Precious Metals Buyers Should Be Wary Of Long Delivery Delays

Precious metals investors have plenty of good options when it comes to choosing a precious metals dealer. So putting up with dealers who either can’t tell you when they expect to deliver, or make commitments they don’t keep, isn’t necessary.

In fact, it can be downright dangerous.

Just ask the jilted customers of Tulving Company, a large “low cost” Southern California dealer that collapsed earlier this year. The company filed for bankruptcy in March, and customers with open orders for undelivered metal lost almost $20,000,000.

The filing caught most by surprise, but long delays in getting delivery signaled serious problems at the company in the year prior to its collapse. Complaints against Tulving had proliferated online — a warning sign that many caught in the bankruptcy wish they’d seen or paid attention to.

Businesses can and do fail, but it rarely happens suddenly and without warning. They generally start missing commitments first.

With all the recent volatility in the precious metals markets, combined with a sustained slowdown in sales across the industry in the past two years, gold and silver dealers with poor internal controls and unsafe business practices are particularly vulnerable right now.

These days, savvy customers can often find disappointed customers sharing their experiences online with a simple Google search on the business name.

We strongly encourage readers to perform this simple bit of due diligence before placing orders. Complaints about extraordinarily long delivery delays are mounting in regards to at least one other prominent mint/dealer at this very moment.

It is also vital for investors to know some facts about inventory and availability of the popular bullion products. There are legitimate reasons for short delays in a few products at certain points in time.  For example, the dysfunctional U.S. Mint continues to struggle mightily with high demand for silver American Eagles.  On a number of occasions in recent years, demand for that product outstripped the Mint’s ability to produce coins, and buyers were forced to wait for delivery.

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Author: Travis Esquivel

Travis Esquivel is an engineer, passionate soccer player and full-time dad. He enjoys writing about innovation and technology from time to time.

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