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In recent years, Chip gold has become one of the most popular means for the smaller scale gold investor to buy gold bullion affordably. So, what exactly is it? “Chip gold” is a small gold bar, normally vacuum-sealed in a package which is shaped like a credit card. This package has a lot of “eye appeal” and in part explains why this product has become successful so quickly. The Chip gold weights are typically, in the range: 1g, 2.5g, 5 g, 10g, and 20g. Purity is normally 99.99% (Four nines’ gold). Immediately you can see the attraction of the product: Here is a way of buying gold, which is accessible to almost everyone. By keeping the ingots to these small sizes, there is a piece of gold suitable for every budget. The main drawback with this type of gold is that the price is often at a considerable premium to the underlying spot value of the metal. Clearly, there is a premium attached to manufacturing something like this, but to get the best bargain, I advise comparing prices & shopping around. Because of the nature of the product there is a ready re-sale market. If you look on eBay you will see many vendors, so you can rest assured that when you wish to sell your chip gold, there should be a market available. One of the traditional areas of concern with gold bullion bars is fraud. To date, I have not heard of there being any significant fraud attached to this type of product. No doubt this is because the sheer cost of producing such elaborate fakes would not make frauding such a low cost product profitable. But for peace of mind, some of the chip gold products also contain holograms, barcodes, as well as serial numbers. Having said that, you still need to take care when you make your purchase. Look around at the major suppliers (Google will reveal them) & look for buyer feedback, if you plan on buying online. One of the outstanding names producing chip gold is PAMP Suisse. However, one of the features of chip gold is that it is now being stocked by bricks & mortar retailers. Many jewelers and department stores have started selling these small ingots- so this gives you a chance to see & hold the product before you buy. Indeed, in some countries, vending machines selling chip gold have been set up! The card which carries the chip assures the customer that the gold ingot is of the stated purity and weight. In other words, it acts as the assay certificate that you associate with larger gold bars. For the novice gold buyer, chip gold offers the lowest cost means of getting your hands on a piece of the gold pie. Till next time, Happy gold buying, Paul If you would like to learn more about gold & bullion coins, then visit my websites for free information: http://www.buybullioncoins.com/blog/ http://www.value-of-gold-coins.com
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