Investing in precious metals can be one of the best decisions you’ll ever make. The reason why they’re a good investment is because of their scarcity, and thus their value rarely falls. They are also tangible, liquid assets, making them a reliable source of investment. However, before investing in precious metals, there’s a couple of things you need to think about. In this article, we’ll be providing you with some tips on how to assess a precious metals company’s trustworthiness and reliability.
Precious metals companies with good reputations provide their customers with the best experience and services. They should have specialists at your service to guide you through the process of investing in precious metals. They should also ensure timely delivery of the metals and keep track of the orders. When the company has a loyal customer base and great respect from its clients, this is an indicator that they are reputable and worthy of your investment. This also indicates that they have a team of professionals who will make sure that you receive the perfect customer service and make the most of your experience.
Is The Company Legit?
You need to check the legitimacy of the company before investing your money. Watch out for fraudulent companies and ensure you confirm that they’re certified. Read the prospectus carefully and do some heavy research. Accreditation is also an aspect that you need to consider. Trusted precious metals companies receive accreditation with BBB, and have a score of five out of five. For instance, if you come across Goldco and are thinking of investing your money in their precious metals, read a Goldco review and you’ll be able to find out what people are saying about the company and see the ratings accordingly. Many sites can help answer your questions about the company’s legitimacy as well, like Trustlink and Trustpilot.
Speak To People
Researching the company online and checking its ratings isn’t the only thing you can do to check the reliability of the company. Speak to people you know who have worked with the firm. That way, you can gather first-hand information and learn about their experience. Word of mouth can be a source of reliable and genuine feedback.
There are various tests that you can carry out to check if the company’s metals are real and of high quality. These may either be simple tests or more complex tests. These tests can include:
- Acid tests: acid testing has been used for a very long time. Although precious metals are resistant to acids, this process has to be carried out with extreme care as the wrong acids can damage the metals. Use nitric acid and place a few drops on a small part of your jewelry. Avoid direct contact with acids by wearing gloves and goggles. Here are some reactions that you should observe:
- 18k+ gold doesn’t go through any reactions, as well as 14k+ gold, which determines if the gold is real and not plated
- 10k+ gold turns brown
- Brass, copper, nickel turn green
- Low karat gold turns brown or green
If you observe a lot of bubbles then it’s certainly not gold or platinum. You can also use a white paper towel to see the color changes clearly.
- Electronic test: electronic testers are a quick and easy way to test the pureness of the gold. They perform a contact test and give you a reading. Pure gold should give a specific reading.
- Magnet test: the magnet or magnesium test is another easy way to know if the company’s gold is pure. Use a strong magnet for reliable results. These magnets can be purchased from hardware stores. Gold shouldn’t attract the magnets. If the metal attracts the magnet, this indicates that the metal’s foundation is made of stainless steel or iron. Thus, this test can separate gold-plated metals from karat gold and precious metals.
We must research the company that will handle our precious metal’s investment, as these metals are quite expensive and very valuable, making it a huge deal. Even though precious metals like gold require a high initial cost, they will increase your money in the long run, which is why many entrepreneurs invest in them. Make sure to check the company’s history and reviews, and don’t forget to ask around and seek help from financial advisors before buying precious metals. That way, you will certainly be able to choose the most reputable and trustworthy company that will make your investment worthwhile and fruitful.