Jewellers re-start monthly deposit schemes after two weeks of suspension

Experts believe the schemes are very much within the definition of 'deposit' but clarity is needed based on intent

Even a month after banning unregulated deposits, some questions are still unanswered whether deposits taken by jewellers from customers is acceptable especially when jewellers are not regulated. Jewellers initially feared that the ban is applicable to them also as the monthly deposit schemes run by them remained unregulated. The jewellers have, however, now re-started accepting deposits after discontinuing monthly deposit schemes for almost two weeks early this month.

Gold jewellers continue with several monthly deposit schemes to improve liquidity for working capital and facilitate customers’ redemption for jewellery purchase on maturity.

A Tata venture Titan Company which sells Tanishq brand