For centuries, Gold has been thought of and seen as an asset which stores wealth in extremely turbulent times. There is plenty of information about the different forms of gold. Bullion, however there is very little that has been said about how and where you should sell your bullion. People don't buy gold bars or any kind of bullion and holding on to it just cause this shiny yellow metal is beautiful but because it has a monetary value. People hold on to physical gold in order to survive economic turmoil. Eventually you are going to sell your gold. There are bullion dealers who offer different ways of investing in gold and turning the gold you have into cash. When selling bullion you have three basic options: You can sell to a private individual, a local gold dealer or an online gold dealer.
Selling To A Private Individual
Selling a large amount of bullion to a private individual can be risky. There is always the issue of safety when selling to a stranger. You could sell to someone you know like a personal friend or family member, but there is always the question of whether they will give you the best price or not.
Local Dealers Vs. Online Bullion Dealers
You may want to sell bullion to a local gold dealer or an online bullion dealer. Local bullion dealers and their online counterparts generally offer the same price even though online dealers often claim that their prices are the best or the most competitive. That may be true, but you would have to factor in the cost of insurance and the cost of shipping.
Most online dealers will pay around 4% under the spot price for government-backed gold bullion like:
- The Australian Philharmonics coins
- The Australian Kangaroos
- The Mexican Libertads
- American Eagles
- Canadian Maple Leafs
- The British Britannias
- The Chine Pandas
South African Krugerrands often fetch a higher price. Privately struck rounds generally fetch less.
Online gold dealers make it possible for people who live far from a bullion dealer to sell their gold. If there is no gold dealer near you then you might have to look online.
When you sell bullion to a local dealer you have the convenience of getting cash immediately. You also don't have to worry about shipping costs or insurance costs.
It is important to shop around. Different bullion dealers will offer different prices for the gold they buy. However, Not all bullion buyers will want to buy your gold. Some bullion dealers will buy gold bullion coins they sold themselves. Those that buy gold back they have not sold might do so at lower prices. People who bought gold, which is stored at a dealer facility might find it easy to sell bullion to the same dealer at a profit.
The bottom line is that you should research the different options you may have and choose the one that will give you the best price.