These "buy gold" companies - do you actually get physical delivery of gold?

Hugabear

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Tue May-10-11 12:43 AM
Original message

These "buy gold" companies - do you actually get physical delivery of gold?

Just curious, what with Glenn Beck and other right-wing hypemongers telling everyone to run out and buy all the gold they can, do these companies actually deliver gold to you? If I were to buy $1000 worth of gold, would I actually receive the gold? Or is this like most futures markets, where you're simply buying shares that you can sell at a later date? Seems to me that if it's the latter, then buying all the gold in the world wouldn't do any good in an economic "collapse" since you wouldn't actually have the gold you paid for.

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Duer 157099

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Tue May-10-11 12:48 AM
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1. I don't know about them, but you can easily go to a coin shop

and buy $1,000 worth of gold at market prices, in 1/10 ounce gold coins.

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Lucian

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Tue May-10-11 12:48 AM
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2. No, they buy your used gold.

You don't buy gold from them.

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Art_from_Ark

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Tue May-10-11 01:02 AM
Response to Reply #2

5. Some of them sell gold coins

Edited on Tue May-10-11 01:03 AM by Art_from_Ark

However, sophisticated buyers tend to stay away from TV advertisers.

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Alexander

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Tue May-10-11 12:49 AM
Response to Original message

3. I can't speak for people who buy gold, but I bought silver once, and it was a coin off eBay.

It's 1 Troy ounce in silver, and I got a coin in a case in the mail.

I imagine some people who buy gold stick to coins just like I do.

By the way, I paid only about $17.50 for the silver back in 2009, and as of right now I've more than doubled my purchase.

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notesdev

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Tue May-10-11 01:02 AM
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4. it depends

You can buy actual physical gold, or you can buy gold futures, as trading instruments there isn't a huge difference, except the latter of course you don't need to move, store, or secure anything - but you'd better hope that the gold they represent really exists and can be produced - not a given in a financial industry thoroughly soaked in embezzlement and deception

If physical gold, you have those storage and security issues to deal with.

In a true all-out economic collapse the currency will be bullets, anyway, not gold, as with a bullet I can take your gold for free.

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iamtechus

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Tue May-10-11 01:05 AM
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6. Yes, they deliver. Check them out.

You can buy gold bars and such on ebay but you can get them for less from a dealer.

http://www.apmex.com/

It's best to read a little and make sure that you understand the market (it's not like stocks) before spending very much.

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pipoman

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Tue May-10-11 01:23 AM
Response to Original message

7. Yes, but you pay a healthy premium over spot

which exceeds other sources. Silver has far out performed gold over the last year..far out performed..

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quaker bill

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Tue May-10-11 04:44 AM
Response to Reply #7

8. and the rest of the story is

that they have groups of sales people trained to attempt to move your purchase into nuministic metals such as antique french francs which are sold at a 2 to 3 fold premium over melt value. Even if they fail at this, they generally charge well above industry standards for handling.

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