The value and demand for precious metals is increasing, so people are looking for ways to get them for a reasonable price. If you’re planning to buy gold bullion bars and coins, for instance, there’s a chance that you will encounter scammers that offer low-cost, but shady transactions.
It’s frustrating to lose the money you’ve earned, so make sure that you’re aware of the signs and red flags of such scams. Here’s a short guide that can help you:
The Rush Seller
Avoid sellers that are always in a hurry. Time is gold, but not in this situation. Don’t agree to whatever they say without understanding the terms. Don’t let them make the decisions for you either. It’s better to research every detail, from the type of gold to the background of the seller to make sure that you’re making a good decision.
Find sellers with proper accreditation or certification from official institutions, like the British Jewellers’ Association (BJA) and The Royal Mint. The membership procedures have a high standard to make sure that everyone is offering the best services to consumers. Members like Atkinsons Coins and Bullions also find it important to sell gold at the right price, without hidden fees or product flaws.
Ask for a deposit slip to have a proof of transaction. If the seller can’t provide this, then you’re likely dealing with a scammer. The purpose of a deposit slip is to show that the seller bought the gold bullion or coin from a reliable source or depository on your behalf. Make sure that it’s official, though, as many scammers are good at creating false documents.
Whether you’re buying gold bullion bars and coins, it’s ideal to know how to evaluate a seller. This way, you can avoid scammers and save your money from the wrong investment.