diff --git a/test/api/v3/integration/challenges/POST-challenges_challengeId_winner_winnerId.test.js b/test/api/v3/integration/challenges/POST-challenges_challengeId_winner_winnerId.test.js
index c7c38a4c67..f25a6c669f 100644
--- a/test/api/v3/integration/challenges/POST-challenges_challengeId_winner_winnerId.test.js
+++ b/test/api/v3/integration/challenges/POST-challenges_challengeId_winner_winnerId.test.js
@@ -114,6 +114,26 @@ describe('POST /challenges/:challengeId/winner/:winnerId', () => {
       await expect(winningUser.sync()).to.eventually.have.property('balance', oldBalance + challenge.prize / 4);
     });
 
+    it('doesn\'t gives winner gems if group policy prevents it', async () => {
+      let oldBalance = winningUser.balance;
+      let oldLeaderBalance = (await groupLeader.sync()).balance;
+
+      await winningUser.update({
+        'purchased.plan.customerId': 'group-plan',
+      });
+      await group.update({
+        'leaderOnly.getGems': true,
+        'purchased.plan.customerId': 123,
+      });
+
+      await groupLeader.post(`/challenges/${challenge._id}/selectWinner/${winningUser._id}`);
+
+      await sleep(0.5);
+
+      await expect(winningUser.sync()).to.eventually.have.property('balance', oldBalance);
+      await expect(groupLeader.sync()).to.eventually.have.property('balance', oldLeaderBalance + challenge.prize / 4);
+    });
+
     it('doesn\'t refund gems to group leader', async () => {
       let oldBalance = (await groupLeader.sync()).balance;
 
diff --git a/test/api/v3/integration/user/POST-user_purchase.test.js b/test/api/v3/integration/user/POST-user_purchase.test.js
index dff6d59c48..7db7600f60 100644
--- a/test/api/v3/integration/user/POST-user_purchase.test.js
+++ b/test/api/v3/integration/user/POST-user_purchase.test.js
@@ -1,5 +1,6 @@
 import {
   generateUser,
+  createAndPopulateGroup,
   translate as t,
 } from '../../../../helpers/api-integration/v3';
 
@@ -31,4 +32,70 @@ describe('POST /user/purchase/:type/:key', () => {
 
     expect(user.items[type][key]).to.equal(1);
   });
+
+  it('can convert gold to gems if subscribed', async () => {
+    let oldBalance = user.balance;
+    await user.update({
+      'purchased.plan.customerId': 'group-plan',
+      'stats.gp': 1000,
+    });
+    await user.post('/user/purchase/gems/gem');
+    await user.sync();
+    expect(user.balance).to.equal(oldBalance + 0.25);
+  });
+
+  it('leader can convert gold to gems even if the group plan prevents it', async () => {
+    let { group, groupLeader } = await createAndPopulateGroup({
+      groupDetails: {
+        name: 'test',
+        type: 'guild',
+        privacy: 'private',
+      },
+    });
+    await group.update({
+      'leaderOnly.getGems': true,
+      'purchased.plan.customerId': 123,
+    });
+    await groupLeader.sync();
+    let oldBalance = groupLeader.balance;
+
+    await groupLeader.update({
+      'purchased.plan.customerId': 'group-plan',
+      'stats.gp': 1000,
+    });
+    await groupLeader.post('/user/purchase/gems/gem');
+
+    await groupLeader.sync();
+    expect(groupLeader.balance).to.equal(oldBalance + 0.25);
+  });
+
+  it('cannot convert gold to gems if the group plan prevents it', async () => {
+    let { group, members } = await createAndPopulateGroup({
+      groupDetails: {
+        name: 'test',
+        type: 'guild',
+        privacy: 'private',
+      },
+      members: 1,
+    });
+    await group.update({
+      'leaderOnly.getGems': true,
+      'purchased.plan.customerId': 123,
+    });
+    let oldBalance = members[0].balance;
+
+    await members[0].update({
+      'purchased.plan.customerId': 'group-plan',
+      'stats.gp': 1000,
+    });
+    await expect(members[0].post('/user/purchase/gems/gem'))
+      .to.eventually.be.rejected.and.eql({
+        code: 401,
+        error: 'NotAuthorized',
+        message: t('groupPolicyCannotGetGems'),
+      });
+
+    await members[0].sync();
+    expect(members[0].balance).to.equal(oldBalance);
+  });
 });
diff --git a/test/api/v3/unit/libs/amazonPayments.test.js b/test/api/v3/unit/libs/amazonPayments.test.js
index 005b445e4d..757511121a 100644
--- a/test/api/v3/unit/libs/amazonPayments.test.js
+++ b/test/api/v3/unit/libs/amazonPayments.test.js
@@ -102,6 +102,7 @@ describe('Amazon Payments', () => {
     });
 
