Investing in premium gold bars is one of the best decisions you can make for your investment portfolio. They are highly liquid, portable, tangible, and more private than many alternatives like gold coins. Besides, many people opt for them because gold bars are cheaper than coins, thanks to their low machining costs. Gold bar prices remain the lowest of all gold assets and are a safe choice for investment purposes.
However, many potential investors find purchasing gold bars a daunting process, especially with the fluctuating spot price of gold. A buyer can't just go to a gold refinery, like the Perth Mint in Australia or the Royal Canadian Mint, for example, and buy gold directly. The fact that there’s real and fake gold in the market being sold by so-called legitimate bullion dealers complicates the process. Besides, the significant number of gold dealers entering the market makes choosing the most reliable dealer challenging for buyers.
There are various types of gold bars in the market. Bars are created by different manufacturers. Like Acre Gold, some of them use unique molds for the bars, such as the Valcambi Combibar and the Credit Suisse Gold bar. There are gold bullion bars and gold ingots, or nuggets. Gold bar sizes range from very small to relatively weighty. There are kilo gold bars, gold gram bars, and ounce gold bars, just to name a few. And then of course there's minted bars and cast bars. Bars usually come with assay cards detailing the gold's fineness, amongst other compositional characteristics.
The significant differences lie in the quality and level of purity of the gold bars. Sometimes this could boil down to something as simple as the type of storage facility bars where bars are kept. Thus, gold buyers have a few decisions to make when buying gold bars. Your work involves deciding everything from the gold bars to purchase and the dealer.
This article seeks to make finding a reputable gold bar dealer more straightforward with the best research tips.
Here’s everything you should know.
Choosing a Reputable Gold Bar Dealer
The gold bar brand you purchase and the dealer you buy from matter. In this business, buying low-quality or fake gold is easy if you do not research well. But then, the fruits of your research will depend on the factors that you intend to consider before choosing a brand and dealer.
That’s what this article is looking to simplify for you. We’ll take a deeper look at what you should keep in mind to narrow your search for a gold dealer to only the best. Read on to find out more on how to separate the wheat from the chaff during your search.
These are the factors that you should keep in mind.
Online Rating Matters
Scammers have infiltrated the gold market in recent years. Checking a gold business’s online ratings has proved to be the easiest way to find trustworthy sellers. Thankfully, finding customer ratings based on their experiences with gold companies has simplified work for buyers.
It has fostered trust and inspired collaboration between buyers and sellers. These ratings give preference to companies with years of experience in the gold business. Besides, businesses with the best ratings have many loyal customers satisfied with their gold and services.
Like in other businesses, a loyal client base signals good service and quality. Businesses that don’t have evidence of returning clients aren’t worth considering. Their gold is probably of low quality or fake. Or, their services could be disappointing, especially for customer support.
It's also worth noting that premium gold bars are stamped with unique serial numbers, ensuring they are legitimate and legally purchasable.
Consider Online Stores
Most companies are today leveraging technology, and gold companies are no exception. You do not have to visit a brick-and-mortar store to buy your gold. Today, many gold brands and dealers are doing business with their clients online, which has been rewarding.
Buying from online dealers is cheaper and more convenient than from physical stores. Reliable online sellers like Acre are making online buying even more manageable. They allow you to pay for gold and get it delivered to your doorstep. That’s one of the primary reasons to consider online sellers.
Besides, the fact that they allow you to pay in bits doesn’t stretch your finances. You will be a prominent gold investor before you know it. The financial strain this saves you makes it easy to get to the desired level and achieve your investment goals without any significant pressure.
What Are the Available Payment Methods?
Another factor that’s worth considering is the payment forms a gold bar dealer offers. If buying from a local dealer, cash will be the most convenient payment method for you. Otherwise, you may consider dealers who offer checks or money orders as forms of payment.
