Introduction
Let’s talk about Gullak, the savings app that’s been creating quite a buzz in the Indian financial landscape recently. Hailed as an easy, automated, and rewarding way to save and invest, Gullak boasts attractive returns on gold, a slew of user-friendly features, and even an innovative gold-leasing option. In this comprehensive review, we’re going to unpack all the glitter and glam, evaluating its key features, pros and cons, pricing, and even top alternatives.
What is Gullak Savings App?
Finterscale Technology Pvt Ltd., a company incorporated in 2022 and based out of Bengaluru, launched Gullak Savings App, an innovative Indian financial technology platform that makes saving and investing easy, automated, and rewarding. It caters to a modern audience who seek smart solutions to grow their wealth. Named after the traditional Indian piggy bank, Gullak represents an interesting blend of tradition and innovation.
Available as an Android app and iOS app, the main draw of Gullak is its ability to help users accumulate wealth by investing in digital gold. Users can save small amounts regularly and the app automatically invests this money into digital gold. This approach merges the simplicity of a savings account with the tangible growth potential of gold as an investment.
Gullak stands out with its unique feature, Gullak Gold+, which enables users to lease their digital gold to earn an additional 5% return per year on top of the annual returns of gold. The leased gold is given to vetted and verified jewelers, providing users with peace of mind about the safety of their investment. Additionally, Gullak facilitates seamless transactions with popular platforms like PhonePe, BHIM, and Paytm, ensuring a smooth user experience. With its enticing blend of simplicity, automation, and high returns, Gullak Savings App is carving a niche in the crowded space of investment apps.
How does Gullak Savings App Work?
You can start using Gullak Savings App by following these easy steps:
- Sign Up: First, users need to download the Gullak app and register an account. The sign-up process is simple and fast, requiring only basic personal information.
- Choose Savings Option: Gullak offers multiple savings options. Users can choose to save daily, round off their online transactions to the nearest 10 and invest the difference, or add a lump sum amount into their Gullak account.
- Automated Investments: Once the savings options are set up, Gullak will automatically start saving the selected amount and invest it into digital gold. The app does this work in the background, requiring no further action from the user.
- Lease Gold for Extra Returns: Users can opt to lease their digital gold through the Gullak Gold+ feature. This allows them to earn an extra 5% return yearly on top of the annual gold returns.
- Withdrawal of Funds: Users can withdraw their funds instantly at any time, providing flexibility and control over their savings.
- Security Measures: Gullak ensures the safety and security of the users’ gold by storing it in secure vaults.
- Transaction Methods: Gullak supports transactions with popular payment platforms like PhonePe, BHIM, and Paytm.
- Rewards: As a bonus, Gullak also offers rewards in the form of free digital gold on savings.
Key Features
Here are the key features of the Gullak Savings App:
- Automated Savings: Gullak allows users to automate their savings, investing small amounts regularly in digital gold without any active intervention.
- Multiple Savings Options: Users can choose to save daily, round off their online transactions and invest the difference, or deposit a lump sum amount anytime.
- Gullak Gold+: This feature allows users to lease their digital gold and earn an extra 5% annual return on top of the yearly gold returns.
- Instant Withdrawal: Users have the flexibility to pause or withdraw their savings at any time.
- High Security: The platform claims that user investments are safe and secure. The digital gold is stored in secure vaults and transactions are backed by popular payment platforms like PhonePe, BHIM, and Paytm.
- Rewards: Gullak offers rewards to its users in the form of free digital gold on savings.
- 24K Gold Coins Delivery: Gullak delivers 24K 999 Gold Coins right to your doorstep upon request.
- No Hidden Charges: There are no hidden charges or transaction fees associated with using the Gullak app, making it a transparent platform for saving and investing.
Pros
- Available as an iOS App and Android App.
- Allows users to save automatically, thereby taking the burden off of remembering to set aside money manually.
- Under Gullak Gold+, users can lease their gold and earn an extra 5% annual return, in addition to regular gold returns.
- Offers multiple ways to save, from daily contributions to rounding off online transactions.