     it('should purchase gems', async () => {
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(true);
       await amzLib.checkout({user, orderReferenceId, headers});
 
       expect(paymentBuyGemsStub).to.be.calledOnce;
@@ -111,6 +112,8 @@ describe('Amazon Payments', () => {
         headers,
       });
       expectAmazonStubs();
+      expect(user.canGetGems).to.be.calledOnce;
+      user.canGetGems.restore();
     });
 
     it('should error if gem amount is too low', async () => {
@@ -132,20 +135,29 @@ describe('Amazon Payments', () => {
       });
     });
 
+    it('should error if user cannot get gems gems', async () => {
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(false);
+      await expect(amzLib.checkout({user, orderReferenceId, headers})).to.eventually.be.rejected.and.to.eql({
+        httpCode: 401,
+        message: i18n.t('groupPolicyCannotGetGems'),
+        name: 'NotAuthorized',
+      });
+      user.canGetGems.restore();
+    });
+
     it('should gift gems', async () => {
       let receivingUser = new User();
-      receivingUser.save();
+      await receivingUser.save();
       let gift = {
         type: 'gems',
+        uuid: receivingUser._id,
         gems: {
           amount: 16,
-          uuid: receivingUser._id,
         },
       };
       amount = 16 / 4;
       await amzLib.checkout({gift, user, orderReferenceId, headers});
 
-      gift.member = receivingUser;
       expect(paymentBuyGemsStub).to.be.calledOnce;
       expect(paymentBuyGemsStub).to.be.calledWith({
         user,
diff --git a/test/api/v3/unit/libs/applePayments.test.js b/test/api/v3/unit/libs/applePayments.test.js
index 778672f4c8..db199bd565 100644
--- a/test/api/v3/unit/libs/applePayments.test.js
+++ b/test/api/v3/unit/libs/applePayments.test.js
@@ -57,7 +57,20 @@ describe('Apple Payments', ()  => {
         });
     });
 
+    it('errors if the user cannot purchase gems', async () => {
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(false);
+      await expect(applePayments.verifyGemPurchase(user, receipt, headers))
+        .to.eventually.be.rejected.and.to.eql({
+          httpCode: 401,
+          name: 'NotAuthorized',
+          message: i18n.t('groupPolicyCannotGetGems'),
+        });
+
+      user.canGetGems.restore();
+    });
+
     it('purchases gems', async () => {
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(true);
       await applePayments.verifyGemPurchase(user, receipt, headers);
 
       expect(iapSetupStub).to.be.calledOnce;
@@ -74,6 +87,8 @@ describe('Apple Payments', ()  => {
         amount: 5.25,
         headers,
       });
+      expect(user.canGetGems).to.be.calledOnce;
+      user.canGetGems.restore();
     });
   });
 
diff --git a/test/api/v3/unit/libs/googlePayments.test.js b/test/api/v3/unit/libs/googlePayments.test.js
index 35b9ff5366..76ba779fb4 100644
--- a/test/api/v3/unit/libs/googlePayments.test.js
+++ b/test/api/v3/unit/libs/googlePayments.test.js
@@ -63,7 +63,21 @@ describe('Google Payments', ()  => {
         });
     });
 
