Why I trust BullionVault with my gold and silver

 

 

See also February 2013 post.

I have been surprised to see that an increasing number of readers of my popular Scams page reached it by searching for bullionvault scam. Is it the “if it sounds too good to be true, it usually is [a scam]” cynicism? Probably, and that is why potential investors in bullion are performing ‘due diligence‘ before dealing with a gold or silver supplier.

Fortunately, from my personal dealings over many years now with this British-based bullion exchange, I can confirm that BullionVault is not a scam! Endorsed and recommended by the World Gold Council, full members of the London Bullion Market Association, BullionVault also won the Queen’s Business Award for Enterprise: Innovation in 2009.

I’m pleased (but not surprised) to see that what has been written about their operation is all good and it’s all true and scam searches reveal nothing negative. I’m also glad that more and more Internet users are becoming aware of the many scams out there; their suspicion and awareness might well save them from losing a lot of money.

In 2007, I opened my account at BullionVault which is UK-based but keeps its (and its account holders’) bullion in Via Mat’s vaults in the US, UK and Switzerland; account funding is via Lloyds Bank UK which also has US and European  facilities for international clients. For additional local research paper writing services visit turninpaper. I quickly learned how to use the trading system and began accumulating some gold, and later when they began offering it, London silver. See below the consistent price rises in that time alone.

BullionVault’s 25,000 funded account holders own over 22 tonnes of gold worth over $1 billion, plus $163 million worth of silver, all stored in Via Mat vaults in either London, New York or Zurich. This makes it the world’s premier direct gold ownership organisation. Client accounts are subject to independent daily audit of every gram of each bar and the names of registered owners are attached. Members buy, sell and trade gold and silver among themselves at the full spot market price (often better) in either USD, EUR or GBP.

All new accounts at BullionVault.com are credited with a free gram of gold, now worth over $50, £30 or €36 (or a gram of silver). Fees are very low: $4 a month storage for gold ($8 for silver which takes up a lot more space!) and 0.8% per transaction – much less than trading stocks or forex with a bank or broker (and the inherent higher risk of loss).

Since opening it in 2007, my account balance has risen significantly every year, due to the continuously rising prices – as well as from additional purchases. According to most ‘experts’, gold and silver prices will continue rising against the US dollar and other main currencies for the foreseeable future.

For me, it’s a ‘no-brainer’. I can sell a portion at any time and could immediately remit the proceeds to my bank account, but I usually leave cash in the account, ready to buy again on a temporary price correction. For those who don’t mind some risk, this can be a lucrative form of trading. But buying and holding is fine too.

I would advise anyone opening an account to fund it as soon as possible, simply to be ready to buy when the price has dropped, as it often does before going on to new highs. No one likes paying ‘top dollar’. However, there is a risk that if you wait too long for a lower price, you may get left behind and have to buy at a higher price than you expected!

For me, the BV charts are an excellent source of historical gold and silver prices and how they have risen over various time periods, from minutes to hourly, daily, weekly, monthly, quarterly and over recent years. Here’s an example of a BullionVault live data chart for gold over the past 5 years to 11 August 2011 and below is the same for silver.

Gold Price in USD 5 years
In addition, account holders can earn modest commissions by referring others. For example, if someone I refer buys or sells $2,000 worth of gold or silver at the spot market price, they pay $16 (0.8%) for the transaction; my own account is credited with $4 by BV. It’s not much but it’s enough to pay my gold storage fees for a month. Anyone who opens an account (even before it’s been funded) can do the same. Visit the website to see how.

The main reason I buy gold and silver is for its future value in currency terms rather than protection from the financial ‘Armageddon’ forecast by some. That gold bullion is mine legally, and with a sufficient quantity I could even take delivery of it  in the unlikely event of the whole global banking system failing. It’s somewhat comforting to know that, even though it’s a worst case scenario and not in my thoughts at this time!

Here are silver prices over the past 5 years in US dollars, having risen by 300%:

Silver Price in USD 5 years
The BullionVault operation is explained in detail on their website which includes a sophisticated but easy-to-use 24/7 online trading platform and of course the charts. There are no trading hours as with most other exchanges, including forex. However, best prices are usually found when the financial markets are active around the world.

How to open an account at BullionVault.com

Sign up simply with your name and email address. Immediately receive a gold or silver gram to try out the system by selling it if you want. When you are ready, add funds from a bank account to buy more gold or silver bullion. You will need to confirm your identity (online) before withdrawing funds to the same bank account.

I rate and recommend BullionVault highly from my personal experience with this company since 2007. See examples of my own orders; the R-A Bullion Page has more information on gold and silver investment.

Other ways to hold precious metals

Swiss Gold 2.5gNot everyone wants to own gold and silver in this manner. Some prefer to be in actual physical possession of it or keep it in a safety deposit;  others like to display their precious metal bar and coin collections or move them easily between countries. Precious metals cost more to buy in this form and they cannot be traded as easily, but for long-term investment it’s a simple and popular method of investing in bullion.

Reliable sources include Amazon.com who offer a wide range of silver and gold coins and bars, from a few dollars to several hundred or more. These items make much-appreciated (as well as appreciating in value) gifts, especially in these times of economic uncertainty. Benefit from fantastic savings on SEO , just by taking a look at my SEO blog.

See also February 2013 post.

  1. carmen, 17 March, 2011

    Great article – buying and selling gold is a great idea and you are right about BullionVault. Gold and silver prices are really high so now is a fantastic time to do either!

  2. Armil @ gold and silver bullion, 22 March, 2011

    It is vital to check up the reputation of the manufacturer because there are some who might scam you. It is advisable to purchase silver bars and coins from a reputable source such as Amazon.com or bullion from BullionVault.com.

