Bullion payment methods
metalsaver1970
Posts: 53 ✭
Which methods do you use? $5000 on up purchase. Only online purchases. I can't see many small or medium sellers taking PayPal. Too much risk for bad buyers and buyer remorse. Plus PayPal's reputation for questionable funds handling. I would send a cashier check, but I'm curious to what everyone else thinks.
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reputable dealer? Wire transfer for quicker shipment.
"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
@derryb That was one option I hadn't thought of. Not wise for someone you have never dealt with.
Ask the forum about any dealer you are considering. They may have positive feedback. Always call the dealer first and confirm the item(s) is in hand and ready for immediate shipment and request tracking info.
"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
Cash in person.
My YouTube Channel
........in small, unmarked bills in a plain brown bag.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
I have used the BST to sell gold in the past (Darkside gold)... I received payment by check, and when cleared, shipped the coins registered.... Cheers, RickO
Online? I only deal with reputable bullion dealers who take PayPal, cc's or e checks...
wire transfer will get you a price discount in most cases and expedite filling your order. Reputable is important but even a reputable dealer can run into cash problems, especially in a declining market. That is why it is important to verify via phone that product is in hand and will immediately ship upon cleared payment. Bullion sellers that also deal in many other types of coins (i.e. MCM, Liberty Coin or Gainesville Coins) are less likely to be totally dependent on the PM market and therefore less likely to fail before you receive your order. Your risk can be reduced by using a payment method that expedites shipment. Waiting for a check to clear is not one of them. Delays in getting tracking info once your payment has cleared are not a good sign and should be followed up with constant hounding of the dealer. If he's failing he may at least try to quieten the squeaky wheel first.
My current dealer of choice is dbscoins.com.. I am also satisfied with the ones I mentioned above.
Best bet for online safety is to buy on ebay if a competitive price can be had. There you will get buyer protection from both ebay and paypal. Most big dealers have an ebay presence, just a matter of comparing their ebay price to their direct online price. A little extra premium is sometimes worth the cost.
"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
Thank you for the responses. When I enter heavy liquidation mode, I want to be prepared on what to expect. I think you have answered that. Large sales through PayPal, scares me. Any new seller with PayPal, will run the risk of having their money messed with. True, not everyone uses their service. However, when dealing with unknown people it provides buyers with peace of mind. Any other payment option, doesn't seem plausible for expecting buyers to use; when you're unknown. I'd assume, removing PayPal, would mean the unknown seller sending first. Then again, who would send that much bullion out without getting paid. Other side, what buyer would send that kind of money to an unknown first.
Liquidating is a completely different story. If a bunch at once go with someone like APMEX, but shop around before committing to a buyer.
"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
@derryb Thanks for the advice. I haven't really seen anyone selling large amounts here, so I guess I'll look at other avenues for bigger totals. Your opinions have been helpful.
if you are doing the selling, then ask for a wire transfer in or a cashier's check or a business check for a reputable dealer.
ask around here for who is reputable and check online, you'd be surprised at the bbb complaints some dead companies had. had others only checked the bbb and asked around on the various forums, they may have avoided getting ripped off.
note: I've sold to apmex and taken a check from them every time. no problems, and the check goes out a few days after they check the box contents.
I forgot to mention. have 3 banks. one for usual stuff like bills, one for paypal, and one for wire transfers.
move cash between the banks by withdrawing actual cash and taking it to your primary bank.
Easier to have three different accounts at same bank. Then you can move the money between accounts online.
"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
It depends on who you are buying from and what they will accept. Usually the seller dictates terms.
@MsMorrisine Thank you for the advice. You provided some good help.
@BAJJERFAN You would think the seller dictates, but I'm learning that's not always the case.
It seems that PayPal is the way for most. Wire or check for the rest. However, not acceptable when dealing with an unknown seller. At least from a couple potential buyers. Maybe I'll reach out to a couple major businesses, just to see what they say. Seems like, either way, I'm going to have to send first. Thanks again for the advice.
You are talking about buying and you are talking about selling. Each has its own, different set of concerns and its own best way to proceed. What works best when selling doesn't necessarily work best when buying.
"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
@derryb You're correct. Each has its own rules. You would think it would be the same, but it's not. What works for one, doesn't work for another. That's what led to my original question. Which leads me to the conclusion, a new seller should expect to deal with PayPal or to send first.
For the über paranoid, 3 banks that have never had electronic knowledge of one another means reversed paypal and wires can be fought better.
A side benefit is coin ordering and coin counting machine access.
True LIQUIDATION IN VOLUME will require many years of experience and contacts ...OR... filling out lots and lots of forms.
Why forms? If you sold 10 monster boxes of AGEs to APMEX they would not be required to report the sale or issue you a 1099-B. Another good reason to stick with certain types of gold and silver bullion. OTOH any combination of generic gold bars or rounds of 1 Kilo or more is reportable. You also open yourself up to possible related transactions snooping.