Are Private Vaults Good for Storing Gold and Silver?

banks, vaults, financial

Q: Should I store my precious metals in a private vault?

A: The average investor doesn’t need much space to store their physical metals. $100,000 in gold bullion or $20,000 in silver bullion will fit in a normal-sized coffee cup in a small-to-medium gun safe. But if you don’t want to store them at home, there’s an acceptable alternative: private vaults. Here’s what you need to know.

What Services Are Provided?
Third-party, privately insured vaults differ on the services provided. Some are very large institutions that simply hold your metals for a monthly fee based on value. Others like My Gold Advisor are specialized boutiques with unique services.

My Gold Advisor offers storage services with an instant cash and wire option. With this option, a client has the ability to call the vault and sell any portion of their metals with the proceeds wired to them the same day if they’d like. They can also have any part of their portfolio shipped by FEDEX to any location in the world by simply placing a phone call. Some vaults require a week to ship your metals to a dealer to be sold, and then you could be looking at another week to get a check from the sale.

Allocated vs. Unallocated
If you ever store precious metals in a vault, we highly encourage you to choose allocated storage. This means the metal you’re storing is specifically earmarked as yours, and you can get access to it any time you’d like. With unallocated storage, your metals may be mixed with other clients’ metals.