Deciding to research and perhaps move forward on buying gold coins is a big deal!
There are two basic types of gold coins: bullion coins and numismatic coins (collector coins).
Gold investors typically acquire gold bullion coins as their prices are very transparent. Gold bullion coin prices are based on the market price of physical investment grade gold. Today's gold bullion coins are typically 22k to 24k, having a 90% or higher level of gold content.
Numismatic gold coins are generally purchased by coin collectors and rare coin values are subjective to many factors outside of the gold spot price. Much like fine art, true numismatists ( collector coin experts), are generally lifetime coin collector enthusiasts who have acquired years of specialized knowledge sharpening their trade. There are a select few of successful players in these arenas; they typically have decades of experience and expertise.
II. Best Gold Coin for Your Objectives
Choosing the best gold coin for your investing objective will depend upon multiple factors including your geographic location, the importance of privacy when selling gold coins back to gold dealers, and premiums both on the buy and sell side.
If you are considering converting an IRA into gold coins, gold bullion coins are a great choice for gold investors. The most popular gold bullion coins are American Gold Eagles followed by Canadian Gold Maple Leafs.
III. How to Safely Buy Gold Coins
Gold coins can be bought in numerous ways, including but not limited to buying on online websites like eBay or our website, GoldSilver.com. Some investors buy gold coins locally at coin shops, while in some countries investors can buy gold coins directly from banks.
Almost every gold retail outlet has more than
one payment option: bank wire transfer, credit card, cash, postal money orders, checks, and PayPal are all but a few payment methods being used within the gold industry.
Always consider any differentiators that some gold coin dealers may have over others. The gold dealer with the lowest price doesn’t necessarily mean it is the best choice.
Mike Maloney, author of the # 1 best selling precious metals book Guide to Investing in Gold and Silver . says that investors must take into account the value, not merely the price, of any investment decision. For example, GoldSilver.com’s value differentiators are the education. vault storage options. and Exit Strategy that we provide our clients.
Don't Get Ripped Off
Investors should perform proper due diligence to understand all the costs involved when buying gold coins. Extraneous expenses can quickly add up. You will want to know if there are any hidden commissions, shipping costs, insurance fees, or extra charges for using credit cards, bank wire transfers, etc.
Regardless of the gold dealer you decide to use, make sure you verify a company's volume or complaints and reputation through third party resources like the Better Business Bureau and RipOffReport.com. You only want to do business with trusted, reputable gold dealers with positive peer reviews.
Finally, when it comes to buying gold coins, you need to think ahead in the future of how you may ultimately sell your gold at a profit and what your exit strategy might look like. Understand if the gold dealer you are buying from guarantees buying back the gold coins they sell to you, and if they will be offering you a fair price years from now if you return to sell to them.
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