Search the internet for “Purchase Gold”, “Gold Bullion Deals” or any other combination of keywords and a gambit of websites and forums will come up. Many discount gold “brokers” offer “deep discounts” on gold bullion, have professional looking websites, 800 numbers and use professional sounding terminology, but are their Gold deals for real?
Many Gold Bullion swashbucklers, claim to be working on behalf of a client, “who has a substantial amount of Gold Bullion they are looking to liquidate”. It is not uncommon to hear numbers as high or higher than 10,000 MT’s (metric tonnes) of gold. The U.S. Federal Reserve presently holds about 8,000 MT’s.
The most Popular Schemes on the internet today:
- High Interest Yield Investments- HYIPs are usually just Pyramid Schemes dressed up with no real value underneath. Using gold in their prospectus makes them seem more solid and trustworthy.
- Advanced Fee Fraud – Various emails circulate on the Internet for buyers or sellers. Often using mythical terms like ‘Swiss Procedure’ or ‘FCO’ (Full Corporate Offer). The end-game of these scams is unknown, but they probably just attempt to extract a small ‘validation’ sum out of the innocent buyer/seller from their hope of getting the big deal.
- Gold dust sellers – This scam persuades an investor there is real gold with a trial quantity, then eventually delivers brass filings or similar.
- Counterfeit Gold Coins
- Shares in fraudulent mining companies with no gold reserves, or potential of finding gold, as per the saying, attributed to Mark Twain, “A gold mine is a hole in the ground with a liar on top.”
It is advisable to research a supplier before investing in Gold Bullion.