Investing in Gold: Start by Buying Coins and Bars Online

buying gold online

Gold is an attractive investment option for many due to the long-term gains it offers. You can buy gold in the form of bars and coins and own them for several years. This precious metal hedges you against declining economy and inflation, among others. While gold bars offer the most affordable way of investment, consider a few factors before making a purchase. Here are some pointers to help you buy gold online:

buying gold online
Do some online research to find reliable dealers

Find reputable dealers by doing an online research. Apart from reading the terms and conditions carefully, understand other important details such as purity, prices, premium, taxes and handling charges. It is also important to learn about the dealers’ work ethics. They should adopt standard methods and offer pure gold as per the agreed terms and purity levels.

Understand weigh limits of gold coins and bars

Gold coins and bars are available in denominations of ounces and kilos. Stick to lower tolerance limits in weights when buying gold bars in physical form for investment purposes.

Know which type can help you save more

It is worth paying a little extra if you want to go for Gold Sovereigns. They offer great benefits for small investors. It is better to buy gold sovereigns than the Kruggerand as old sovereigns are exempted from capital gains tax in UK. Therefore, it is an ideal option for small investors to invest in gold sovereigns for either long term or short term. Buy at least 50 Gold sovereigns for investment. British Gold sovereign features a horse, a dragon or the Queen’s head. Other popular coins for investment include Victorian coins, Edwardian or Georgian coins, the American Eagle and the Canadian Maple leaf.

Check the prices and the potential for increased value

While doing your research, compare the prices of different online Gold retailers in the UK and choose the most reliable one. Also, check whether the retailer will buy back the gold when its value increases considerably.