Question by harkkam: How can people buy Gold bars for cheaper than market price?
I've noticed places like Ebay selling gold bars at prices than less than what they sell for on the regular market, and I know that they're not selling them at a loss. Where could they be getting this gold from.

Best answer:

Answer by lizzit
Gold is a commodity. So is toilet paper. Let's use what you know, and extrapolate to what you don't.

If you go to Star Market, you can get Charmin toilet paper; they're going to have a marginally different price than Stop'n'Shop. Your corner grocer will usually sell it for even more, for the convenience of getting it nearby. You can buy the store-brand for less. If you go to Costco, you can buy it in bulk and save a lot. Or buy it in bulk at a bankruptcy auction, and you'll get it for less than the cost of manufacturing.

That's how all commodities are sold, be they toilet paper, gold, or pork bellies. The price you see in the paper is the current price most people are paying, but if somebody can get a deal through a bankruptcy, foreclosure, or salvage operation, they can make a lot of money. The ideal is to buy low, sell high.

If you are an inexperienced buyer of gold, then only buy gold from gold markets. EBay is not a gold market; any price you pay will probably be more than what it's worth. You have no way to inspect the goods and verify the quality; a major purchase is inadvisable.

However, if you are looking at gold coins as a collector, EBay is a collector's market and can be a good place to buy a missing coin for your collection.

Know better? Leave your own answer in the comments!
[wprebay kw="cheap+gold+bars" num="0" ebcat="11116"]