  3. al, 12 June, 2011

    very knowlegdable advice of bulliovault.com , i live in uk , was not sure is advisable to keep my gold vault in london or overseas in zurich, does it matter??

  4. admin, 13 June, 2011

    Thank you. I would say it doesn’t matter. I think choice of vault location might be of concern to large investors with at least a whole gold bar registered (400 ounces at £945 or more, is approaching £400,000 worth); those worried enough about the collapse of the global financial system to want to take physical delivery of their gold, depending on which country they thought was safest in an ‘Armageddon’ scenario.

    You can read more about the ‘whys and wherefores’ on the BullionVault FAQ page.

  5. CW, 19 July, 2011

    Thanks for writing this article. BV works for the minnows as well as the large whale investors. I started with the free gram a few years ago, adding gold gram by gram whenever I could afford to. Obviously I wish I could have left it all in the system to earn today’s value. But, many months ago, cashing in some gold was the only way I could afford to travel abroad to a reunion of old friends that I would not have missed for the world. This delivered unbeatable value. And the same investment can be built back slowly and then doubled and tripled in time. Perhaps I could get from minnow to herring size, and I like my gold in all three vaults.

  6. ragadmin, 09 August, 2011

    Excellent recommendation. I am really happy for you that you have bought gold, an asset that is appreciating and that will appreciate even more with more US debts.

  7. JOPACO, 11 August, 2011

    Thanks for the above recommendations, as I am wiring monies to fund my BullionVault account. I did extensive research and vetting of BullionVault before even considering using BV for direct gold purchase. I am now confident that my investment is safe and protected.

  8. Susan, 13 August, 2011

    I am new Trader, Technical Analysis and Fundamental Analysis seems very difficult, I often hear vibes for gold expert advisor, did some body try the gold expert advisor offered by http://www.goldexpertadvisor.com They claim their robot is very profitable and made 100% profit in 5 months. Pls. help

  9. admin, 13 August, 2011

    Susan, I would be careful with most trading robots right now, including Gold Expert Advisor, as the current price volatility is not normal. Try it on a free demo broker account first and don’t fund a live account until you are confident. Also don’t risk money you cannot afford to lose!

  10. cnvinvestments, 04 September, 2011

    I found that BV has a lot of legitimacy about them, personally have since 2010 investing in Mandela gold coins. WOW what an investment, I have also added BV to my investment portfolio, and its showing excellent progress also, safe, secure and you in control, email me if you want to find out more cnvinvestments@gmail.com

  11. admin, 04 September, 2011

    Well done; anything made of pure gold bought in 2010 is worth a lot more today. Coins are one way to go, as long as there’s a ready resale market. For me, BV is far simpler.

  12. andy su, 25 September, 2011

    thank you for confirmation about BV ,WE ARE IN usa IS NOT REALLY GET USE TO WITH SO MANY tight regulation especially regarding the verification or validation , I was about to cancell my online payment for 1st deposite to BV then i tried to google it and found your blog , thanks it make me much better confidence in this way
    God bless

  13. admin, 25 September, 2011

    Thank you, Sweet Girl! Yes, it can seem a bit complicated, but a few days delay are giving you a heaven-sent opportunity to buy gold and silver at much lower prices than last week! I wish I had more spare cash right now to increase my holding.

  14. Darlington, 28 September, 2011

    Wow! interesting article you got here, I am a trader in BV for the past 3years now, and i can asure anybody here and the world at large that Bullionvault is highly trusted and safest to trade gold and silver, in my years of experience of buying and selling gold in BV im now teaching others on how to trade gold and make the best posible profit out of it by short term trading on my website putcash.com Am so proud of BV.

  15. admin, 28 September, 2011

    Darlington, I’m going to give you the benefit of the doubt. The perception that most people outside Nigeria have of anything internet-related connected with your country is that it’s probably a scam. We both know that BullionVault is ‘on the level’. I would like to think you are too. I’ll leave your link and wish you good luck with your endeavours.

  16. Marilou, 04 November, 2011

    Wow! I’m glad I found this article. This is what investment idea I looking for a long time.
    I am thinking to transfer my investment from stocks.

    Do you think what problem will I encounter If I am going to invest in BV?
    I am from Philippines.

  17. admin, 04 November, 2011

    You won’t have a problem if you can transfer money between your designated bank account and BullionVault who have accounts in UK, Europe and the USA. Check the BV website Help for funding details.

  18. Fabian, 25 November, 2011

    Hi,

    I looked at BV and it’s competitors quite thoroughly as we set up a website that rates and compares different providers of vaulted gold where there is more information about gold as an investment and vaulted gold in particular, including a price comparison. We can recommend BullionVault and even gave them our trusted-provider-seal.

  19. spot gold and silver prices, 04 February, 2012

    I don’t even understand how I stopped up here, but I believed this publish used to be great. I don’t understand who you might be however definitely you are going to a famous blogger when you aren’t already. Cheers!

  20. admin, 04 February, 2012

    If you hadn’t tried to disguise your link, I might have left it.

  21. Michael M. Gibbons, 10 February, 2012

    I opened an account with BV. And i have a Colombian relative who owes me a chunk of change but they live in Venezuela. Can I have them deposit the monies they owe me into my BV account directly from Venezuela? And if so, how would I do this? thanks.

  22. admin, 11 February, 2012

    Michael, a BV account can only have one bank account attached to it, for funding and withdrawal. It’s one of the security features; even if your bullion account is compromised, transfers can only be made to the same bank account. I think it’s also to prevent money laundering, and with certain activities in the area you mention, need I say more? The only possibility I could think of is to open a new BV account in your joint names, with a joint bank account. There’s info about this on the BV website, but you could also email them and get a direct answer.

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