How to Buy Gold and Silver [And Things to Look Out For]

Gold and silver professional

Investing in gold, silver and other precious metals has been a great strategy for preserving wealth and balancing out your investment portfolio. In this guide, we will answer questions about how to buy gold and silver, where to buy gold and silver, and things to look out for along the way. We will also address other key factors and tips for buying gold and silver.

What are some things to consider before buying gold and silver?

If you’re just starting out investing in precious metals, it’s essential to educate yourself. Reading blogs like this one, watching videos, and looking at past charts and trends for precious metals is vital for understanding what might happen in the future. The price of gold and silver relative to where it has been in the past is important, and knowing what is going on in the world to impact that price is key to understanding what drives the price up or down. Keeping current and being familiar with gold and silver buying guides is a great first step.

What are some investment goals to consider?

Once you’ve done some research, you need to set your investment goals. Is silver a good investment? Or should I stick to buying gold? How old you are is an important factor, as silver is much more volatile than gold. If you are younger, a more aggressive strategy heavier on buying silver could have more upside potential, but if it’s part of a retirement plan gold is a safer, more stable choice. Buying precious metals slowly over time is a responsible, safe strategy and lets you adjust and change strategies as well.

Where should you buy gold and silver?

Can you buy gold and silver from a bank? Or should you stick to online dealers? This could potentially be the most important question to ask. Buying from a reputable dealer is essential to getting a fair price and a dependable product. Buying gold and silver for beginners starts with finding someone you can trust. Banks decades ago sold bullion, but today your options are local coin shops or online retailers. A competitive large physical coin shop can often times match or beat online retailers, but you need to physically travel to their store to make the purchase. If there are no close physical shops, then major online sites are trustworthy and dependable, albeit slightly more expensive, and you run the risk of having to wait to receive your products. Physical coin shops are ideal if you have a legitimate option within a reasonable driving distance. Use online ratings for local coin shops to find a well-established, trusted operation with a professional website and competent staff. They will give you solid advice and tips for buying gold and silver, and developing a relationship will benefit the buyer. Ask the owners what they would do themselves, be nice and courteous, and most will give you an honest answer!

How can you test the authenticity of the gold and silver you’re buying?

If you choose to buy from a local shop, ask them to verify the purity and authenticity. Common methods are Sigma Analytic machines, which use lasers to measure resistivity, or XRF machines, which use X-Ray Fluorescence. If a shop doesn’t have either of these or refuses to verify, that would be a red flag. The vast majority of silver products will be pure 999, anything else is not recommended for modern bullion. Make sure the purity is clearly stamped and displayed. Gold is usually pure 999 (24k), but Gold Eagles and Gold Krugerrands are only 90%, alloyed with copper and silver. The machines will be able to verify these purities.

What is the cheapest way to buy gold?

Should you want the cheapest or go with a more premium product? Buying bars is usually the lowest premium (cost over spot) and is the safest way to buy gold and silver. Often times when selling gold and silver, you will not recoup the extra cost of more premium products. Some may be worried that gold bars can be counterfeit or fake, but a reputable buyer will be able to test and verify the authenticity of any product you bring in. Spending slightly more to buy a coin is not a bad idea, but I would not recommend spending more than 2-3% more than a bar costs unless you are very knowledgeable about the exact product you’re buying. There are benefits of buying gold and silver premium products, but you will usually have been better off saving your money and buying a LOWER premium option in the beginning.

Where should I store my gold and silver?

If you are considering making a considerable investment in gold or silver, you should take into account where you will be storing them. Silver begins to take up a significant amount of space once you start purchasing quantity, and having a place in mind to keep it safe is important. Gold is significantly easier to manage and takes up considerably less space. Hiding it around your house is much simpler. Holding your precious metals in a depository can be an option, but there is an additional cost associated with it. If you choose this option, use a private independent depository, not a company that sells gold or silver. It is not recommended to use a company that says they will hold your investments for you, this is often, but not always, a bad sign.

Where can I get more information on buying gold and silver?

If you want to learn more about how to invest in gold, where to buy gold and silver, or what is the safest way to buy gold and silver, contact your local coin shop and establish a relationship! If you’re in the Philadelphia area, then visit or contact Edelman’s and let our experts help you feel confident about your purchase. Keep informed about the price of gold and silver, watch the spot price, and always read the news and stay current with what is going on in the world. Precious metals tend to go up when things around the world are uncertain, so as long as there is instability around the world, investing in gold and silver is something to consider.