BullionByPost launched their service in order to offer private UK investors a straightforward and secure way to buy bullion at low margins ideal for investment, and we have now expanded that service to the United States of America.
The precious metals industry is kind of a big deal these days. Unfortunately, hot on the heels of this popularity is a fast uncontrolled growth of all manner of online vendors. This makes it quite difficult to decide which company to invest with and that's why in the following few lines we'll be reviewing one such vendor going by the name Bullion By Post (BBP).
Established in 2009, this is a British company that’s often marketed as the “UK’s number online bullion dealer.” Stick around to find out if this vendor is worth the hype or not and also why we’re skeptical about some of its claims and practices.
An Overview of BullionByPost
This is a precious metal company that offers sales as well as storage services. Although they were initially domiciled in the EU, they have since grown and spread to other countries including the US.
One thing that stands out about this vendor is the fact that it claims to offer free insured deliveries. The deal sounds good, at least on paper that is, but in reality, we have come across people raising complaints about Bullion’s shipping and handling practices (more on that later).
Judging from the inventory listed on their website, one thing's clear – this is meant to be a one-stop shop for all things precious metal investment. Let's delve deeper to see how exactly this works.
How It Works
Their website has some simple and straightforward steps that one needs to complete when either registering or making purchases. Of course, you’ll need to start by registering for an account with the vendor. It takes a couple of minutes and here’s what it really entails.
- Step 1: Fill in your basic details i.e. email, name, date of birth, address etc. It takes less than 60 seconds to do this. Interestingly, they don’t email you a confirmation link as is standard practice, so it’s really easy to get up and going.
- Step 2: With your account up and running, all you need to do is visit the “Buy Bullion” button and choose your preferred precious metals.
- Step 3: Choose your preferred precious metals and add them to cart.
The rest of the process is quite similar to what you get in other eCommerce platforms. However, it is worth noting that this platform only accepts Credit/Debit card transfers or Wire Transfers. They don’t accept PayPal payments.
Products & Services Offered
They have a variety of products and services on sale. We’re talking about coins, bars, storage services, and even shipping services.
1. Gold Bars
The company stocks a long list of gold bars claiming that each one of their bars is pure 24-carat and LBMA-approved. What's more, their prices start from as low as $73.20 for 1 gram gold bars (that's roughly 0.03Oz).
It’s worth noting that BullionByPost allows you to order such small quantities of precious metals because it does not have limits as to the minimum amounts to invest in gold.
2. Gold Coins
As an alleged accredited distributor of the Royal Mint, this vendor sells all manner of coins ranging from Gold Maple, Gold Eagle, Half Sovereign etc. The popular South African Krugerrand is also available. If you’re looking to get started and are on a tight budget, the Numismatic and Gold Maple coins are the cheapest ones available.
3. Silver Bars
Smart investors often turn to silver to grow and stabilize their wealth over time. If you’re one of them then you’ll be glad that BullionByPost’s inventory has a good supply of this precious metal. Their smallest silver bar weighs 5 grams and goes from $8. So, it’s clear just how easy it is to become a silver investor.
However, the vendor advises against going for small quantities of gold instead recommending their 1KG silver bar package as a “perfect investment” for those looking at maximizing returns.
4. Silver Coins
Whether you're after the American silver Eagles, the Austrian Philharmonic, or even the Canadian silver maples, this vendor has some in store for you. In fact, some of their silver coins cost as cheap as $10, so again, they can provide a perfect starting ground for anyone looking to learn the trade.
5. Platinum Bars
This is widely considered an industrial metal and its demand has been rising steadily over time. And now, under Bullion’s inventory, you can buy it in small quantities including 1-gram packages that go for $42.80.
6. Platinum Coins
Along with their extensive range of bars, they also stock a variety of platinum coins including the Platinum Britannica and the Queens Beast. The popular Isle of Man Nobles is also available here.
7. Palladium Bars
It sells fast, all thanks to a high demand in dentistry, jewelry, and groundwater treatment industries. If you're considering investing in Palladium, BullionByPost claims to have all it takes to provide you with reliable supplies. You can go for a 1-gram sample which goes for slightly over 100 bucks or something as big as 100grams depending on your style of investing.
Most importantly, according to the vendor that is, all their bars are LBMA-approved.
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Benefits of Buying Precious Metals from Bullion by Post
We may not agree with this company on everything but one thing is for sure, they have their fair share of benefits.
-Present in Multiple Countries
As we had mentioned earlier, Bullion By Post is a company from the UK. However, they have expanded their reach over time and currently serve multiple countries including having a physical presence in the US and the EU. Plus, you can ship from them no matter where you are in the world as they have an existing partnership with the Royal Mail.
-Flexible Payment Methods
Although they don’t accept PayPal and Bitcoin, they still offer a bit of flexibility by accepting all major credit cards as well as bank wire transfers. What’s more, their website is SSL secured meaning your credit card information is protected as you shop with them.
