Buying Gold Online: Where and How To Buy

by | Apr 14, 2021

With a more interconnected global economy, economic stability has never been more susceptible to external influences. Today, political instability in another part of the world can easily influence the dollar and affect America’s economy.

If you are looking for an investment option that will offer you more tangibility and financial security, buying gold is your best bet. Though the gold market has taken off significantly in recent years, buying gold might be a whole new ball game for most people.

Numerous sites allow you to buy gold online. Though this offers you more options, it can be challenging trying to determine which sites to use. To help you with the process, we will share some information on how to buy gold online and provide you with a list of the top websites that sell gold online.

Why You Should Invest in Gold

The following are some of the reasons why more and more people are investing in this precious metal.

Survivability

Unlike paper, you can count on gold to remain intact in case of a crisis. Gold does not deteriorate, decompose, tear, or burn. Also, gold buried thousands of years ago will still retain its value for years to come.

Internationally Recognized Value

If the market crashes, your stock and currency would become worthless. Gold, however, retains the same value regardless of the country you are in. Should you find yourself in the middle of economic instability, gold can be a lifesaver.

Transportability

Gold retains its value in small quantities. An ounce of gold can be enough for your entire vacation and can easily fit in your pocket.

What You Need To Know Regarding Buying Gold Online

Buying gold online is a pretty straightforward process. All you need to do is browse the gold products on credible websites, then choose the products you wish to buy according to quantity, price, and weight. The site will then deliver it to you.

Once you receive your gold, be sure to keep it in its packaging to prevent scratches. You should also store the gold in a secure place, such as a safety deposit box or home safe.

Here are some other considerations you should keep in mind when buying gold online.

Only Buy Pure Gold

If you are interested in investing, always opt for gold bars that are at least 99.5% pure. The gold bar that you purchase should have its purity stamped on the face. It should also feature its weight and the name of its manufacturer.

Understand the Difference Between Coins and Bars

gold bars and coins

Though pure gold will always have significant monetary value regardless of its form, not every form of investment-quality gold is equal. If you are mainly interested in gold that you can hold long term and easily convert to cash, you should avoid buying coins.

Gold coins often have historical value and attractive designs. However, the gold they contain is of lower quality, yet they cost more than bars because of their numismatic value.

For instance, the American Eagle is a highly regarded coin that contains 91.67% gold and still costs more than plain bars because of its value as a collector’s piece.

Purchase Gold in Workable Sizes

During the buying process, you should consider the ease with which you can liquidate your gold. For instance, suppose you have $15,000 to buy gold bullion, and an ounce of gold is selling at $1,500.

It will be easier for you to liquidate ten one-ounce bars instead of one 10-ounce bar. If you have ten one-ounce bars, you could sell one bar at a time whenever the need arises.

The Price of Gold and the Factors That Influence It

Gold prices are constantly fluctuating. The current price of gold is referred to as the spot price. This spot price reflects the recent average bid price, according to professional traders. Usually, when you purchase your gold, the price will generally be between 5% and 8% higher than the spot price.

On any given day, several things can influence the spot price. The following are some of those factors.

Supply and Demand

Similar to other commodities, when demand is higher than supply, the price of gold will increase. On the other hand, should the supply be greater than demand, gold prices will decrease.

Mint

Though buying less common mints of coins would yield higher returns, there is one significant benefit that buying common mints has—they are quicker and much easier to sell should you need to.

Inflation

Typically, the spot price is inversely correlated to the dollar’s value. When the value of the dollar is high, the price of gold is low. When the dollar value is low, gold prices increase.

Country of Origin

Experts recommend avoiding regions with social and political unrest, high taxation, dubious law enforcement, and confiscatory royalty mindsets. It is best first to determine the region the project is in before making your purchase.

Seasonality

Gold prices tend to fluctuate according to the season we are in. During the summer months, the prices often tend to flat line. In September, the volumes start picking up and continue to rise into October and November. Prices in December tend to vary depending on the number of gains the investors have earned throughout the year.

Management

The number one aim of any management team is to maximize shareholder value. As an investor, you should always pay attention to management companies’ sites, considering it a warning sign if the company stops updating the site with news and market trends or stops sending out newsletters.

The Top Websites To Buy Gold Online

browsing oxford gold website in laptop

Though the internet has provided a fast and effective way for you to buy gold online, security and quality are imperative. With that in mind, here is an overview of the top places where you can purchase gold online.

Oxford Gold Group

The Oxford Gold Group is in California but sells precious metals and gold IRAs to customers across the US. The company specializes in making buying and selling gold, silver, platinum, palladium, and self-directed IRAs as accessible as possible.

For every transaction, customers deal directly with a company manager who is also a precious metals specialist. The approach eliminates costly commissions and ensures that customers get the best service possible to achieve their investment goals.

The Oxford Gold Group is younger than most other gold IRA companies but already has hundreds of happy customers. Many of these customers have rated it 5-stars on Trustpilot, and the company enjoys an A+ rating on the Better Business Bureau.

Money Metals Exchange

Money Metals Exchange was founded in 2012 and has quickly risen to prominence. This site doesn’t only sell gold but is also an educator for numismatic aficionados.

With over half a million subscribers and readers, and more than 75,000 buyers, it is an important dealer and influencer in the numismatics field. It has carved out a significant niche in the online gold market, providing people with quality products at affordable prices.

Buy Gold and Silver Coins

When it comes to sites that sell gold coins, there is none bigger than this one. It is one of the largest bullion and bulk coin dealers in America. The fact that it has been rated A+ by the BBB also shows it is a credible and reliable business partner.

Buy Gold and Silver Coins maintains a large stock. Additionally, the site prides itself on its honesty and reliability, always shipping and delivering on time. If that was not enough, the site goes the extra mile by insuring all its packages before sending you your gold.

JM Bullion

Located in Dallas, Texas, this dealer has quickly risen through the ranks and is now a big favorite for buyers and investors alike. The site holds a lot of stock and is well-known for shipping on time. The company is aware that when it comes to buying gold online, security is always a concern. As such, it has dedicated its efforts to ensure that the whole process goes as smoothly as possible.

Bullion Vault

Bullion Vault just happens to be the largest online investment gold service in the world. Bullion Vault has vaults in Singapore, Zurich, and London and runs about two billion dollars worth of bullion for up to 70,000 investors.

The site provides investors with a quick and easy platform, allowing them to browse the professional bullion market. The site also offers cut-rate prices on selling, buying, and storing bullion. Its low storage and insurance cost of the precious metals the site deals with is another reason investors prefer it.

SD Bullion

Though SD Bullion was founded in 2011 by two doctors whose aim was to teach people the value of gold and silver investment, today, the site has shipped more than 300,000 silver and gold bullion orders.

SD Bullion guarantees the lowest available prices on silver and gold bullion. It also buys products from private individuals at competitive prices.

The site has grown and is now considered a significant player in the market. The company has even managed to be listed on Hit Inc. Magazine’s list of the world’s 500 fastest-growing companies in its brief existence. With all of this in mind, it is not hard to understand why its popularity continues to grow.

Conclusion

Though gold might not offer you the high profits that other investment options do, it does offer certainty. Also, thanks to online platforms, investing in gold has never been easier. Whichever site you choose, the main factors to consider are its security, stability, independence, and guarantees.

If you want to find out all you need to know about investing in gold, fill out our online contact form to discover more information from Learn About Gold.

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