There are four types of IRA approved precious metals: gold, silver, platinum and palladium. Of these four, gold and silver are the most popular. Silver is far less expensive than gold to invest in, but the value and demand for gold are what make its prices so high.
You can invest in coins, bars, or proofs containing any of these metals. These are the only choices you have for investment in precious metals IRA rollover accounts. Gold is recommended. Even though it’s fairly pricey, it’s still a good investment. You’ll often have to buy ten times as much silver to equal the price of a bar of gold.
Gold bars come in many different sizes. It is recommended to stick to one ounce bars and coins. They are easier to transport and invest in. Bars that are 10-16 ounces are heavier, require more money up front, and are very difficult to transport.
There is also a list of precious metals that you cannot invest in. Each precious metals IRA rollover company is required to give you a list of coins you cannot buy using funds from your IRA. This protects you from being scammed or investing in something that isn’t worth the money.
Setting Up a Precious Metals IRA Rollover Account
There are many Gold IRA rollover companies out there and each company will handle the setup of this account differently. Some of them will require a minimum investment. Some of them won’t. You may have to pick a vendor, a dealer or a depository.
The requirements for setting up an account should be clearly laid out on the website. If they have trusted or preferred companies they work with, those should also be listed. Normally you can set up your account online, but some companies have you call a phone number to set it up.
Once you rollover your account, it’s now self-directed. That means that you decide how your money is invested. A traditional IRA account does not allow this. You will not be directly handling your precious metal, but you will be deciding what to invest in and how much to invest.
Sometimes it can take a while to set up a rollover account. The average length of time is usually a few weeks. Sometimes it can be done in a few days. To get a good estimate of how long it will take, contact the company directly. The FAQ usually lists a general or average time frame, but for something specific, you may want to contact the company.
One more thing: most IRA rollover companies will tell you that you can start a new account with them. Consider the fees and the amount you’ll be investing before you begin a new gold IRA rollover account. You’ll often find that it’s more economical to rollover an aged account than to start a new one, but ultimately, the decision is up to you.
Don’t set up your account until you have all your questions answered. You don’t want to jump into something without knowing everything there is to know about it. This is your retirement fund. It’s important to handle it responsibly.
Gather all the information you need to make an informed decision. Think it over for a few days. Don’t jump the gun. If you are smart, and you invest wisely in precious metals, it’s possible that your gold IRA can pay for itself ten times over.