diff --git a/homeassistant/components/sms/gateway.py b/homeassistant/components/sms/gateway.py
index 000434561bc..2d36444c03d 100644
--- a/homeassistant/components/sms/gateway.py
+++ b/homeassistant/components/sms/gateway.py
@@ -108,7 +108,10 @@ class Gateway:
 
                     # delete retrieved sms
                     _LOGGER.debug("Deleting message")
-                    state_machine.DeleteSMS(Folder=0, Location=entry[0]["Location"])
+                    try:
+                        state_machine.DeleteSMS(Folder=0, Location=entry[0]["Location"])
+                    except gammu.ERR_MEMORY_NOT_AVAILABLE:
+                        _LOGGER.error("Error deleting SMS, memory not available")
                 else:
                     _LOGGER.debug("Not all parts have arrived")
                     break
diff --git a/homeassistant/components/sms/manifest.json b/homeassistant/components/sms/manifest.json
index c3c7db2aa61..1c24777bd4a 100644
--- a/homeassistant/components/sms/manifest.json
+++ b/homeassistant/components/sms/manifest.json
@@ -3,6 +3,6 @@
   "name": "SMS notifications via GSM-modem",
   "config_flow": true,
   "documentation": "https://www.home-assistant.io/integrations/sms",
-  "requirements": ["python-gammu==3.0"],
+  "requirements": ["python-gammu==3.1"],
   "codeowners": ["@ocalvo"]
 }
diff --git a/requirements_all.txt b/requirements_all.txt
index aa9d2e203ed..6b6c2fcd070 100644
--- a/requirements_all.txt
+++ b/requirements_all.txt
@@ -1703,7 +1703,7 @@ python-family-hub-local==0.0.2
 python-forecastio==1.4.0
 
 # homeassistant.components.sms
-# python-gammu==3.0
+# python-gammu==3.1
 
 # homeassistant.components.gc100
 python-gc100==1.0.3a