+    it('should throw an error if user cannot purchase gems', async () => {
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(false);
+
+      await expect(googlePayments.verifyGemPurchase(user, receipt, signature, headers))
+        .to.eventually.be.rejected.and.to.eql({
+          httpCode: 401,
+          name: 'NotAuthorized',
+          message: i18n.t('groupPolicyCannotGetGems'),
+        });
+
+      user.canGetGems.restore();
+    });
+
     it('purchases gems', async () => {
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(true);
       await googlePayments.verifyGemPurchase(user, receipt, signature, headers);
 
       expect(iapSetupStub).to.be.calledOnce;
@@ -82,6 +96,8 @@ describe('Google Payments', ()  => {
         amount: 5.25,
         headers,
       });
+      expect(user.canGetGems).to.be.calledOnce;
+      user.canGetGems.restore();
     });
   });
 
diff --git a/test/api/v3/unit/libs/paypalPayments.test.js b/test/api/v3/unit/libs/paypalPayments.test.js
index bcad82996a..ae67cf3ede 100644
--- a/test/api/v3/unit/libs/paypalPayments.test.js
+++ b/test/api/v3/unit/libs/paypalPayments.test.js
@@ -61,7 +61,7 @@ describe('Paypal Payments', ()  => {
     });
 
     it('creates a link for gem purchases', async () => {
-      let link = await paypalPayments.checkout();
+      let link = await paypalPayments.checkout({user: new User()});
 
       expect(paypalPaymentCreateStub).to.be.calledOnce;
       expect(paypalPaymentCreateStub).to.be.calledWith(getPaypalCreateOptions('Habitica Gems', 5.00));
@@ -87,13 +87,25 @@ describe('Paypal Payments', ()  => {
       });
     });
 
+    it('should error if the user cannot get gems', async () => {
+      let user = new User();
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(false);
+
+      await expect(paypalPayments.checkout({user})).to.eventually.be.rejected.and.to.eql({
+        httpCode: 401,
+        message: i18n.t('groupPolicyCannotGetGems'),
+        name: 'NotAuthorized',
+      });
+    });
+
     it('creates a link for gifting gems', async () => {
       let receivingUser = new User();
+      await receivingUser.save();
       let gift = {
         type: 'gems',
+        uuid: receivingUser._id,
         gems: {
           amount: 16,
-          uuid: receivingUser._id,
         },
       };
 
diff --git a/test/api/v3/unit/libs/stripePayments.test.js b/test/api/v3/unit/libs/stripePayments.test.js
index 98988e37b2..75aaffafcb 100644
--- a/test/api/v3/unit/libs/stripePayments.test.js
+++ b/test/api/v3/unit/libs/stripePayments.test.js
@@ -75,8 +75,29 @@ describe('Stripe Payments', () => {
       });
     });
 
+
+    it('should error if user cannot get gems', async () => {
+      gift = undefined;
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(false);
+
+      await expect(stripePayments.checkout({
+        token,
+        user,
+        gift,
+        groupId,
+        email,
+        headers,
+        coupon,
+      }, stripe)).to.eventually.be.rejected.and.to.eql({
+        httpCode: 401,
+        message: i18n.t('groupPolicyCannotGetGems'),
+        name: 'NotAuthorized',
+      });
+    });
+
     it('should purchase gems', async () => {
       gift = undefined;
+      sinon.stub(user, 'canGetGems').returnsPromise().resolves(true);
 
       await stripePayments.checkout({
         token,
@@ -102,16 +123,18 @@ describe('Stripe Payments', () => {
         paymentMethod: 'Stripe',
         gift,
       });
+      expect(user.canGetGems).to.be.calledOnce;
+      user.canGetGems.restore();
     });
 
     it('should gift gems', async () => {
       let receivingUser = new User();
-      receivingUser.save();
+      await receivingUser.save();
       gift = {
         type: 'gems',
+        uuid: receivingUser._id,
         gems: {
           amount: 16,
-          uuid: receivingUser._id,
         },
       };
 
@@ -125,7 +148,6 @@ describe('Stripe Payments', () => {
         coupon,
       }, stripe);
 
