Buying Gold Bullion: Top 5 Things to Remember

Buying Gold Bullion1. Buy Big Or Don’t Buy At All

Purchasing physical precious metals can be an excellent investment, if the amount being purchased is moderate to large. When you purchase bullion you will pay fees associated with your its purchase, sale, and trade. Buying small amounts frequently will cost you much more in fees and markups then you will if you bought the same amount all at once.

2. Use Only Trusted Sellers

When you are buying gold bullion, make sure that you choose only reputable sellers and traders with suitable gold bullion prices. There are a number of questionable traders when it comes to precious metals, and if you deal with one you could end up losing your money and your bullion. Make sure the seller is legitimate and ethical before transferring money. A separate word on EBay sellers – these must be carefully selected to ensure positive outcome. Use only sellers with extensive positive feedback. Avoid sellers with no or poor feedback, especially if these are located in China since there have been a lot of reports of fake coins being produced in this country and being sold as authentic.

3. Do Research First

If you plan on buying gold bullion, make sure you understand all of your options and have done your research. Purchasing gold bullion does not have to be tricky, and a little research will show you all of your investment options where gold and other precious metals are concerned. You can also find a number of highly rated gold bullion dealers in this field. Whether you are buying coins or bars, make sure they carry reasonable premiums. Bars have traditionally lower premiums compared to coins, you are in the end investing in the pure value of the precious metal.

4. Watch Out For Scams

Researching how to buy gold bullion eventually may lead to a purchase. When you are buying gold bullion watch out for scams. Unfortunately there are scammers out there who only want your money, while leaving you high and dry. If a deal seems too good to be true, or the products are well below market value, use caution. It may be better to walk away.

5. Minimize The Markup

When you are buying gold bullion, compare dealers and minimize the markup that you pay on top of the true market value. When you are gold investing the cheapest possible option may not be best, but this does not mean you cannot compare the markup between quality gold traders. Depending on which types coins or bars you are acquiring you might be paying more or less. Coins like Krugerrands, for example, carry less dealer cost compared to Maple Leaf or American Eagles, for example.