Due to the profitable nature of precious metals, they are often, unfortunately, a target for dishonest business practices. Investing in gold and silver can be extremely lucrative if done properly. We are going to take a look at some important factors to consider before you spend your cash. As long as you take the time to learn about the positive and negative aspects of the precious metals market, you can easily avoid falling prey to the unethical practices out there.

First and foremost, the most critical aspect of precious metals investing, that must be strongly considered, is where you are purchasing your gold or silver. If you are not 100% positive that you are dealing with a trustworthy source, it is imperative that you avoid doing business with them at all costs. There are plenty of reputable companies that will provide you with quality products at a fair price. Never just buy the first item that looks appealing. A little research goes a very long way when it comes to investing in precious metals.

In general, but especially with gold and silver, if it seems too good to be true, that’s because it is. Think about it. The price of gold is set in stone. It changes on a minute by minute basis, but it still has a set price. If you see a company advertising “discount gold” then you can be sure something is awry.

Some coins or bars may cost more than others, depending on scarcity, collector’s appeal, and other factors; and those will have varying prices. That’s why it is important to know why an item is worth what it is. For instance, a Gold American Eagle may be slightly more expensive than a Gold Euro Philharmonic, even though they have the same gold content. Arming yourself with information about the current spot price per ounce, the dealer’s premium, and traits that differentiate each coin will help you to make an informed decision.

One of the absolute best ways to decide which options are best for you is to talk to an expert. As long as you know that you are talking to a trusted source who is not just trying to make money off you, you can learn a great deal from a dedicated dealer. Monex is an excellent source of bullion products, as well as unbiased information. Don’t be afraid to call a representative to ask about anything that you’re unsure of.

Precious metal sources to avoid include pawnshops, jewelry stores, TV ads, mail-in offers, online dealers who do not have a solid background, and any other retailer who gives you a hesitant feeling. The bottom line is that if you trust your instincts, and walk away from any deal that doesn’t seem right, you will be much better off in the long run. Don’t ever feel pressured to buy.

For premium customer service, accurately and fairly priced products, and protection you can count on, the best choice is always going to be Monex. Having provided precious metals to discerning customers for over 40 years, Monex has earned their reputation as the most trusted dealer on the market. You will find that avoiding disreputable precious metal sources is not difficult, as long as you stay vigilant about your decisions.