-      gift.member = receivingUser;
       expect(stripeChargeStub).to.be.calledOnce;
       expect(stripeChargeStub).to.be.calledWith({
         amount: '400',
diff --git a/test/api/v3/unit/models/user.test.js b/test/api/v3/unit/models/user.test.js
index 0f128cd296..98abc11a4c 100644
--- a/test/api/v3/unit/models/user.test.js
+++ b/test/api/v3/unit/models/user.test.js
@@ -1,6 +1,7 @@
 import Bluebird from 'bluebird';
 import moment from 'moment';
 import { model as User } from '../../../../../website/server/models/user';
+import { model as Group } from '../../../../../website/server/models/group';
 import common from '../../../../../website/common';
 
 describe('User Model', () => {
@@ -179,6 +180,75 @@ describe('User Model', () => {
     });
   });
 
+  context('canGetGems', () => {
+    let user;
+    let group;
+    beforeEach(() => {
+      user = new User();
+      let leader = new User();
+      group = new Group({
+        name: 'test',
+        type: 'guild',
+        privacy: 'private',
+        leader: leader._id,
+      });
+    });
+
+    it('returns true if user is not subscribed', async () => {
+      expect(await user.canGetGems()).to.equal(true);
+    });
+
+    it('returns true if user is not subscribed with a group plan', async () => {
+      user.purchased.plan.customerId = 123;
+      expect(await user.canGetGems()).to.equal(true);
+    });
+
+    it('returns true if user is subscribed with a group plan', async () => {
+      user.purchased.plan.customerId = 'group-plan';
+      expect(await user.canGetGems()).to.equal(true);
+    });
+
+    it('returns true if user is part of a group', async () => {
+      user.guilds.push(group._id);
+      expect(await user.canGetGems()).to.equal(true);
+    });
+
+    it('returns true if user is part of a group with a subscription', async () => {
+      user.guilds.push(group._id);
+      user.purchased.plan.customerId = 'group-plan';
+      group.purchased.plan.customerId = 123;
+      await group.save();
+      expect(await user.canGetGems()).to.equal(true);
+    });
+
+    it('returns true if leader is part of a group with a subscription and canGetGems: false', async () => {
+      user.guilds.push(group._id);
+      user.purchased.plan.customerId = 'group-plan';
+      group.purchased.plan.customerId = 123;
+      group.leader = user._id;
+      group.leaderOnly.getGems = true;
+      await group.save();
+      expect(await user.canGetGems()).to.equal(true);
+    });
+
+    it('returns true if user is part of a group with no subscription but canGetGems: false', async () => {
+      user.guilds.push(group._id);
+      user.purchased.plan.customerId = 'group-plan';
+      group.leaderOnly.getGems = true;
+      await group.save();
+      expect(await user.canGetGems()).to.equal(true);
+    });
+
+    it('returns false if user is part of a group with a subscription and canGetGems: false', async () => {
+      user.guilds.push(group._id);
+      user.purchased.plan.customerId = 'group-plan';
+      group.purchased.plan.customerId = 123;
+      group.leaderOnly.getGems = true;
+      await group.save();
+      expect(await user.canGetGems()).to.equal(false);
+    });
+  });
+
   context('hasNotCancelled', () => {
     let user;
     beforeEach(() => {
diff --git a/website/common/locales/en/groups.json b/website/common/locales/en/groups.json
index a2d15c698b..4ea8eb2c1e 100644
--- a/website/common/locales/en/groups.json
+++ b/website/common/locales/en/groups.json
@@ -298,5 +298,6 @@
   "managerMarker": " - Manager",
   "joinedGuild": "Joined a Guild",
   "joinedGuildText": "Ventured into the social side of Habitica by joining a Guild!",
-  "badAmountOfGemsToPurchase": "Amount must be at least 1."
+  "badAmountOfGemsToPurchase": "Amount must be at least 1.",
+  "groupPolicyCannotGetGems": "The policy of one group you're part of prevents its members from obtaining gems."
 }
diff --git a/website/common/script/ops/purchase.js b/website/common/script/ops/purchase.js
index 96324281b5..a3efc076d1 100644
--- a/website/common/script/ops/purchase.js
+++ b/website/common/script/ops/purchase.js
@@ -30,6 +30,11 @@ module.exports = function purchase (user, req = {}, analytics) {
     let convCap = planGemLimits.convCap;
     convCap += user.purchased.plan.consecutive.gemCapExtra;
 
