Safest Platform To Buy Government Bonds and Securtities| RBI Retail Direct Scheme

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Everyone knows about the Quote that “money makes money”, but nowadays money kept in savings and FD are not at all worth it. It does not even beat inflation and your money keeps reducing year on year if kept idle in these two due to more than 6% inflation in India.

So, are there any options left? Why not the Stock market. It is a well-known option to grow money through money but is it risk-free? No, it has high risk but returns are also high, to become an investing expert you should also have a lot of patience.

So, coming to the point after all these options one of the best risk-free options to grow your money and also beat the inflation rate is investing in government bonds and securities,

Many are not familiar with investing in Government Bonds or Securities, but in this volatile stock market when somedays are happier while others are worse everyone needs a safer option which RBI retail direct scheme is serving

What is RBI Retail Direct Scheme?

RBI Retail Direct Scheme is a one-stop solution for investors to invest in Government Bonds and Securities through their online hassle-free platform, it is also one of the safest and risk-free as the government itself regulates it and there is no involvement of any private sector.

What are the products under RBI Retail Direct Scheme?

  1. An investor may buy Government Bonds & Securities,
  2. Treasury Bills,
  3. Sovereign Gold Bonds

What are Government Bonds/Securities, Treasury Bills, and Sovereign Gold Bonds?

Government Bonds/Securities or popularly known as G-sec are a medium of borrowing money from the public and in return giving regular interest payments as mentioned, this money is used by the government in different development works.

Treasury Bills: They are also government debt instruments but they are issued for a short period less than one year say, 91 days, 182 days, 364 days

Sovereign Gold Bond: These are digital gold issued by the government at different tranches. In return, an investor gets a certain percentage of interest and profit from the rising gold rate.

Can I sell Government Bonds or securities before maturity without any charges or loss?

Yes, one can buy it from RBI Retail Direct Scheme through a Gilt Account which is the primary market, and also if necessary can sell it on the secondary market called NDS-OM RBI’s trading system. But only if available buyers are interested in buying which means only if the order matches with someone.

What are the coupon rates or interest rates on Government Bonds/Securities?

Generally, average coupon or interest rates are 7.75%

How to buy Government Bonds/securities from RBI Retail Direct Scheme?| RBI Retail Direct Scheme Registration process

1. Visit the RBI Retail Direct Scheme website

2. Now click on the open RBI Retail Direct account option

3. Keep ready the below-mentioned documents

  • The mobile number linked to aadhar
  • Active saving bank account with UPI/net banking facility
  • scanned image of the signature of the account holder
  • Pan card number

If there is a change in your permanent address these documents will be necessary:

  • valid passport
  • valid driving license
  • voter’s ID card
  • NREGA job card

4. In the next step you will need to enter your full name, birthdate, email, and aadhar linked phone number & pan card number.

5. In the next step you will need to initiate the KYC process with aadhar OTP and bank account verification

6. After completing all the proccess your KYC is done, now wait for the email of login and credentials

7. After which you will get an email with your login credentials, this may take time

8. Login with the credentials and you are all ready to invest

9. Here you can participate in a bid for a new bond issued, after the amount is deducted the bond/security will be credited to your RBI Retail Direct Account

10. Also, there is a facility to sell your bonds before their maturity period through NDS OM RBI’s trading system run by RBI. Although Liquidity is less

Advantages of RBI Retail Direct Scheme online portal

1. Risk-Free as owned by the Government of India

2. More returns as compared to Fixed deposit and savings account

3. Also has liquidity, which means facilitation to sell the bonds before maturity through NDS-OM

4. Hassle-free online platform

5. Free of cost, no hidden charges

6. Investment can be made from a minimum amount of RS 10000

Disadvantages of RBI Retail Direct Scheme online portal

1. The securities/bonds are not tax-free

2. Due to less awareness, there are no available buyers and sellers in the NDS-OM trading platform

3. Often Bonds/securities with high interest have a more extended maturity period


1. What is the Coupon rate in bonds?

A coupon rate is generally the interest rate offered to hold the bond till maturity

2. What are the documents needed for RBI Retail Direct Registration?

PAN Card
Aadhar card/voter id
If Aadhar card then mobile number linked with aadhar
Active Savings bank account
Email Address
Photo of your signature

3. What are Yield Rates in bonds?

If a bond is trading in the secondary market then the difference in its original price is yield rates

4. Minimum and the maximum amount to invest in a bond through RBI Retail Direct

The Minimum is Rs 10000
Maximum is Rs 2CR

5. Are the Bonds Transferable?



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