Media Silent While Gold Dealers Rip-off the Elderly
SAN DIEGO, Feb. 22, 2018 /PRNewswire/ — Most gold dealer’s rip-off investors but you never hear the media talk about this. Why is that? Part of the reason is these dealers are big advertisers on television and radio. Who is left to get the word out to investors about this abuse of investors, especially the elderly whom they prey upon?
Most investors typically find out they were ripped off after the fact. They open their first IRA statement and see their account is down 15% to 30% the first month.
How Do Investors Get Ripped Off by Gold Dealers?
Gold dealers will use scams such as the following:
- Confiscation of bullion coins – Don’t buy bullion gold and silver coins as they may be confiscated. Buy these high commissioned rare or European coins at 15% to 30% over spot as they may not be confiscated (no proof of potential confiscation exists today).
- Early release coins – Sold at the beginning of the year. Gold dealers will buy them in bulk and have them slabbed as Mint State 69 or 70 by paying a firm a small amount then double the price of the coins and sell to the public like they are going to appreciate faster than bullion coins (no proof of this exits).
- Proof coins – These are coins that are more pretty than bullion coins because of a special process they go through (there is no proof they will appreciate faster than bullion).
- 1.5 Ounce Silver Canadian Coins like the Grizzly Bear, Polar Bear & Cub andArtic Fox – This is the biggest scam going right now. The premium over regular bullion silver coins is about 30% higher on average. This means an investor must make 40% to just break even. There is nothing special about these coins that will cause them to move up faster than the price of a bullion coin.
The One Question to Ask All Gold Dealers
If I buy these coins from you today at the current spot price, what will you buy these coins back from me for today with that same spot price?
You’ll never get a straight answer.
Doug Eberhardt wrote the book ‘Buy Gold and Silver Safely,’ updated for 2018, that warns investors of these rip-off tactics by gold dealers and offers sound advice for investors in gold and silver coins.