Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: IngotWeTrust who wrote (2782)	12/2/2007 3:40:55 AM
From: critical_mass	Respond to of 71475

If you look at the links on the first page of that google, it becomes clear that there are several phone calls and a couple of face to face visits before a purchase can take place. Here is some background: In Germany i have purchased coins from two dealers. The first was a large regional bank in Stuttgart. I visited several collectors in the area (after googling) and finally came to the realization that this particular bank was the only place to buy non-collectable coins or bullion. My interest is limited to eagles, maples, kruegerrands, buffalos, pandas and kangaroos, i.e. widely traded in large cities in north America and Europe and possibly elsewhere. I bought a total of 8 one ounce coins and took their entire stock. In Berlin, i contacted the local branch of a couple of large German banks and was told that they did not deal in bullion or coins. Another large bank could offer me coins if i held an account. The price of the coins would not be defined until after purchase, which depended on Euro/Dollar currency rates, spot price, etc. Finally, I found proaurum.de which is 15 minutes by foot from my apartment, has a wide selection, good service, and pricing based on the euro/dollar exchange + spot in real time. I can walk into their office with cash and walk out with coins. Spread is about 2%, so at current prices, I can sell eagles for roughly the spot price of gold. The staff told me I could sell up to 50000 Euros worth of coins for cash without notice. Just bring a passport for identification. In Germany, the VAT is 19%. For non-collectable gold coins and bullion, VAT does not apply. For silver bullion and non-collectable coins, VAT is 7%. For platinum, the full 19%. For a jeweler that buys and sells coins, but is not a "registered dealer", the VAT exemption does not apply. For example, a couple of weeks ago, I visited a Turkish jeweler in Nuernberg that was willing to buy eagles or maples at a 30% spread because she needed to pay VAT on the purchase. In the first quarter of 2008, I will visit a dealer in Warsaw and attempt to get an idea of what goes on over there. I have a small stash of coins, but I would like to have some choice if I need to liquidate during times of constrained liquidity. FWIW, as it relates to my decision process, unless otherwise specifically stated, German banks cover 90% of the first 20k Euros in a bank account. Anything above that is lost in a financial crisis. Anyway, I might be looking for more than google can provide. <vbg>