FOOLS’ GOLD
It costs a lot of money to advertise on Fox television. I know because we send them a check every month. That’s why I’m puzzled when I see people advertising on TV and radio for gold at low prices. Some claim to be selling below dealer cost, or at dealer cost, or a tiny percentage above dealer cost. If you sell gold and make little or nothing how do you pay your rent, insurance and employees? How do you pay for expensive ads? As Charlie Chan used to say, “Something wong.”
We’ve been around for thirty-eight years. Virtually every major competitor in the first twenty-five years, either got into trouble or went bankrupt. The companies that fail first are always the cheapest. In 1980 I constantly heard about Jonathan Coins in Los Angeles. They couldn’t be beat for Krugerrands. Eventually they failed and Jonathan was sentenced to four years in prison.
There has been a huge influx of new companies pitching gold. At the same time, gold sales have fallen off a cliff. This is a recipe for disaster. Recently Goldline, the big advertiser with Glenn Beck was indicted by local authorities for “bait and switch.” A company in Minneapolis who copied our name, “International Rarities Group,” filed bankruptcy and according to the newspaper, the principal may face criminal charges.
I mention all this to wave a red flag of warning. People are sending money across the country to Internet dealers who could be using the money to make their car payment. The failure rate in the coin business is 90% every ten years (according to the Forecaster newsletter). People are doing foolish things. One source sells silver for delivery four months out. Please! I predict problems ahead where a lot of people don’t get their gold. It’s happened so often before. I dread it because it harms everybody’s reputation. You can avoid this kind of mess and heartache by dealing with us.
