People in India have cultural and emotional attachment with gold. It is becoming a tradition to keep gold with them and forwarding the same to next generations. In south India, parents used to give gold to her daughter at the time of her marriage. Temples and trusts in India have huge quantity of gold reserves with them. It is estimated that more than 25000 tonnes of idle gold is lying with households, temples and trusts in India. Government of India announced a Re-vamped gold deposit scheme in the year 2015 to pool ideal gold in the country. Under the scheme, authorized banks and financial institutions accepts deposits from citizens of India, HUFs, companies, temples and trusts. A depositor can get up to 2.5 percent fixed rate of interest[9] on gold deposited under the scheme. The present paper studies factors that influence depositors to deposit their gold under the scheme. It is found from the analysis that the collateral against loan and nature of guarantee are highly influencing gold depositors to deposit their gold under the scheme.