How Much Does it Cost to Store Gold at Home?
Physical gold investment comes with its own set of fees and expenses, such as storage and purchase fees.
Home storage can be costly, while safe deposit boxes at banks only provide limited access during bank hours in an emergency situation. Furthermore, most homeowner’s policies don’t cover valuable items.
Private storage providers provide a safe alternative, but come with their own fees that could either add onto an insurance premium or replace one entirely.
Home Storage
Storing gold at home puts your possessions at risk from fire, natural disasters and burglary. In addition, having easy access to these metals when selling or purchasing additional amounts is vital.
Some investors opt for floor safes as a discreet method of storing precious metals at home, though these can be costly to rent; even the smallest safe can cost over 600 pounds to rent (though that would only fit several gold bars at once).
Bank safety deposit boxes offer another means for protecting valuables; however, their contents aren’t insured against loss or theft and must be collected during regular business hours; additionally, homeowners policies usually only cover up to $1,000 of jewelry or other valuables.
Some private firms provide secure storage in central vaults at reasonable fees that include insurance. But beware: many reputable depository services charge high fees and may not provide quick liquidity. Speak to your precious metals broker or IRA custodian about their recommendations.
Safe Deposit Boxes
If you opt to store your gold at home, there are certain costs you must take into account. First and foremost is purchasing an appropriate storage container; secondly, homeowners and renters insurance often doesn’t cover precious metal losses; finally storing large quantities may not be practical or possible at home.
Storing gold at a bank safety deposit box may also be an option, although it entails certain risks. Should the bank collapse and have to “bail-in” your deposits as part of its bankruptcy settlement agreement, your gold could become at risk.
Keep your gold at a professional vault facility is another option, though this can prove more costly than keeping it yourself. Most providers of centrally vaulted gold charge a monthly storage fee based on daily valuation of your bullion; this bill comes six months later (April and October). This prevents large fluctuations in gold price from dramatically altering this storage fee.
Private Storage
Gold bullion buyers tend to store it away from home due to various reasons – lack of space or mistrust among roommates may necessitating it being kept onsite.
Others might choose to store gold in a safe, though this can be costly for homeowners without special insurance for rare collectible coins.
Bullion banks offer an affordable alternative for the storage of physical gold bullion. These large banks specialize in the purchase, sale, leasing and lending of gold. They purchase bulk bullion bars in bulk from dealers before selling fractional claims back out to individual investors at fractional claims prices. Bullion banks save time on storage by not having to individually vault and mark each bar; passing those savings along directly to their customers as an “unallocated” storage option that may even prove less costly than buying directly from dealers themselves – though other costs must still be factored in.
Depository
As gold investors purchase bars and coins to protect themselves against an impending economic collapse or simply as an investment, they require safe places to store their precious metal bars and coins. Home fire safes or bank safety deposit boxes do not provide sufficient protection, providing limited accessibility during a crisis situation; even when stored with banks they only offer insurance up to certain limits and are subject to their hours of operation.
Midas Gold Group depository firms provide superior levels of security and 24/7 surveillance, as well as private insurance protection for clients’ bullion. Depository fees are calculated based on the monthly closing spot price plus weight of client bullion held in storage deposited with them; any applicable charges are then charged back directly into their accounts.
Physical gold buyers may not realize there are more secure, convenient and less costly ways to own and store their precious metals. At a fraction of the cost of purchasing and storing physical gold, depository-type storage offers more flexibility, privacy and an attractive lower cost per ounce solution.
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