+    // Some groups limit their members ability to obtain gems
+    // The check is async so it's done on the server (in server/controllers/api-v3/user#purchase)
+    // only and not on the client,
+    // resulting in a purchase that will seem successful until the request hit the server.
+
     if (!user.purchased || !user.purchased.plan || !user.purchased.plan.customerId) {
       throw new NotAuthorized(i18n.t('mustSubscribeToPurchaseGems', req.language));
     }
diff --git a/website/server/controllers/api-v3/user.js b/website/server/controllers/api-v3/user.js
index bbe8ad5d24..bbc892ce52 100644
--- a/website/server/controllers/api-v3/user.js
+++ b/website/server/controllers/api-v3/user.js
@@ -19,6 +19,7 @@ import {
   sendTxn as txnEmail,
 } from '../../libs/email';
 import nconf from 'nconf';
+import get from 'lodash/get';
 
 const TECH_ASSISTANCE_EMAIL = nconf.get('EMAILS:TECH_ASSISTANCE_EMAIL');
 
@@ -1227,7 +1228,18 @@ api.purchase = {
   url: '/user/purchase/:type/:key',
   async handler (req, res) {
     let user = res.locals.user;
-    let purchaseRes = req.params.type === 'spells' ? common.ops.buySpecialSpell(user, req) : common.ops.purchase(user, req, res.analytics);
+    const type = get(req.params, 'type');
+    const key = get(req.params, 'key');
+
+    // Some groups limit their members ability to obtain gems
+    // The check is async so it's done on the server only and not on the client,
+    // resulting in a purchase that will seem successful until the request hit the server.
+    if (type === 'gems' && key === 'gem') {
+      const canGetGems = await user.canGetGems();
+      if (!canGetGems) throw new NotAuthorized(res.t('groupPolicyCannotGetGems'));
+    }
+
+    let purchaseRes = type === 'spells' ? common.ops.buySpecialSpell(user, req) : common.ops.purchase(user, req, res.analytics);
     await user.save();
     res.respond(200, ...purchaseRes);
   },
diff --git a/website/server/controllers/top-level/payments/paypal.js b/website/server/controllers/top-level/payments/paypal.js
index 149f90d3b3..32d103ad02 100644
--- a/website/server/controllers/top-level/payments/paypal.js
+++ b/website/server/controllers/top-level/payments/paypal.js
@@ -27,7 +27,7 @@ api.checkout = {
     let gift = req.query.gift ? JSON.parse(req.query.gift) : undefined;
     req.session.gift = req.query.gift;
 
-    let link = await paypalPayments.checkout({gift});
+    let link = await paypalPayments.checkout({gift, user: res.locals.user});
 
     if (req.query.noRedirect) {
       res.respond(200);
diff --git a/website/server/libs/amazonPayments.js b/website/server/libs/amazonPayments.js
index d723cd976b..49b4045b75 100644
--- a/website/server/libs/amazonPayments.js
+++ b/website/server/libs/amazonPayments.js
@@ -97,6 +97,8 @@ api.checkout = async function checkout (options = {}) {
   let amount = 5;
 
   if (gift) {
+    gift.member = await User.findById(gift.uuid).exec();
+
     if (gift.type === this.constants.GIFT_TYPE_GEMS) {
       if (gift.gems.amount <= 0) {
         throw new BadRequest(i18n.t('badAmountOfGemsToPurchase'));
@@ -107,6 +109,12 @@ api.checkout = async function checkout (options = {}) {
     }
   }
 
