When you decide to buy gold bullion online, you are most likely looking to pay for your purchase with a specific method of payment. Thankfully, many online gold dealers are flexible with the options they offer to their customers. Some of the most commonly accepted payment methods include Bank Wire, Credit Card, Debit Card, Money Order and Paper Check.
In addition to these more traditional methods, most gold dealers also accept PayPal and some even take Bitcoin as payment. To learn more about the payment options you have when buying gold bars online, click the methods listed below for more in depth information:
- Credit/Debit Card
- Paper Check
- Bank Wire
- Money Order
Fees Associated with Buying Gold
When you are deciding which method to use for your gold bullion purchase, you should be sure to understand the fees associated with each option. For example, many dealers will charge between 2%-5% in fees for processing a credit or debit card. That may not seem like a lot, but if you do this frequently you will be killing your purchase price. This is not to mention any fees that your credit card company will charge you in interest. This can add up to be quite a lot over time.
Buying Gold with Paper Checks
Using a paper check to pay for gold bullion is one of the least expensive of all the options. This method helps you avoid processing fees, like those associated with credit cards. This gives you about a 2% to 5% discount over credit/debit card purchases. Most all gold bullion dealers have this option available. Sometimes it will delay shipping times by a few days over credit cards, but in my opinion it is well worth the money you can save by doing this. Many dealers do not have a minimum order size for check payments.
Buying Gold with Bank Wires
Bank wires are similar to checks when it comes to buying gold online. The only difference is that payment is much faster. Instead of writing a check, mailing it and waiting for it to arrive, payment is nearly instantaneous. One of the only downsides is that most banks charge a bank wire fee, which can be as little as $10 or as much as $30. Some gold dealers will also have a minimum requirement for bank wire purchases, but the price charged for a gold product will be the same as using a paper check. The minimum changes from one dealer to the next and can be as little as $1,000 to as much as $10,000.
Buying Gold with Credit Cards
Credit cards should really be a last resort for gold investments. They will add anywhere from 2% to as much as 6% to the overall price you pay for a gold bar or coin. If shipping is calculated into this, you will sometimes be adding up to 10% to the price of gold if you’re not careful. The only major draw to using a credit card or debit card to pay for gold is that payment is instant. This means that the dealer will most likely be able to ship your products faster.
Buying Gold with Bitcoin
Bitcoin is a very new method of payment that is being accepted by more and more gold dealers today. With Bitcoin, payment is nearly instantaneous and more or less anonymous. When you are using this method, be careful and make sure that you are only doing business with a reputable dealer of gold bullion. Unlike checks or credit/debit cards, there is much less of a paper trail so you will not want to take any chances.