Goldco vs Lear Capital
If you want physical gold or silver delivered to you rather than held in a retirement account, compare Goldco and Lear Capital on how each handles a direct purchase from quote to doorstep. Goldco sells metal directly as well as for IRAs, and its website lists a $10,000 direct-purchase minimum at the time of writing (confirm current terms). Lear Capital is another precious metals company; we do not state its minimums, fees, or products, so check its current published terms.
How Owning Metal Directly Differs From Holding It in an Account
In a direct purchase, you pay with your own after-tax money and you own the metal outright. There is no custodian, no depository requirement, and no IRS eligibility test on the products, so themed or non-IRA-eligible coins are allowed. In exchange, you are responsible for storage, insurance, and record keeping. Goldco's own catalog includes at least one silver coin marked not IRA eligible, which can only be bought this way.
Our page on buying metal from Goldco outside an IRA covers Goldco's process. Below are the stages where Goldco and Lear Capital might differ, with the question to ask at each.
Stage 1: The Quote and the Price Lock
Metal prices move throughout the trading day, so companies typically lock a price when you confirm an order by phone or in writing. Ask both companies:
- When exactly is my price locked, and is the confirmation recorded or emailed?
- What is the premium over spot for each product on the quote?
- What happens if I cancel after the price is locked, and are there cancellation charges if the market moves?
Our guide to reading a precious metals purchase agreement explains the clauses that usually govern these points.
Stage 2: Paying for the Order
Ask which payment methods are accepted and whether price differs by method. Bank wires and checks are common; some firms have deadlines for payment to arrive after a price lock.
If you pay in cash or certain cash equivalents, be aware of federal reporting. Businesses that receive more than $10,000 in cash in one transaction or related transactions must file IRS Form 8300. This is a routine reporting requirement, not a penalty, but you should not split payments to avoid it, which is itself prohibited.
Stage 3: Shipping and Delivery
Ask each company:
- How long after payment clears does metal usually ship?
- Is the package fully insured in transit, and who files a claim if it is lost?
- Is a signature required, and is the packaging discreet?
- Can I inspect the contents on arrival and report a problem within a set period?
When the box arrives, check every item against the invoice before storing it. See shipping and delivery of precious metals for a fuller checklist.
Stage 4: Storing What You Bought
Once metal is in your hands, storage is your decision: a home safe, a bank safe deposit box, or a private vault. Note that FDIC insurance applies to deposits, not to the contents of a safe deposit box, so check what your homeowner's or a specialty policy covers. Our page on how to store gold at home covers practical options.
Stage 5: Records and Taxes When You Sell
Keep each invoice. It records your cost basis, which you will need when you sell. The IRS treats physical precious metals as collectibles, and long-term gains on collectibles may be taxed at a maximum federal rate of 28%, according to IRS Topic 409. Short-term gains are taxed as ordinary income. A licensed tax professional can tell you how this applies to you.
Ask both companies whether they buy back metal purchased directly, and on what terms. Goldco advertises a buyback program for IRA-approved coins "at the highest price"; ask how it applies to direct purchases and read the written terms.
Weighing Cost on a Direct Purchase
With no custodian or depository, the main cost of a direct purchase is usually the premium you pay over spot, plus shipping and any insurance you add. That makes product choice especially important. Standard bullion coins such as American Gold Eagles, Gold Maple Leafs, and American Silver Eagles tend to have lower premiums than themed or commemorative coins. Ask each company to quote the same products so you can compare like with like.
Scenario: Two Quotes for the Same Order
Suppose a buyer wants a mix of one-ounce gold coins and silver coins delivered to their home. They ask Goldco and Lear Capital to quote identical products on the same morning, request each company's purchase agreement, and compare: premium per coin, payment deadline, cancellation terms, shipping insurance, and written buyback terms. Differences in any one of these can outweigh a small difference in headline price.
Frequently Asked Questions
Can I later move directly purchased metal into an IRA?
Generally no. IRA contributions are made in cash, not in metal you already own. See IRS Publication 590-A and ask a tax professional.
Does Goldco ship direct purchases to my home?
Direct purchases are owned by you outright. Ask Goldco to confirm its current delivery options and terms when you request a quote.
Is buying gold with cash reported to the IRS?
Businesses must file Form 8300 for cash payments over $10,000 in one or related transactions. It is a reporting rule, not a tax.
Where can I read more about Goldco?
Start with our Goldco review, then compare using our company scorecard.