When shipping precious coins and bars, one primary concern is whether the consignment makes it home safely. Owing to the high-value nature of the commodities involved, it is likely that they might be stolen along the way or tampered with. Luckily, Bullion By Post has a solution to that and that is insured shipping.
It’s not until you receive the parcel and sign on the dotted line that the cover lapses.
-Their Website Is Really Easy to Use
Everything is pretty straightforward. You need about 60 seconds to create an account and 3 minutes to complete an order then wait for 24 hours for the delivery to be completed. Almost everything is figured out for you here really.
-Buy Back Facilities
So, you've bought a bucket full of silver coins then boom, the value of silver in the global market shoots. Who do you sell them to so that you can cash in on the opportunity? Well, that's where this company's buy-back program comes in.
Not all precious metal companies give you this leeway. But BullionByPost has got absolutely no problem with that.
To a large extent, this company comes out as a legitimate organization to work with. Their website is highly secured and safe, plus they have a presence on sites like Trustscore.
What’s more, in 2013, they had an advert running on British national television channels – something that points to the possibility that they enjoy some sort of trust back home.
To top it all up, the company is a recipient of the Top Financial Service Award by an organization calling itself eCommerce Awards.
-Good Product Packaging Practices
Most people tend to overlook the important issue of quality of packaging and yet it is essential. BBP packaging is excellent. They try their level best to make the packages look as discreet as possible. This ensures that your products remain intact on their way home.
Normally, they pack all coins in capsules, and bars are kept in special wallets. The package is then put inside a non-descriptive wrapper. So, really, when it comes to safety and privacy, this company has got you covered.
What We Don’t Like About BBP
As legitimate as they are, they have quite a few downsides that we’d now like to focus on. These downsides are rarely communicated out there and we believe it’s important to consider them as you make your next move.
Much as they have a good customer service team in place, the quality is wanting. You know, it’s one thing to respond to queries and another one to respond to them helpfully.
One thing we noticed about the BullionByPost customer support team is that it has the tendency to promise people that it will call them back but it doesn’t.
For this reason, the company keeps attracting a series of 1-star reviews on independent sites like Trustpilot.
Can you really trust a company that cannot keep its word? If good customer support is your priority, you want to be sure to work with a company that gets it right. And to the best of our knowledge, BBP isn't that company.
BBP's prices are slightly higher than those of its competitors. For instance, some of their gold coins are priced at 5% above the price given by competitors. Likewise, their Silver Britannia coins go for as much as 16% above the average market cost. Also, their storage services are quite pricey at 0.65% + VAT per annum (billed monthly).
Higher-than-normal pricing only eats into your future profits. So, if you really want to maximize the profit you might want to look elsewhere.
The company claims that it’s one of the authorized distributors working for the British Royal Mint. We did inspect the list of the Royal Mint certified distributors but couldn’t find anything like it.
And don’t get us wrong. So far, we are yet to come across anyone saying that they sold fake gold or anything. All we are saying is that they claim to be a Royal Mint certified vendor but haven’t provided any evidence to that effect.
Bullion By Post continues to attract mixed reviews from its client base. A vast majority of those who shower it with negative reviews complain about the failures of their customer support team.
We also came across complaints related to the physical condition of the coins and bars sent to some of their clients.
One client complained that their coins arrived defaced and when he shipped them back, they were re-shipped in the same condition.
For this, the company blames the minters saying that errors in the minting process may lead to some coins coming out in less than perfect shape.
Is There a Better Alternative to Bullion by Post?
Luckily, for you that is, you can never run short of precious metal vendors to work with in this day and age. On the flip side, though, most of these companies are privately owned and so it might be difficult to ascertain their reliability unless you work with somebody who knows them.
To pick a good alternative to Bullion By Post you have to consider the following three things:
- Customer Support – You want to work with a company that not only provides professional customer support but also values you as a human.
- Reviews – A company that attracts high ratings consistently from its satisfied customers.
- Pricing – A vendor with reasonable prices and no hidden fees.
Having considered those three factors (among others), we were able to zero in on Goldco as a better alternative.
Goldco is an American company with a global reach. It provides some of the best Gold IRA services we have come across so far. What’s more, they enjoy an outstanding average rating on Trustpilot amounting to a 97% satisfaction rate. And above all, they boast an A+ rating on BBB. The company is also a 5-time Inc500 winner.
We'd recommend it over BBP because we feel that it has a better capacity to provide precious metal supplies and IRA services. This makes everything easy and straightforward for beginners and the pros alike.
Read our full review: Goldco Review
There is no denying that Bullion By Post is a company worthy of repute. However, when the rubber meets the road, a few of the vendor's flaws come out so clearly.
We hope they'll keep improving but for now, if you're looking for a better alternative we highly recommend going for Goldco or other suchlike companies.
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