Avoid offers that are “too good to be true”. The most vulnerable targets of these plans are mostly older people, because more and more people are learning to use the Internet. More than 10,000 elderly people have been victims of scammers who offered to sell them gold as an investment, which, in the first place, is not a good investment in many cases. These victims parted ways with their money without seeing a shred of the precious metal.
Although it's OK to buy some collectible coins, you should be careful when buying them. Fraudsters may try to deceive investors with partial delivery scams. A case of delivery fraud involves a buyer paying for a partial delivery of gold without receiving anything from the seller. Bait and switch scammers lead the investor to make a partial payment and receive a small amount of the purchase.
This allows the seller to lure the buyer with a false sense of security and legitimacy. The buyer then pays the investment amount in full and never receives the remaining investment, or is instead rewarded with fools' gold. Finally, a gold seller may appear to be reputable and uses shipping rates as a Trojan horse to extort money from investors. A report revealed that more than 10,000 people in the United States have been victims of precious metal scams.
Sometimes it's simply a matter of gold sellers saying that the coins they sell are worth much more than they are worth; sometimes, the “gold that investors buy” doesn't exist at all or isn't real gold. Any gold you buy and someone else keeps is never 100% yours. A certificate that says you have gold is just a piece of paper that depends on a stranger's promise to be worth anything. Actually owning gold requires having access to it.
To learn more about investing in gold with the United States Gold Office, which offers a 100% guarantee of authenticity on all purchases, request a free guide for investors. You might think it's cheaper to buy gold outside of a reputable channel, but you don't know if the gold is real. Gold can be bought in a variety of ways, from jewelry to ingots, but investors only regularly trade certain types. If the gold company you're considering doesn't have any website or internet presence, then that's another bad sign.
This scam is quite simple but very common, especially if you buy gold online on unverified and unrecognized websites. Legitimate gold traders know that every piece of gold they sell is valuable, and they won't shy away from buying gold again in the future. Certified gold coins are usually a good investment, but since their value depends on the particular currency and not on the spot price, it may be beneficial to do a little more research to make sure you know what you're buying. There is a booming numismatic industry of collectors of rare and valuable coins, and some sell for much more than their weight in gold.
Fortunately, organizations like ours can provide comprehensive information on gold investment opportunities, gold trust centers, and other precious metals investment products, so you don't have to face the challenge of avoiding gold-related scams on your own. While gold dealers will offer discounts for buying in bulk, many think it's best to test the waters before taking advantage of these deals. While not all gold-related scams are as juicy as the Bre-X gold mining scandal, the negative externalities of gold scammers can be felt individually and within the ecosystem of the globalized gold industry. Of course, the best way to ensure that you won't be scammed is to work with a trusted gold broker who knows the ins and outs of the industry.
In addition, shady gold traders offer low quotes to attract customers, but they cannot deliver gold at these rates. To avoid portfolio devastation, it is imperative that investors purchase gold through verified gold sellers. The United States Gold Office (USGB) is a private distributor of gold and silver coins with 26% US platinum. UU.