So why do they need all this info?

[midevilmark]

I called FideliTrade in Delaware today to inquire about the purchase of some gold and silver Eagles. I explained that I would like to pick them up and would be paying cash, at which point the young lady on the phone explained I would have to open an account to do so. I asked what that would entail and she said they would need a driver's license and SSN. I said for what, she said that was how they do things, so I told her, then you just won't be doing business with me.
Why do they need all of that information when there is no law that requires it? I don't need to produce that sort of info to buy jewerly. I don't want my name on some list for a visit when gold is outlawed again, so what gives???

 

[JSutter]

How much were you trying to buy? I think by law under the Patriot Act if you are spending $10,000 or more in cash they're required to collect that info. If it is under that they shouldn't need it.

 

[midevilmark]

$2000 worth, well under the $10,000 cash threshold for reporting. Maybe more people should call up and complain when told what they have to do to buy from them. Normally I would just move on and buy somwhere else, but the "great" state of NJ would charge me 7% sales tax just to protect my wealth... not going to fly here. That is why I wanted to buy in Delaware, no sales tax.
Why do I need to show ID to buy federally issued coins???

 

[smartguy911]

maybe they have some kind of tax law that requires u to pay taxes on Gold you buy.

 

[JSutter]

Could just be their company policy. Find another dealer in Deleware.

 

[fx57]

From www.golddealer.com:

Which coin transactions are reportable to Uncle Sam and which are not? The Industry Council For Tangle Assets suggests the following rules: ICTA Link (link below) An example might also help: When an investor sells 25 gold Krugerrands a dealer must fill out a federal form. The same investor selling 25 gold Eagles requires no such form. Why? Because these rules are not consistent. So if government reporting requirements bother you, do your homework before investing and avoid products which fall into the reporting area. There are many gold bullion coins that have no reporting requirements. If you're an advocate of the secrecy gurus, and can visit us in person, take advantage of "no name" invoices that are legal and make up a great number of our daily transactions. The buying of rare coins is not reportable unless you pay more than $10,000 in cash.

More info:
http://www.golddealer.com/selected_facts.html

 

[JSutter]

If you're spending more than $10,000 break it up into two or more smaller purchases to sidestep that rule.

 

[jkm1864]

I agree I wouldn't have bought anything and wish everyone was like that. Personaly all this information gathering is really getting old quick. I mean what is next cameras at every street corner ... Oh wait we already have that.

 

[midevilmark]

Called back today, and they told me that this information is not reported per se, but kept on file. It is a requirement of the "Know your Customer Act". If the Government wants the info it can show up and get it, but otherwise nothing to see here, just keep moving along folks.
Needless to say I won't be doing business there. I would much prefer to pay more over spot and still have my gold and silver when the SFTF vs paying 5% less and having a road map to my front door for G-men to show up and demand my coins.
What are they worth if you don't own them anymore?