+  if (!gift || gift.type === this.constants.GIFT_TYPE_GEMS) {
+    const receiver = gift ? gift.member : user;
+    const receiverCanGetGems = await receiver.canGetGems();
+    if (!receiverCanGetGems) throw new NotAuthorized(i18n.t('groupPolicyCannotGetGems', receiver.preferences.language));
+  }
+
   await this.setOrderReferenceDetails({
     AmazonOrderReferenceId: orderReferenceId,
     OrderReferenceAttributes: {
diff --git a/website/server/libs/applePayments.js b/website/server/libs/applePayments.js
index 881c7ef152..e77f452a78 100644
--- a/website/server/libs/applePayments.js
+++ b/website/server/libs/applePayments.js
@@ -21,6 +21,9 @@ api.constants = {
 };
 
 api.verifyGemPurchase = async function verifyGemPurchase (user, receipt, headers) {
+  const userCanGetGems = await user.canGetGems();
+  if (!userCanGetGems) throw new NotAuthorized(shared.i18n.t('groupPolicyCannotGetGems', user.preferences.language));
+
   await iap.setup();
   let appleRes = await iap.validate(iap.APPLE, receipt);
   let isValidated = iap.isValidated(appleRes);
diff --git a/website/server/libs/googlePayments.js b/website/server/libs/googlePayments.js
index 5b38e9ae27..6214da97a8 100644
--- a/website/server/libs/googlePayments.js
+++ b/website/server/libs/googlePayments.js
@@ -20,6 +20,9 @@ api.constants = {
 };
 
 api.verifyGemPurchase = async function verifyGemPurchase (user, receipt, signature, headers) {
+  const userCanGetGems = await user.canGetGems();
+  if (!userCanGetGems) throw new NotAuthorized(shared.i18n.t('groupPolicyCannotGetGems', user.preferences.language));
+
   await iap.setup();
 
   let testObj = {
diff --git a/website/server/libs/paypalPayments.js b/website/server/libs/paypalPayments.js
index 6c0ccadb66..19bd2f2676 100644
--- a/website/server/libs/paypalPayments.js
+++ b/website/server/libs/paypalPayments.js
@@ -70,11 +70,15 @@ api.paypalBillingAgreementCancel = Bluebird.promisify(paypal.billingAgreement.ca
 api.ipnVerifyAsync = Bluebird.promisify(ipn.verify, {context: ipn});
 
 api.checkout = async function checkout (options = {}) {
-  let {gift} = options;
+  let {gift, user} = options;
 
   let amount = 5.00;
   let description = 'Habitica Gems';
+
   if (gift) {
+    const member = await User.findById(gift.uuid).exec();
+    gift.member = member;
+
     if (gift.type === 'gems') {
       if (gift.gems.amount <= 0) {
         throw new BadRequest(i18n.t('badAmountOfGemsToPurchase'));
@@ -87,6 +91,14 @@ api.checkout = async function checkout (options = {}) {
     }
   }
 
+
+  if (!gift || gift.type === 'gems') {
+    const receiver = gift ? gift.member : user;
+    const receiverCanGetGems = await receiver.canGetGems();
+    if (!receiverCanGetGems) throw new NotAuthorized(shared.i18n.t('groupPolicyCannotGetGems', receiver.preferences.language));
+  }
+
+
   let createPayment = {
     intent: 'sale',
     payer: { payment_method: this.constants.PAYMENT_METHOD },
diff --git a/website/server/libs/stripePayments.js b/website/server/libs/stripePayments.js
index f6cfae820b..63b2041ca3 100644
--- a/website/server/libs/stripePayments.js
+++ b/website/server/libs/stripePayments.js
@@ -76,6 +76,11 @@ api.checkout = async function checkout (options, stripeInc) {
 
   if (!token) throw new BadRequest('Missing req.body.id');
 
+  if (gift) {
+    const member = await User.findById(gift.uuid).exec();
+    gift.member = member;
+  }
+
   if (sub) {
     if (sub.discount) {
       if (!coupon) throw new BadRequest(shared.i18n.t('couponCodeRequired'));
@@ -114,6 +119,12 @@ api.checkout = async function checkout (options, stripeInc) {
       }
     }
 
