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Is it common for Bullion Dealers to sell Product They Don't have

tyler267tyler267 Posts: 1,246 ✭✭✭✭

Over the years there have been numerous Bullion dealers that have gone out of business after collecting large amounts from investors and never shipping the bullion. How common is this practice.

Comments

  • zski123zski123 Posts: 256 ✭✭✭

    Seems like it would not be common. Jail is a big deterrent.

  • derrybderryb Posts: 36,823 ✭✭✭✭✭
    edited November 27, 2018 5:41PM

    more common during declining prices. Lots of ebay small fish buy high and have to sell low during these times - a recipe for disaster. Small sellers should never buy inventory they are not prepared to sit on for a while.

    Big overhead with the big boys means a need for cash flow, even if at a loss.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • TwoSides2aCoinTwoSides2aCoin Posts: 44,293 ✭✭✭✭✭

    Pre sales on eBay much ?

  • blitzdudeblitzdude Posts: 5,894 ✭✭✭✭✭

    Just like a government printing money out of thin air. IOU lol

    Many companies have went belly up, those waiting for delivery always the ones who get the shaft. Stick with in stock and only deal with the biggest if the bigs.

    The whole worlds off its rocker, buy Gold™.

  • TwoSides2aCoinTwoSides2aCoin Posts: 44,293 ✭✭✭✭✭

    As a follow-up to my first post.

    2019 American eagles for sale here. Order now. I will beat all the bullion dealers , and the rest of the world.

    I appreciate the opportunity to make the offer so the OP understands this goes on daily.
    But how many go out of business vs how many go out for business ?

    Sure there are some who get in over their head , or have gone roque, but the majority just want your business

  • derrybderryb Posts: 36,823 ✭✭✭✭✭

    Asking price now will not be the same as price eventually realized.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • 3stars3stars Posts: 2,287 ✭✭✭✭✭

    That's a ridiculous price. I've seen them for about $375.

    Previous transactions: Wondercoin, goldman86, dmarks, Type2
  • TwoSides2aCoinTwoSides2aCoin Posts: 44,293 ✭✭✭✭✭
    edited November 30, 2018 7:31AM

    @3stars said:
    That's a ridiculous price. I've seen them for about $375.

    I agree, but with a dumbed down society, it's expected.

  • It's not too difficult to do drop-shipping if you can attract sales online.

  • tyler267tyler267 Posts: 1,246 ✭✭✭✭

    @squadus said:
    It's not too difficult to do drop-shipping if you can attract sales online.

    This is actually what I questioning. How common for companies to make sales, collect eh money, and then try to buy the product to fill the order.

  • derrybderryb Posts: 36,823 ✭✭✭✭✭
    edited December 2, 2018 8:25PM

    @tyler267 said:
    How common for companies to make sales, collect eh money, and then try to buy the product to fill the order.

    less and less common when the final sale price of that product is less than what they have to pay to get it. Works just fine when prices are rising, but not a good business model in today's PM environment, a lesson that was learned by late comers to the house flipping market in 2008. The success to speculating is knowing when to speculate.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

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