Gold Storage – How to Choose Where to Keep Your Physical Gold
Gold remains one of the best assets to purchase. This is because it maintains value and is not subject to monetary devaluation.
There are several ways people can invest in gold. For example, people can buy physical gold bars or coins or invest in stocks. Whichever method you deem fit, you are sure to enjoy the benefits of gold investments.
Some investors prefer investing in physical gold bars. However, these require safe storage. This is because such forms of gold are attractive and can be stolen or lost if not kept properly.
Choosing where to keep physical gold might be tricky. It is because there are several options available. However, this article will discuss the storage options and steps to help you choose.
There are three popular options for storing physical gold. Each of them has its benefits as well as disadvantages. However, you can choose what best fits your needs.
Below are the three storage options.
There are several ways people can store gold at home. While some persons might prefer using portable home safes, others might bury them in a hole in their backyards.
There are a few advantages of home storage. Generally, keeping your property by yourself is convenient, and so is keeping your gold by yourself. Also, you do not get to pay storage fees; therefore, you save money. But using this storage method can expose you to some risks.
No one desires to lose their properties to thieves. However, saving your precious metal at home can expose you to them. And you might not catch the thief or recover your bars.
While you might want to rely on your insurance coverage, it is best to understand what the insurance is worth. For instance, several insurances offer a certain amount for valuables like precious metals. Often, these amounts are less than the value of the property. Therefore, you might not get your initial investment capital back from insurance if you lose your gold.
However, there are options to request a modification to your insurance coverage policy that might enable full coverage of your metals. But the process involved is tedious and requires much documentation. You can click here to know more about this type of insurance.
Bank Safes or Deposit Boxes
Banks are financial institutions that are under strict regulations. Aside from saving money, they can also help to keep our valuables. And they do this using a safe box which you will have to rent at the bank’s storage facility.
Here is the thing. While saving your precious metals in a bank might be safer than home storage, there are some setbacks.
Though banks have a strict security protocol, security is not the only challenge. Generally, banks insure your deposit accounts, but this is not the case for the content of your deposit boxes. Also, you might not have access to your valuables kept in your deposit box during bank holidays or financial crises.
Furthermore, storing large quantities of precious metals in a bank might not be possible. This is because; safe boxes have limited space and might only hold a few gold bars. However, if your deposits are small, a bank might be best for you.
Third-Party Depositories and Storage Vaults
These are some of the best storage options. This is because they provide you with the safety of bank deposit boxes and the convenience of home storage. In addition, their storage facilities can hold large sums of metal. And, you can use them to store any precious metal.
Depository facilities have strict security protocols and insurance for assets kept in their vaults. Also, their operations allow you to monitor your investment from the convenience of your home or office. This is possible through the web platform that enables you to open an account with them online. Therefore, you can assess your metals during bank breaks or weekends.
Here is an interesting fact. Some depositories have affiliations with brokers and precious metal dealers. Hence, partnering with them can reduce the stress of dealing with sellers. This is because the depository facility can help you handle the negotiations of buying and selling your metals safely.
However, there are some disadvantages of saving in a depository facility. For instance, using a depository requires paying annual storage fees. You can click on https://metriculum.com/ to read more about gold storage options.
Choosing Where to Keep Your Physical Gold
There are several factors investors can consider before choosing a place to keep their metals. However, we will discuss just two of them.
Size of Investment
Before choosing a place to keep your precious metals, it is best to consider the size of your deposit. For instance, bank deposit boxes have smaller spaces; hence, they are not the best for keeping large deposit sums.
Security and Accessibility
Another factor you should consider is security. We mean security, not just from theft but from a financial crisis. For instance, in terms of safety from theft, home storage may not be the best option but you can consider saving in banks.
Also, you can consider the accessibility of the option. For instance, banks might not be available during a financial crisis. Hence, you might not be able to access your assets during such periods. So you might choose the home saving option. However, it is best to balance accessibility and security and choose what best fits your needs.
It is one thing to invest in precious metals and another to save them in a secure location. While it might be tasking to choose where to keep your physical gold, there are some factors that you can consider. However, whatever your choices are, ensure that your investment is safe and accessible.