Guide · Buying
Buying gold or silver for the first time
Premiums, spreads, storage and the questions to ask before your first purchase of physical gold or silver.
Last updated October 2, 2026
This is general information, not investment advice. Gold and silver prices go down as well as up.
You will pay more than spot
No dealer sells at the spot price. The difference is the premium, and it covers minting, shipping and the dealer’s margin.
- Large bars have the smallest premium per ounce.
- Popular bullion coins cost a little more but are easy to sell anywhere.
- Small coins and bars (1/10 oz, 1 g) have much higher premiums per ounce.
- “Limited edition”, “proof” and “commemorative” products often carry large premiums you may not get back when you sell.
Know the spread before you buy
The spread is the gap between what a dealer charges to sell you a coin and what they pay to buy it back the same day. Ask for both prices. A small spread means you lose less if you need to sell soon.
Stick to well-known products
The coins and bars in our reference are recognised by buyers across the country. Unusual products may be hard to sell, or get lower offers.
Check the dealer
Use our dealer check and the state guides to look up licences and complaints. Be careful with:
- Cold calls, and ads that warn of a coming crash.
- Pressure to buy “rare” or “semi-numismatic” coins instead of bullion.
- Offers to store metal for you at a company you cannot verify.
Storage and insurance
A home safe is common, but home insurance may not cover metals without a separate rider. Bank safe deposit boxes are not insured by the FDIC. Private depositories charge a fee and usually include insurance.
Taxes
When you sell at a profit, gains on physical gold and silver are taxed as collectibles. See taxes when you sell gold.