There are a few factors
to consider when researching and understanding how to buy gold bars.
Before you start buying
gold bars, you should consider:
1. Different sizes of
2. Where to buy gold
3. The ease of liquidity
and hallmark recognition.
Different Sizes of Gold Bars
Gold bars come in different
sizes or weights. They are sold as small as per gram, per ounce, per kilo, or
even per 400 oz gold bar.
Determining which size
gold bar to buy depends on various factors like your budget, your premium and
per ounce targets, your liquidity objectives, bar hallmark brand recognition,
Generally speaking the
bigger the gold bar, the less premium you will have to pay per ounce of gold.
This is due to the fact that it is less costly and labor intensive to produce
a large gold kilo bar per ounce compared to a
small 1 oz gold bar.
Another general rule to
keep in mind when buying gold bars is that the larger the gold bar, the
smaller the pool of potential buyers or investors who can afford it. In other
words, not many people in this world can buy a 400 oz gold bar while many more people
can afford for instance a 10 oz gold bar.
Where to Buy Gold Bars
Gold bars can be bought
in numerous ways, including but not limited to buying on online auction
websites like eBay or through bullion dealerships like our very own
GoldSilver.com. Some investors buy gold bars locally at coin shops, while in
some countries investors can even buy physical gold bullion bars directly
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 dealers may have over others. The gold dealer
with the lowest price doesn’t necessarily mean it is the best choice.
The Ease of Liquidity and Hallmark Recognition
Liquidity is an important
factor with any investment and when dealing with gold bars, being able to
liquidate a position in gold should be quick and easy to do.
As a gold investor, you
will want to acquire gold bars minted from trusted, established, well-known
suppliers. If you buy highly recognized hallmarks ( gold
bar brands ) like those offered through GoldSilver.com, you will be able to
easily sell your gold bars virtually anywhere in the world at a fair price.
Do not buy gold bars from
suppliers that are not well known or established. Doing so invites the risk
of not being able to sell your gold bar at a fair price or worse yet,
receiving a counterfeit bar.
Don't Get Ripped Off
Investors should perform
proper due diligence to understand all the costs involved when buying gold
bars. 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 reputation and
credibility through resources like RipOffReport.com and the Better Business Bureau. You only want to do
business with trusted, reputable gold dealers with positive customer reviews.