For years the airwaves have been full of telemarketer ads that proclaim the virtues of investing in gold. And, because of gold’s performance over the last ten years and because of the ongoing global financial crisis and because the ads continue to run daily in huge numbers, it is logical to conclude that the telemarketers’ investments in those ads are paying off. But, do the callers benefit when they respond to the telemarketers’ ads? Probably not.
Invariably, the telemarketers promote overpriced gold coins. In some instances, the coins are marked up double. Over the years, we have collected horror stories from investors who bought from telemarketers. It is not uncommon for the price of gold to have doubled and the buyers still not have made profits on their investments.
Old US gold coins are the most frequently promoted coins. However, some telemarketers promote old European gold coins. Usually, the telemarketers claim that the coins that they sell are “non-confiscatable.” Such claims are nearly always made after callers are reminded that in 1933 FDR by Executive Order made it illegal for Americans to own gold bullion coins.
With few exceptions, there is not much in the news about the risks of buying “non-confiscatable” gold coins. However, in November I was interviewed by Linda Williams of Phoenix Fox 10 News about the risks associated with buying overpriced “numismatic coins.” See the interview here.
CMI is a very honest company. When I first bought silver and gold several years ago, I spoke with Bill and he was very gracious and informative. You have to do your research before selecting a gold and silver dealer. That is what I did and I ended up at CMI. My few transactions have always gone very smooth with excellent communication on CMI’s part. Thank you Bill, Mike, and all!
In doing my research last year, I encountered a couple of boiler room hustlers for European collectibles. When I talked to CMI, I knew I had found an honest company. My thanks go to Dean and Kelly for helping the new guy become a very satisfied customer.