|
|
A legal scam
|
|
This review is for Goldline but I have had another identical experience with Lear Capital. Basically this is a generalized warning against all precious metal companies.
I have noticed that most of the reviews that are positive, are regarding the company at the time the purchase was made. I received the same experience. However, wait until you try to sell your metals back.
In 2009 I purchased some gold coins for $446/a piece and $366/ a piece. At that time the cost of gold was approximately $1050/oz.
Now I understand that the price of these coins doesn't move exactly proportional to the spot price of gold. However, I attempted to sell them back about a month ago since the price of gold was nearing $2000/oz. To my astonishment Goldline offered me $457.78 for the coins that I had paid $446 a piece for 14 years ago. The other coins that I had paid $366 a piece for they offered me $373 a piece for. In what world can the price of gold nearly double over 14 years and you get roughly the same amount back that you paid for?!
I did a little digging and realized that the way they get you is this. When they sell you the coins they will attach some arbitrary 'collectible' value to the coins and then jack up the price to 2 or 3x the actual value of the coins based on the amount of gold or silver contained within the coin. Then when they buy them back they will only pay you for the value of the gold and silver that the coin contains and tell you that the coin has lost it's collectible value. That is what they told me. But when they sell you the coins they tell you that they are better than just buying bullion because the coins not only have the value from the gold or silver but that they also have collectible value. They don't.
If you want to diversify into gold and silver you are better off purchasing bullion or investing in a fund that proportionately tracks the price of gold and silver on the market.
|
|
|
|
|
|
|
|