PhonePe Digital Gold: Buy Gold Online

Competition is going tough. Every payment app is struggling to create new businesses. The Flipkart promoted PhonePe is also trying hard to keep itself  ahead in the race. The gold-selling is its new business. Now, you can buy gold through the PhonePe app. It is called as the Phonepe Digital Gold.

Like Paytm, the PhonePe is also selling digital gold. However, the PhonePe gives you an option to take the physical gold as well. Yes! and PhonePe is promising that the gold would be 24 carats pure.

Form of Gold

When you buy gold through the PhonePe, you buy the actual physical gold. It is not a paper gold. Neither it is a financial product like the gold bond. Rather you purchase this gold for your use or investment. The company buys gold for you. However, you can keep that gold in a safe vault. It is helpful if you want to sell gold in future.

Purity of Gold

The gold would be 99.5% pure. It is a 24-carat gold. The Gold trading company SafeGold purchases gold for you.

Amount of the Gold

You can buy any amount of the gold. It be as less as 0.001 gram. Even you can buy gold for ₹1. You can buy maximum 10gm gold through the PhonePe. To buy more amount, you have to fulfil the KYC formalities.

Gold Transaction

The PhonePe itself does not buy the gold. It only provides a platform to purchase and sell gold. All the transaction is done by the ‘SafeGold’. This company sell gold through the online platform. The IDBI bank is the trustee of the gold.

How You Get The Gold

Normally you would not get the purchased gold. Rather it would be kept in the Safe vaults. However, if you need, you can take delivery of the physical gold, anytime.

Gold Vault

There is a company to keep the gold in its vault. The name of this company is Brink’s. This company is known for its safety measures. The Brink’s check the authenticity of gold before keeping it in the vault. The gold must be 99.5% pure.


You can also get the delivery of your gold. The SafeGold would send the pure gold to your address. However, to take delivery of gold, it should weigh minimum 5 gram. The weight of gold should be in multiples of 1 gram. Any fraction of a gram would remain in the vault.

The gold coins are delivered in tamper proof packaging. The gold is once again verified before the delivery.

Price of the Gold

The price of the gold at PhonePe would be taken from the wholesale gold market. The price updates after every 5 minutes in market hours. However, PhonePe did not specify the market from which it would take the current price.


You can pay for the gold through UPI, debit card, credit card or PhonePe wallet. You have to also pay 3% GST on the purchase.

Terms and Conditons

  1. The PhonePe is only providing a platform to pay online for gold purchase. You purchase this gold from the SafeGold. The PhonePe only facilitates payment and customer service.
  2. PhonePe do not take any guarantee of your gold purchase.
  3. You can keep Gold in the vault maximum for 7 years. Within this period, you have to redeem the gold and get the delivery. Either, you can sell it at PhonePe platform.
  4. There would be a delivery and minting charge for the physical delivery at your home. The delivery is not possible at all location. You must check it before placing the order.
  5. There may be storage charge after two years. It would be charged for keeping gold in the safe vault. This charge is applicable if you don’t buy more than 2 gm gold untill 2 years. The monthly charge would 0.05% of the gold value.
  6. There would be also a transaction charge at the time of selling the gold.
  7. There would be a difference between the buy and sell price. The sell price would be lower than the purchase price. It is natural in any market.

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