Systematic gold savings made simple, save monthly, buy jewellery at maturity with bonus benefits
Gold has been the preferred savings instrument for Indian families for generations. But buying gold jewellery in one lump sum can strain your finances, especially with gold prices touching record highs in 2026. A Gold SIP (Systematic Investment Plan) at a jewellery store solves this problem by letting you save a fixed amount every month and convert your accumulated savings into jewellery at the end of the plan.
Londe Jewellers offers a Monthly Gold Savings Plan that makes gold ownership accessible, disciplined, and rewarding. Whether you are saving for a wedding, a festival purchase, or simply building wealth, this guide explains everything about how Gold SIP works and why it might be the smartest way to buy gold.
A Gold SIP at a jeweller like Londe Jewellers works on a simple principle: you deposit a fixed monthly amount over a set period (typically 11 months). At the end of the plan, the jeweller adds a bonus amount (often equivalent to one month's instalment). You can then use your total accumulated amount, deposits plus bonus, to purchase gold jewellery from the store.
Let us see how a Gold SIP at Londe Jewellers works with different monthly amounts:
| Monthly Instalment | Duration | Your Total Deposits | Bonus (1 Month) | Total Available for Purchase | Effective Return |
|---|---|---|---|---|---|
| Rs. 1,000 | 11 months | Rs. 11,000 | Rs. 1,000 | Rs. 12,000 | ~9.1% bonus |
| Rs. 2,000 | 11 months | Rs. 22,000 | Rs. 2,000 | Rs. 24,000 | ~9.1% bonus |
| Rs. 5,000 | 11 months | Rs. 55,000 | Rs. 5,000 | Rs. 60,000 | ~9.1% bonus |
| Rs. 10,000 | 11 months | Rs. 1,10,000 | Rs. 10,000 | Rs. 1,20,000 | ~9.1% bonus |
| Rs. 20,000 | 11 months | Rs. 2,20,000 | Rs. 20,000 | Rs. 2,40,000 | ~9.1% bonus |
Note: The bonus effectively gives you a 9.1% return on your deposits (1/11), which is better than most savings accounts. Additionally, if gold prices rise during the plan period, you benefit from the gold price appreciation when you make your purchase at the current rate. Actual terms may vary, please confirm at the store.
There are many ways to invest in gold in India. Here is how a jeweller Gold SIP compares to other popular options:
| Parameter | Gold SIP (Jeweller) | Gold ETF | Physical Gold (Coins/Bars) | Sovereign Gold Bond (SGB) |
|---|---|---|---|---|
| Minimum Investment | Rs. 500-1,000/month | ~Rs. 500 (1 unit) | Price of 1g gold (~Rs. 8,500+) | 1 gram (Rs. 8,500+) |
| Returns | Bonus (~9%) + gold appreciation | Gold price appreciation | Gold price appreciation | 2.5% interest + gold appreciation |
| Physical Gold Received | Yes, jewellery of your choice | No (paper/digital) | Yes, coins/bars | No (digital, redeemed in cash) |
| Making Charges | Applicable on jewellery | Expense ratio (~0.5-1%) | Small premium over spot price | None |
| Lock in Period | 11 months | None | None | 5 years (8-year maturity) |
| Liquidity | Converted to jewellery at maturity | High (sell anytime) | High (sell to any jeweller) | Moderate (after 5th year on exchange) |
| Storage | No storage needed until purchase | No storage needed (digital) | Locker/safe required | No storage needed (digital) |
| Tax on Gains | 3% GST on jewellery purchase | 12.5% LTCG after 1 year | 12.5% LTCG after 2 years | Tax free on maturity |
| Best For | Those planning jewellery purchase | Short term gold exposure | Those wanting physical metal | Long term investors (5-8 years) |
Join the Londe Jewellers daily rate community. See 22K, 24K and 18K Nagpur rates every morning to track what your SIP balance is worth in jewellery. Free. No spam.
If you are comparing gold savings schemes across major jewellers in India, here is a side by side breakdown of how Londe Jewellers Gold SIP stacks up against the most well known national schemes (Tanishq Golden Harvest, Kalyan Jewellers Mahalakshmi/Smart Buy, Bhima Jewellers My Choice). All schemes operate on a similar 11 plus 1 model where the customer pays 11 monthly instalments and the jeweller adds an extra instalment as bonus at the end. The differences lie in flexibility, minimum amount, redemption rules, and local trust.
| Feature | Londe Jewellers Gold SIP (Nagpur) | Tanishq Golden Harvest | Kalyan Jewellers Smart Buy | Bhima My Choice |
|---|---|---|---|---|
| Tenure | 11 months plus 1 bonus instalment | 11 months plus 1 bonus instalment | 11 months plus 1 bonus instalment | 11 months plus 1 bonus instalment |
| Minimum monthly instalment | Rs 1,000 (industry lowest) | Rs 2,000 | Rs 1,000 (Smart Buy) / Rs 500 (some variants) | Rs 1,000 |
| Bonus / discount at maturity | 1 free instalment (approx 9.1% on deposits) | 75% of one instalment as discount | Up to 1 instalment plus making charge discount | 1 free instalment |
| Rate at maturity | Prevailing Nagpur rate on redemption day (no separate sell rate) | Tanishq rate on redemption day | Kalyan rate on redemption day | Bhima rate on redemption day |
| Redemption flexibility | Gold, diamond OR 925 silver jewellery from full Londe collection | Gold or diamond jewellery only | Gold or diamond jewellery only | Gold jewellery only (limited) |
| Early closure | Allowed after 6 instalments at prevailing rate, no penalty on deposits | After 9 months, bonus forfeited | After 6 months, bonus forfeited | Restrictions apply |
| Making charges discount | Yes, on bridal sets and large purchases | Standard making charges apply | Up to 25% off on select pieces | Limited discount on select pieces |
| Online enrolment | Yes at londejewellers.com or any of 4 Nagpur stores | Yes (Tanishq app and website) | Yes (Kalyan website) | Branch enrolment only in most cities |
| Local trust signal | 37 plus years in Vidarbha, 1,00,000 plus families, 11,000 plus Google reviews 4.7 stars | Pan India, Tata trust | Pan India brand | Pan India (Kerala origin) |
| Gold exchange against SIP | 0% deduction on hallmarked 22K and 24K (any jeweller origin) | 5 to 8% deduction common | Deduction varies by purity assessment | Deduction varies |
Read the complete gold buying guide for Nagpur for what to verify before any major purchase, including BIS hallmark, HUID, and itemised billing, all of which apply to your SIP redemption purchase.
Gold SIP at a jeweller is ideal for:
Ready to start? Visit any Londe Jewellers store in Nagpur to enrol in our Monthly Gold Savings Plan today. Check the current gold rate to understand the value of your future purchase.
