Spot price and premiums

[Kman]

So I’ve bought a little silver in the past, no serious money invested. I’d like to buy some gold. What is an industry standard and reasonable premium to pay over spot for gold or silver? What is the cost to store it remotely? I know premiums and volume are related, so let’s say your spending $4k on gold or silver.

 

[Hayata]

This site may help when ordering from the online players:

https://findbullionprices.com/ It lists the premium over spot by vendor. The more you buy, the lower the premium, typically.

Also, the type of metal affects pricing. 10oz silver bars have a lower premium than 1oz silver coins. Don't get me started on the "branded" silver coins like American Eagles, etc. I'm one of those "metal is metal" kind of guys.

I've heard online about PM "brokers" that have a minimum purchase but don't know if they're cheaper than online. Never had enough guts to put that kind of dough in gold or silver.

Remote storage? Yeah, ya got me on that one. Closest thing like that that I would trust would be a safety deposit box at a bank maybe. If things went sideways you wouldn't have access to either one. Of course, if things went that sideways you'd probably have a lot more to worry about.

Good luck!

 

[joeabarno]

When I first started out I looked for junk silver, pre 1964 dollars, halves, quarters and dimes. These are the easiest to identify without getting ripped off. I think in a SHTF situation these will be the easiest to use. Silver is poor man's gold and spending 4k is a poor man's budget. Stay away from ebay unless you are buying from one of the big sellers like SD bullion or Apmex etc. otherwise there is a good chance of getting some Chinese garbage.

 

[Bulldog Man]

When I first started out I looked for junk silver, pre 1964 dollars, halves, quarters and dimes. These are the easiest to identify without getting ripped off. I think in a SHTF situation these will be the easiest to use. Silver is poor man's gold and spending 4k is a poor man's budget. Stay away from ebay unless you are buying from one of the big sellers like SD bullion or Apmex etc. otherwise there is a good chance of getting some Chinese garbage.

Yup the wife bought some heavy gold earings that were really gold plated over copper took about a year for the gold to wear off a $250 lesson by that time the seller was long gone

 

[Kman]

Lots of advice and from what I learned, 1) premiums vary wildly depending on product and volume. 2) $4000 is so small that it doesn’t matter what metal I buy. 3) Remote storage offered by the bullion dealers is unknown at this point. 4) Buy bars as some coins carry larger premiums.

 

[Horsehat]

So I’ve bought a little silver in the past, no serious money invested. I’d like to buy some gold. What is an industry standard and reasonable premium to pay over spot for gold or silver? What is the cost to store it remotely? I know premiums and volume are related, so let’s say your spending $4k on gold or silver.

4K in gold is smaller than a pocket watch. I wouldn’t for a moment consider remote storage. Check with the web site listed in the post above. Kitco, JM Bullion are two that I’m sure are legit but there are many other good dealers. premiums vary depending on scarcity and demand of the item. legit gold pieces that I would consider are Eagles, Maple Leafs, Krugerands and Britannias.

 

[Kman]

4K in gold is smaller than a pocket watch. I wouldn’t for a moment consider remote storage. Check with the web site listed in the post above. Kitco, JM Bullion are two that I’m sure are legit but there are many other good dealers. premiums vary depending on scarcity and demand of the item. legit gold pieces that I would consider are Eagles, Maple Leafs, Krugerands and Britannias.

I’ve been looking at the bullion dealers mentioned. I just made the plunge and will use their on-site storage. The dealer I contacted said on-site storage is free. Maybe because I put an order in with them. I realize it’s cost averaging in the long run, so a monthly purchase is the way to go. I figure outside storage is best in case I need to liquidate it, I can get a check pretty quick and never have to handle it. Trying to downsize and make life less complicated.

 

[Hayata]

I’ve been looking at the bullion dealers mentioned. I just made the plunge and will use their on-site storage. The dealer I contacted said on-site storage is free. Maybe because I put an order in with them. I realize it’s cost averaging in the long run, so a monthly purchase is the way to go. I figure outside storage is best in case I need to liquidate it, I can get a check pretty quick and never have to handle it. Trying to downsize and make life less complicated.

Just remember, you pay for convenience. Look at the delta between what they sell for and what they buy for. Maybe it's different when they store it for you but it's quite a hit.

 

[Kman]

Just remember, you pay for convenience. Look at the delta between what they sell for and what they buy for. Maybe it's different when they store it for you but it's quite a hit.

I realize that, but I would like to be able to purchase it, store it and not have to worry about it being at my house. In 10 or 20 years when it’s time to dump it, I’m sure they will get their commission again , but I should be on par or better off than US dollars.

 

[biker_bill]

Two ounces, like Horsehat said is just a couple of coins, even if you bought two ounces as fractionals and put them in cases it doesn’t take up much space. (If you’re uncomfortable keeping it home for any reason, you can probably get a safe deposit box at the bank you deal with for just $25 a year).