WHY ARE THE INTERNET GOLD PRICES NOT REAL? ARE THEY DECEIVING ME?
To understand this we have to start from the beginning and it’s the fact that on the internet you can find a lot of information about absolutely everything... But... Is it all true? Clearly the answer is no... Therefore our sector is not the exception...
As experts in the field, we know of first-hand that the high prices on the internet are only a hook tool so that customers end up landing in the respective store and then once there list the multiple reasons why that price that they saw on the screen does not corresponds to reality... That’s the reason why we’ll describe below some stuff that it will make you understand how it really works so you make the best decision for your own interest...
1.- The Quote Price: This is the official market price that you will never have access to unless you invest directly in the stock market or mutual funds linked to it… So, if you have gold, silver or platinum "Physically" or you expect to buy it, its price will be much more variable... That is, if you want to sell the price will be lower than the quote price and if you expect to buy it, it will be more expensive due to the different intermediaries that we'll explain in the next point.
2.- Intermediaries: They are those agents that will take a commission when you decide to sell or buy precious metals "physically" and these are basically three; Refineries, Wholesalers and Retailers... Additional intermediaries could appear, but it would happen in very specific situations and most of them illegal, such as Street Buyers that we would directly not recommend dealing with them.
3.- Taxes: It was a fact that precious metals were exempt from taxes, but it is no longer the case... In recent years there have been several battles in various lawsuits whether there should be taxes or not and finally the judgment was “yes”, which incurs directly to be a direct impact on the end customer.
4.- Quantity: Depending on the quantity that you want to buy or sell of jewellry, coins or bullions which could also be accompanied by precious stones or synthetic stones, the price will be adjusted better or worse... Let it be clear... When more you want to sell or buy the greater your bargaining power.
5.- Place: This point is also extremely important... They will always give you better prices in large cities than in small ones for a simple matter of level of competition... But do not make the mistake of believing that in a highly central location you will be paid better, because in this specific case you should know that the rent for this type of property is considerably higher and someone has to pay it...
Anyway, now that you are aware of all the aforementioned, you already have an idea of why prices vary so much, but we recommend you not to miss our next article that we will explain even more in detail other reasons why the price it can also vary. For the moment we say goodbye and we hope to be able to advise you better in the following deliveries.
Greetings to all readers!