Goldco Pros and Cons
Goldco's main strengths are its focus on physical metals, the choice between IRA and direct purchases, a range covering gold, silver, platinum, and palladium, and an advertised buyback program. Its main drawbacks are the minimums, recurring custodian and storage costs for IRAs, the premiums built into product prices, and the fact that metals produce no income. Whether the balance works depends on your circumstances.
The Pros
You own physical metal
Goldco sells actual coins and bars. In an IRA they are held at an independent insured depository; in a direct purchase they belong to you outright. Some people prefer this to exchange-traded funds or mining stocks because there is no fund manager or company operating risk between them and the metal. For the trade-offs, see physical gold in an IRA vs a gold ETF.
Two ways to buy
You can hold metals inside a self-directed IRA funded by transfer or rollover, or buy directly with non-retirement money. Having both under one company can simplify things if you want some of each.
Four metals
Goldco offers gold and silver and states that it also offers platinum and palladium. That gives you options if you want to diversify among metals. See platinum and palladium at Goldco.
Recognized bullion coins on the list
Alongside themed coins, Goldco lists widely recognized sovereign coins such as the American Gold Eagle, American Gold Buffalo, Gold Maple Leaf, American Silver Eagle, Silver Maple Leaf, and Britannia. Widely traded coins tend to be easier to value and resell.
Paperwork coordination
Goldco's specialists help coordinate custodian forms and transfers, and Goldco says it works with all major self-directed IRA custodians. For people unfamiliar with self-directed accounts, that support can reduce friction.
An advertised buyback program
Goldco advertises buying back IRA-approved coins "at the highest price." Having a stated exit route is useful, though you should read the written terms. See the buyback program.
Published fees
Goldco publishes a fee statement, which makes it easier to compare costs with other companies.
The Cons
Minimums may be out of reach
Goldco's IRA minimum appears in its published fee statement below, and its website lists a $10,000 minimum for direct purchases, according to Goldco's website at the time of writing; confirm current terms. Smaller amounts may not qualify.
Gold IRA Fees
The required minimum purchase at Goldco to start a gold IRA is $25,000. Goldco’s preferred Custodian charges a flat annual account service fee which includes a one-time IRA account set-up fee of $50. as well as a $30 wire fee. Annual maintenance is $100, and storage is $150 for segregated storage or $100 for non-segregated storage.
Fees for gold storage and custodianship can vary depending on the company you select to handle these services (required by the IRS, as all IRA assets must be managed by a custodian). Depending on the Custodian, storage fees can range from $10 to $60 per month, or as a percentage of assets, from 0.35% to 1% annually.
Recurring costs to hold metals in an IRA
Custodian maintenance and depository storage charges recur every year you hold metals in an IRA, as Goldco's published fee statement above shows. Over many years they add up, and they are paid whether metal prices rise or fall.
Premiums over spot
Every product is priced above the metal's spot value. Themed and commemorative coins usually carry higher premiums than plain bullion, and you may not recover that premium when selling. See premiums and spreads.
No yield
Physical metals pay no interest or dividends. Any return depends entirely on price changes, and prices can fall for long stretches. The World Gold Council's Goldhub publishes historical price data.
Not every coin qualifies for an IRA
Goldco marks at least one silver coin on its site as not IRA eligible. You need to confirm eligibility for each product rather than assume.
Specialists do not give advice
Goldco's precious metals specialists are not licensed to give financial, legal, or tax advice. You will need your own professional for questions about suitability and taxes.
Weighing the Two Lists
The pros and cons above are mostly structural: they apply to how physical precious metals work as much as to Goldco. The questions that decide whether the balance favors you are personal:
- Do you want physical metal specifically, or just price exposure?
- Does the amount you are considering comfortably exceed the minimums?
- Are you prepared to hold long enough for recurring costs and spreads to matter less?
- Would you rather handle storage yourself or have a depository do it?
Comparing Goldco against a couple of other companies with the same criteria helps. See Goldco alternatives and the full Goldco review. The broader trade-offs of metals in retirement accounts are covered in precious metals IRA pros and cons.
Frequently Asked Questions
What is the biggest drawback of buying through Goldco?
For many people it is the combination of minimums and recurring IRA costs, which matter most for smaller accounts.
Is the buyback program a strong advantage?
It can be convenient, but it does not remove the spread between buy and sell prices. Read the written terms.
Does Goldco offer anything besides gold and silver?
Yes. Goldco states it also offers platinum and palladium.