Safety deposit box ...and krugerrands?

Question

I am intersted in investing in gold krugerrands and would like to store them in a sfety deposit box.

Does anyone know where I can rent a safety deposit box in the U.K.... particularly in the NE of England.

I have accounts with HSBC and Nationwide do either of these provide deposit boxes?

Could someone tell me the amount I will have to pay for a safety deposit box if possible.

Can anyone tell me where the best place or web site to buy krugerrands from, as there are many websites selling them but obviously it is a lot of money that is at risk from dodgy websites and sellers.

Answer 1

Why restrict yourself to only Kruggerands?  Going after just one thing limits you and you may end up paying more than you need to.  There are other units of gold bullion that are just as respected:  The American Gold Eagle, the Canadian Maple Leaf, the Chinese Panda, the Britannia, and the Australian Nugget all contain one Troy ounce of pure gold.  Some have a purity of .917 as opposed to .999 but those coins weigh a few grams more than an ounce.

These gold coins can also be bought in fractional sizes.  Dealers are going to charge you a premium of ten percent or more over 'spot market' prices, unless you buy in large quantities.  You can do much better buying from private sellers.  I like eBay myself.  Once in a while you can get a bargain, when a seller doesn't know exactly what they've got and misdescribes it.

This is less of an issue with modern bullion coins, but happens moreso with older gold coins.  In my opinion, this is the better way to invest in gold.  But it takes more work on your part.  You have to study up on the various issues.  Older gold was not issued in nice round denominations.  British sovereigns contain just under a quarter of an ounce of pure gold, but if you shop around, you can buy them for less per gram than you can the modern ounces or fractional units.  Many older gold coins have numismatic value in addition to the bullion, and sometimes you can find them being sold for bullion prices (plus the premium), but it takes research to learn what to buy.  When gold was around $700 I bought a Turkish coin weighing a bit over an ounce (1.06) for $750, dated in the 1870s and in extra-fine condition (not Mint like modern bullion) and sold it for $1200 when gold was $800.  This type of investment, though, is not a buy and stash away investment, it's an active buy and sell trade.  The point is that bargains can be found if you get an education.

I can't help you with the safe deposit box deal, as what applies to me in New York may not be the same for you.  But I'm confident that a world bak like HSBC has them.  It's a safe place to keep your gold, but understand what the rules are regarding access to it before you go that route.

Study up and good luck.

Answer 2

I am sure the major banks have safety deposit boxes you can rent. I wouldn't think they are cheap. Why not buy Krugers and have them held offshore. Isn;'t there a problem with VAT if you hold them here? I would buy them personally from a reputable dealer (Spinks, Stanley Gibbons) rather than over the internet. Watch out for the buying/selling spread, this should not be too wide.

Answer 3

I don't know how things work in the uk, but here in the states, most banks offer safety deposit boxes.  I pay 35 dollars a year for mine.  But my box is mid sized so I can store some stock certificates also.  So you may be able to buy a smaller box & also cheaper for your kruggerands.

I buy my kruggerands thru a local coin dealer.  That way you can get to know who you are buying from, handle the coins, etc.  Kruggerands are bullion coins, so you pay 5 - 10 dollars over the spot price of gold.  Just enough to give your dealer a little profit & incentive to sell them.

Answer 4

Buy scrap gold.  I sold my mom's dentures and other stuff to a local guy who ran an ad.  The Krugerrands are inflated.  I hate the safe deposit box idea.  Banks go out of business.  You have to find a place in your home to hide them.  Don't buy gold if you are a renter.  .

Answer 5

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