At 7/13/09 09:04 PM, StephanosGnomon wrote:
At 7/13/09 08:56 PM, YuanYan wrote:
Is it just me, or have there been MORE of those commericals laterly? They've been around forever but it seems like these last few months, they're everywhere.
It's not just you, it's exactly what I'm talking about. Two or three years ago (maybe less) you might see an advertisement like that once in a blue moon. Now they're EVERYWHERE, and all these companies (as more and more have been sprouting up) want you to do is throw your gold into a "secure" bag and mail it to them for cash. Without an appraisal from a qualified jeweler in-person, how can that sort of transaction ever be considered legit or trustworthy?
Anyway, I dunno, it seems really really fishy to me. Businesses are obviously out to make a profit, and if they're so enthusiastic about offering cash for gold then it must mean that the gold is where the true value is, not the cash.
Yeah, it is a huge scam. Basically there is the market value for gold. Normal pawn shops and such will pay you no more than 75% of this, ever. Most likely you are looking at 50% from these shops that everyone know is a rip off. Nowadays you could take a picture yourself and post it online at one of the many reputable online stores or even take it to a sellitonebay store and get closer to 80%+ for your money. The cash4gold companies that want you to securely mail in your stuff and they send you "cash" never make any promises on how much. There are two options. You can either get a direct deposit into your bank account for whatever they offer and you have no chance to get your stuff back or they will send you a check and if it is not to your likeing you must file for a refund within 3 days or your stuff is gone forever. I did some research and I haven't found one case of anyone being offered more than 20% the actual value in gold. For those that asked for a direct deposit, there stuff was gone forever. For those that asked for a refund, they instead got a notice saying something like, "OH WOW! We checked out your stuff again and its asked worth much more. You can get X more money this one time or go ahead and file for the refund again. This new amount they offer you is about 50% the actual value so even though pawn shops are a ripoff, you can get more money from them than from any of these other places.
At 7/14/09 01:06 PM, morefngdbs wrote:
At 7/13/09 05:18 PM, Proteas wrote:
Just a thought, don't rake me over the coals for it.
;;;
First off, you can't eat gold or silver or any bullion....well you could eat it but it isn't going to do you any good.
But gold or any 'Stock' is a PIECE OF PAPER !
You can't eat that either, so gold stocks are as usful as paper monety is...which means its worth nothing when speaking about Zimbabwean dollars now. What has happened to their money can happen to any money.
So if you want to buy gold or silver, palladium or platinum... Buy the damn metal & hold onto that, it will still have value when a fiat monetary system breaks down.
Always remember a stock certificate for say a hundred bucks or a hundred dollar bill is actually a 'promise to pay' it is very similar to a check in that sense. If you do not have the confidence of those who hold or use your 'currency' its value goes down & you lose. Same with a 'gold certificate', how do you know they actually hold actual bullion to back up your 'piece of paper' saying they do ?
The saying "it isn't worth the paper its printed on" comes from bad stocks & bonds. That has never happened to bullion. Sure its price has & does fluctuate...it has never been worth nothing, if the great depression & the latest world banking crisis has taught you nothing else it should be that an actual asset is worth more than a stock certificate .
I think that the, "a stock is only a piece of paper" idea is understood already. Please correct me if I am wrong but it seems like the OP is asking specifically about the value of gold during disaster. Answer to this is well known. At first, price of gold, along with everything else will dip, but right after, GOLD SPECIFICALLY, will shoot up. I think the basic idea of what happens has already been discussed earlier...
Here it is:
At 7/13/09 06:04 PM, TheReno wrote:
... in a huge economic depression ... When the rich see that they are still rich, they will buy gold. Now with low demand gold mining stops and the supply is at a stand still, so the rich buy this up (if slowly) and cause supply to go down. Guess what, now gold stocks will be on the rise.
Yeah, I am sure there is a solid explanation out there, if you find it please post a link, but this helps for anyone who gets the basic ideas of supply and demand. Late.