the basis of decided by the Indian government and RBI.

• Minimum gold deposits required: The scheme is open for existing account holders of ICICI Bank, and requires them to deposit a minimum of 30 grams of gold over a minimum period of 3 years.

• Ensures forced savings: The deposit can be made for a period of up to 15 years, and premature withdrawal could result in penalties being levied; thus ensuring necessary forced savings.

• Periodic payout of interests: Depositors earn interest, which are paid out annually, as per the rate of gold at the time of the deposit being made.

• Flexibility in choosing tenure: Deposits under the scheme are available in three types, namely, short-term, medium-term, and long-term. The different tenures available enable investors to choose the one that works best for them. 

2. ICICI Bank Gold Monetisation Scheme Benefits

The benefits of the ICICI Bank gold monetisation scheme ensure that investors are able to conveniently and consistently earn interest on their existing investments. These benefits are as follows:

• Ensures maximum earnings: The scheme helps investors keep their gold not only secure, but also enables them to earn from it.

• Offers tax-free earnings: The scheme also offers investors tax-free earning since no taxes are imposed on the income or capital gains payable. This is applicable even if the gold’s price appreciates during the deposit’s tenure.

3. Types of Gold Monetization Scheme

The types of gold monetisation schemes available are as follows:

As mentioned earlier, ICICI Bank has been a pioneer for those wishing to trade in gold. Investors have long made fortunes by investing in gold, which has proved its mettle as a reliable investment instrument. 

 

To cater to investors, ICICI Bank has long been offering avenues for existing and new investors to purchase gold. These ICICI Bank gold investment schemes include ICICI Sovereign Gold Bonds and investors can also purchase just Pure Gold. Read on to learn more about how you can go about investing in gold with ICICI Bank. 

The ICICI Sovereign Gold Bond scheme is authorised by the government of India, who is the primary issuer of sovereign gold bonds. The government, from time to time, issues these securities which act as a substitute to physical gold and are linked to the metal’s prices. ICICI Bank, among other banks, post offices, and agents, is authorised to issue these securities. 

1. ICICI Sovereign Gold Bonds Features

The features available with the ICICI Sovereign Gold Bonds make them stand out as an exemplary investment option for both existing and new traders. Read on to learn more.

• A minimum tenor of 8 years is applicable with these gold bonds. However, buyout options are offered to investors during the 5th, 6th as well as 7th year.

• A sovereign guarantee is provided with these bonds on the capital amount as well as the interest earned.

2. ICICI Sovereign Gold Bonds Benefits

Read on to learn the benefits you avail by investing in sovereign gold bonds through ICICI Bank.

• Early exit available: Investors can also opt for an early exit and choose to trade these bonds on stock exchanges. 

• Security on investments: The guarantee issued by the government and the assured returns make these bonds an extremely secure investment.

• Can be used as collateral: While applying for a loan, these bonds can also be used as collateral by investors.