# Definitive cutoff date to be eligible for interest on Government Securities

**URL:** https://tradingqna.com/t/definitive-cutoff-date-to-be-eligible-for-interest-on-government-securities/98915
**Category:** Bonds
**Created:** [December 31, 2020, 3:39pm UTC](https://tradingqna.com/t/definitive-cutoff-date-to-be-eligible-for-interest-on-government-securities/98915 "2020-12-31T15:39:44Z")
**Posts on this page:** 1
**Showing post:** 2

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### Author: ![ShubhS9](https://tradingqna.com/user_avatar/tradingqna.com/shubhs9/32/32667_2.png) [@ShubhS9](https://tradingqna.com/u/ShubhS9)
#### Post date: [December 31, 2020, 4:26pm UTC](https://tradingqna.com/t/definitive-cutoff-date-to-be-eligible-for-interest-on-government-securities/98915/2 "2020-12-31T16:26:11Z")

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You are eligible to receive full interest when you purchase bonds from secondary market. But when you purchase bonds from secondary market, the price quoted is dirty price, means it includes interest accrued for the holding period.

This post will help you understand it better:

> [@What are sovereign gold bonds?](https://tradingqna.com/t/what-are-sovereign-gold-bonds/6372/3):
>
> In simple words, government sovereign gold bond scheme is where instead of having&nbsp;&nbsp;physical gold sitting idle in your house, you can invest in gold bonds.&nbsp; These gold bonds are in demat&nbsp;form, and unlike physical gold gives you an interest of 2.75% annually additional to whatever appreciation happens on the underlying gold value. This interest payment is [half yearly on 30th May and 30th Nov](https://zerodha.com/marketintel/Circulars/32072).&nbsp; What happens if gold value drops?&nbsp; If it drops, your value of gold bond also drops. It is the same way…

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