Retail investors now have another investment avenue – they can invest in government securities (G-Secs) using the newly launched RBI retail direct Plan. They can invest in Government Treasury Bills, Government Securities, Sovereign Gold Bonds (sgb) e.t.c. And just like one should ensure enrollment in investment bank fixed deposits, mutual funds, contribution to EPF etc., they should also be enrolled while registering and investing. reserve Bank of India Retail Direct Gilt (RDG) Account.

Enrollment A feature that allows a deposit account holder to name someone to claim the account, investment, or material after the death of the account holder.

it means Nominated You will be eligible to receive all funds from your account. In the absence of nomination, the process of settling a death claim may require a number of documents, including death certificates, succession certificates, wills or court orders. While it looks straightforward on paper, it’s a long and drawn out process in real life, and it’s not the kind of situation you want to put your loved ones in an extremely difficult situation.

Have a look at the details of enrollment for one’s RBI RDG account as per the FAQs issued by RBI.

Can a Government security holder nominate a person other than blood relatives as a nominee?

Anyone can be nominated as a nominee by the holder of Government securities, as long as the nominee is eligible to invest in the debt as indicated in the Government Debt Notification.

How many nominees can be entered?

There can be a maximum of two nominees in the account.

Can the nominee be changed later?

Yes, investors can later change the nominee details through the Retail Direct portal.

What happens if one of the joint nominees for government security dies?

When a nomination is made in the name of two persons for a Government security and one or both of them dies, the surviving nominee is entitled to the Government security and payment thereon.

What is a Retail Direct Gilt Account?

The Reserve Bank of India-Retail Direct (RBI-RD) scheme, a significant milestone in the development of the Government Securities (G-Sec) market, will make G-Secs more accessible to the common man by simplifying the investment process.

RBI will not charge any fee for opening or maintaining a Retail Direct Gilt (RDG) account. It will also not charge any fee for submission of bids in the primary auctions. However, the investor will be responsible for any payment gateway fees incurred while funding his purchase.

These are the government securities in which one can invest through the Retail Direct platform:

I. Government of India Treasury Bills (T-Bills)

II Government of India Dated Securities (Dated G-Sec)

iii. State Development Loan (SDL)

iv. Sovereign Gold Bond (SGB)