Remember that you’ll incur extra costs if a dealer only offers Bank wires and credit cards. However, the best pick of all can be a dealer who offers digital payments like PayPal, Bitcoin, etc. It will be worth mentioning that online dealers wait until a payment clears before shipping an order.
A dealer with multiple payment methods is an excellent pick. It isn’t feasible to cancel a deal because of service failure from the provider’s end. You can change the payment form and pay for the gold effortlessly. Dealers without multiple options won’t guarantee you such convenience.
Don’t Rely on Industry Experience Only
Industry experience is vital when picking a gold bar dealer. A dealer who’s been in business for five years won’t be at the same level as a one-year-old dealership. The latter will have a better record that will give you insights into what to expect from working with them.
But that shouldn’t mean that you neglect new gold bar brands and dealers. New companies are coming with fresh ideas aimed at simplifying the gold business. The past techniques used to sell gold are now enriched to prioritize convenience and affordability in their services.
New brands are therefore worth considering when looking to buy gold. The gist is whether the brand is reputable and deals with high-quality gold. Otherwise, you risk buying from an old brand but that has poor work ethics.
What Are the Sales Volumes?
An ideal pick for a gold brand and dealer should have a substantial sales volume. Your demand for gold can increase over time. You don’t want to start the process of finding a new dealer all over again. Therefore, look for a dealer with a large sales volume from the onset.
Such a dealer will have greater flexibility than those with small volumes. This means that they won’t run out of stock when you want to make an urgent order. Or, you can change the quantity you want to be delivered to your home at the last minute, and they’ll manage to deliver.
Lastly, dealers with large volumes also most likely have wide product selections. A limited selection means you’ll have to hop from a dealership to another. That will require a lot of time and effort, which can also increase your chances of landing on fake dealerships.
Consider Sellers Dedicated to Customer Education
As mentioned earlier, most gold bar dealers are selling online. But then, a good gold vendor shouldn’t practice hard selling. Being direct and pushy in this digital age doesn’t attract more sales. Instead, they should use their websites to train their customers about gold buying.
Thus, you should consider a gold bar dealer who provides educational value on their website. If they do, that’s an indication that they’re a customer-centric business. That means they could also put your needs first and ensure that they sell you authentic and high-quality gold bars.
Some sellers have gone over and above to create educational videos. They have YouTube channels to educate their customers on gold and how to purchase it. There are slim chances that companies with such values will disappoint you if you choose to buy gold from them.
Is There a Buyback Policy?
A buyback policy is essential for every legit gold dealer. As a customer, you need assurance that you won’t struggle to find a buyer should you want to sell your gold bars. Sadly some buyers have been stuck with gold or presented with offers below the value of the gold.
It would be best if you considered a dealer who will repurchase your gold once you buy it. The fact that they’ll be there when you want to sell will save you the hassle. But then, that’s not to say that you will not find a buyer for your gold; the point is to get the best price for your investment.
Thus, it would help to keep this question top on the list when looking for a dealer. If one doesn’t have a buyback policy, don’t fall for promises that you’ll find a buyer. The aim should be to sell your gold as fast as possible and not sell it at a loss since it has an unlimited useful lifespan.
Buy Gold Today From a Trusted Dealer
The gold bar-buying process can be overwhelming. With several brands and dealers in the market, you need to take utmost care when picking one. An ideal pick should provide pure gold that has the proper quality stamp and a recognized hallmark.
These are the indications that you are buying real gold. Brands that sell fake gold don’t include these details in an attempt to persuade gullible clients. In a nutshell, look for weight, size, purity, refiner information on the gold bar. A serial number could also be part of the information.
Keep these factors in your checklist to ensure that you find a dealer you can trust, especially if you plan to buy gold bars online. With them on your list, it will be easy to avoid fake gold and dealers.
Your next search for gold bars should be seamless and rewarding. This article will save you a good deal of valuable time and energy in your future purchases. Feel free to contact us with any questions about buying gold bars.
Sources:
5 Questions To Ask Yourself Before Buying Precious Metals | Forbes