- Allows users to pause or withdraw their savings instantly at any time.
- Partnerships with reputed platforms like PayTM and Augmont Gold ensure the security of investments.
- Transparent pricing with no hidden fees or transaction charges.
- Users are rewarded with free digital gold on their savings.
Cons
- Limited Investment Options: Gullak primarily focuses on gold investment, which may not cater to all types of investors.
- Dependence on Gold Prices: Returns are dependent on the performance of gold prices, which may fluctuate.
- Risk in Gold Leasing: Though Gullak has secured mechanisms in place, leasing gold to jewelers can come with some risk, as it depends on the creditworthiness of the jeweler.
Is the Gullak app safe?
According to Gullak, it is safe to use their app. Gullak’s key assurances include:
- Reputable Partnerships: Gullak has partnered with well-established names in the financial technology sector like PayTM and Augmont and follows RBI guidelines.
- Gold Purity: Money is invested in 24K 999 pure gold provided by Augmont. All gold is hallmarked by a government-approved hallmarking agency as per BIS guidelines.
- Secure Storage: The digital gold you purchase is stored in secure vaults that are continually monitored.
- Creditworthiness Checks: For its Gold+ feature, Gullak checks the creditworthiness of the jewelers listed on the platform.
- Bank Guarantee: When leasing gold through Gold+, jewelers provide a bank guarantee equivalent to 100% of the INR value of the gold leased.
- Gold Supplier: The supplier of the gold, Augmont, is one of India’s largest gold refineries.
- Transparent Operations: Gullak maintains a transparent business model, with no hidden fees or transaction charges.
While the Gullak app takes several steps to ensure user safety, it’s always important to do your own due diligence and research when it comes to financial matters.
Gullak Funding and Key Investors
According to The Economic Times, Gullak raised $3 million in its seed funding round in 2023. This round was marked by contributions from new investors Y Combinator and Rebel Partners, alongside existing investor Better Capital and fresh participants like Good Water Capital, GMO fintech fund, and TRTL Ventures. Individual investors including Kunal Shah, Cred’s founder, and Fibe’s cofounders, also invested. This follows the app’s pre-seed round in the previous year, where it raised $1.3 million, spearheaded by Better Capital, with other investors like the cofounders of JusPay.
Gullak’s Pricing
Gullak’s app itself is free to download and use, and there are no setup or transaction fees for your savings and investments. The primary investment in the app is through the purchase of digital gold. The pricing of digital gold varies and is subject to market rates. As for the Gold+ feature, the additional 5% returns are gained by leasing your gold to vetted jewelers, meaning there is no direct cost to you.
Gullak Contact Details: E-mail ID and Office Address
Gullak E-mail ID: [email protected]
Gullak Office Address: 4th Floor, Building, 387, Koramangala 4th Block, Koramangala, Bengaluru, Karnataka 560034
Gullak Saving App’s Alternatives & Competitors
- Jar
- Spare8
- Jupiter Money
- GoldPe
- Spenny
Review of Gullak Savings App
Rating: ★★★★☆
The Gullak savings app is an innovative financial platform that seamlessly blends simplicity and ingenuity in a sleek, user-friendly interface. From its swift setup, to its easy-to-understand investment strategies, Gullak is a breath of fresh air in the typically complex world of finance and investing. The primary investment vehicle is digital gold, which is an attractive option for those who value the stability and historic returns of precious metals. The Gold+ feature is particularly compelling, offering a unique opportunity to lease your gold for additional returns. The automated savings features like rounding off the amount to the nearest ten on online transactions and investing the difference are clever ways to encourage regular savings habits without feeling the pinch. Also, the ability to withdraw your savings at any time provides an extra layer of financial security. However, like any financial app, Gullak should be used with a clear understanding of market risks and personal financial goals. It’s also worth noting that the app’s reliance on digital gold as its primary investment vehicle might not appeal to everyone. Overall, Gullak offers a well-designed and interesting approach to saving and investing, particularly for those interested in the benefits of digital gold.