Dhanteras is one of the most auspicious occasions to buy gold for many people. While the conventional way of buying gold from a jewellery shop near you is an option, the idea of investing in digital gold might interest you. Gold is typically a secure investment and with the option of securing digital gold, you have added security because, unlike physical gold, it cannot get lost or misplaced. It is also safer than other types of investment, such as cryptocurrency. If you are planning to park your money in digital gold, Dhanteras is a good time.
There are several ways to invest in digital gold. You have gold ETF (exchange-traded fund), gold bonds, and gold funds. There are also sovereign gold bonds, which are government-backed securities measured in grams of gold, where one gram is equal to one unit of a bond. Besides, you can invest in gold using digital payment apps, such as Paytm, PhonePe, and Google Pay. Using an app is a more convenient method, and this is how it works:
How it works
Open a digital payments app. It could be Paytm, PhonePe, or Google Pay. You could also use a different app if you are familiar with the associated process. In this article, I will talk about the process to invest in digital gold on the aforementioned apps.
Paytm calls its digital gold investment service Paytm Gold. You can find it on the app’s home screen, but if you cannot find it, you can search for it using the magnifier icon. On the next screen, read the features and tap “Proceed.” You can invest whatever amount you want and Paytm will show you the quantity of gold that particular sum of money will buy you. You also see the current gold rate, applicable for 24K gold. After you have entered the preferred amount, you can continue to pay for the gold. Your portfolio will be automatically created on Paytm Gold and you can track it on the app. Paytm also lets you convert your digital gold into the physical one.
PhonePe Digital Gold
On PhonePe, you can buy both gold and silver coins at their current rates. In addition to letting you buy digital gold, PhonePe also lets you buy decorated coins, such as those with engravements of Lord Ganesh or Goddess Lakshmi on them. There are also gold and silver biscuits you can buy on PhonePe. Tapping “Start Accumulating Gold” will take you to the next step where you can enter the preferred amount and an equivalent quantity of digital gold. PhonePe also lets you buy digital gold by weight.
Google Pay Gold Locker
Google Pay has a Gold Locker service to let you buy digital gold. Open the app and scroll to the bottom of the app to find the Gold Locker option. The next screen will show you your portfolio, which will likely be empty considering you are investing for the first time. Google Pay shows you the current price of gold, inclusive of taxes. You can buy, sell, and get gold delivered in the form of coins. While Google does not let you buy digital gold by weight, entering an amount will show the relevant quantity of digital gold.
Remember, all these services have several offers running on digital gold investment that you can get. You also need to keep in mind that there is a tax on the purchase and selling of gold on all platforms, so, for instance, if you buy digital gold worth Rs 100, selling it won’t get you your full money back. This is over and above the fact that the prices of gold are dynamic and change on the basis of market fluctuation.