+    if (!gift || gift.type === 'gems') {
+      const receiver = gift ? gift.member : user;
+      const receiverCanGetGems = await receiver.canGetGems();
+      if (!receiverCanGetGems) throw new NotAuthorized(shared.i18n.t('groupPolicyCannotGetGems', receiver.preferences.language));
+    }
+
     response = await stripeApi.charges.create({
       amount,
       currency: 'usd',
@@ -141,8 +152,6 @@ api.checkout = async function checkout (options, stripeInc) {
     };
 
     if (gift) {
-      let member = await User.findById(gift.uuid).exec();
-      gift.member = member;
       if (gift.type === 'subscription') method = 'createSubscription';
       data.paymentMethod = 'Gift';
     }
diff --git a/website/server/models/challenge.js b/website/server/models/challenge.js
index bcb28e69a9..270f5ad5b4 100644
--- a/website/server/models/challenge.js
+++ b/website/server/models/challenge.js
@@ -283,7 +283,15 @@ schema.methods.closeChal = async function closeChal (broken = {}) {
   // Award prize to winner and notify
   if (winner) {
     winner.achievements.challenges.push(challenge.name);
-    winner.balance += challenge.prize / 4;
+
+    // If the winner cannot get gems (because of a group policy)
+    // reimburse the leader
+    const winnerCanGetGems = await winner.canGetGems();
+    if (!winnerCanGetGems) {
+      await User.update({_id: challenge.leader}, {$inc: {balance: challenge.prize / 4}}).exec();
+    } else {
+      winner.balance += challenge.prize / 4;
+    }
 
     winner.addNotification('WON_CHALLENGE');
 
diff --git a/website/server/models/group.js b/website/server/models/group.js
index 569a65830e..e60afdbbfb 100644
--- a/website/server/models/group.js
+++ b/website/server/models/group.js
@@ -76,6 +76,8 @@ export let schema = new Schema({
   leaderOnly: { // restrict group actions to leader (members can't do them)
     challenges: {type: Boolean, default: false, required: true},
     // invites: {type: Boolean, default: false, required: true},
+    // Some group plans prevent members from getting gems
+    getGems: {type: Boolean, default: false},
   },
   memberCount: {type: Number, default: 1},
   challengeCount: {type: Number, default: 0},
diff --git a/website/server/models/user/methods.js b/website/server/models/user/methods.js
index b9336134e8..6aa32a3a54 100644
--- a/website/server/models/user/methods.js
+++ b/website/server/models/user/methods.js
@@ -4,6 +4,7 @@ import Bluebird from 'bluebird';
 import {
   chatDefaults,
   TAVERN_ID,
+  model as Group,
 } from '../group';
 import { defaults, map, flatten, flow, compact, uniq, partialRight } from 'lodash';
 import { model as UserNotification } from '../userNotification';
@@ -190,7 +191,7 @@ schema.methods.cancelSubscription = async function cancelSubscription (options =
   return await payments.cancelSubscription(options);
 };
 
-schema.methods.daysUserHasMissed = function  daysUserHasMissed (now, req = {}) {
+schema.methods.daysUserHasMissed = function daysUserHasMissed (now, req = {}) {
   // If the user's timezone has changed (due to travel or daylight savings),
   // cron can be triggered twice in one day, so we check for that and use
   // both timezones to work out if cron should run.
@@ -271,3 +272,28 @@ schema.methods.daysUserHasMissed = function  daysUserHasMissed (now, req = {}) {
 
   return {daysMissed, timezoneOffsetFromUserPrefs};
 };
+
+// Determine if the user can get gems: some groups restrict their members ability to obtain them.
+// User is allowed to buy gems if no group has `leaderOnly.getGems` === true or if
+// its the group leader
+schema.methods.canGetGems = async function canObtainGems () {
+  const user = this;
+  const plan = user.purchased.plan;
+
+  if (!user.isSubscribed() || plan.customerId !== payments.constants.GROUP_PLAN_CUSTOMER_ID) {
+    return true;
+  }
+
+  const userGroups = user.getGroups();
+
+  const groups = await Group
+    .find({
+      _id: {$in: userGroups},
+    })
+    .select('leaderOnly leader purchased')
+    .exec();
+
+  return groups.every(g => {
+    return !g.isSubscribed() || g.leader === user._id || g.leaderOnly.getGems !== true;
+  });
+};