A question that I ponder on occasion is what options will be available post-Y2k to redeem gold/silver? If there's the expected cash crunch will private dealers be able to redeem anything at all? Will banks be under strict reporting guidelines and/or limitations on all redemption requests? Whose standard will be used for establishing a redemption price? (London, NY, Tokyo?) It just seems that so much discussion centers around acquiring precious metals, but very little talk about how we can liquidate in the future? Any thoughts?

-- saveamerica (gfc40@hotmail.com), August 10, 1999

Answers

My thoughts exactly!

I think gold is always a good option to be in, but redemption is certainly somthing to think about.

I think of gold only for very serious economic problems!

-- y2knotsook com (y2k@notsook.com), August 10, 1999.

Don't forget capital gains taxes when reselling gold back to dealers (28% tax, I believe). Unless the price of gold goes up really high, you may get burned in taxes...

-- mmmmmm (mmmmmm@aol.com), August 10, 1999.

"Don't forget capital gains taxes when reselling gold back to dealers (28% tax, I believe). Unless the price of gold goes up really high, you may get burned in taxes... "

-- mmmmmm (mmmmmm@aol.com), August 10, 1999.

Ahhh, that's X% paid on the GAINS (just like stocks). They don't just take 28% of whatever you sell it for!

-- gofigure (gofigure@getaclue.com), August 10, 1999.

Having gold and silver gives you options where you might otherwise have none. Perhaps as a bartering tool in a Y2K meltdown. And precious metals may increase in value because of a total lack of confidence in paper, including fiat money, due to a global financial market collapse.

Look, the worst case is that nothing like the above happens (which would be wonderful), and the price of precious metals continues to plummet. Everything has a risk, and precious metals are no exception. But in view of Y2K, and in view of our debt strangled global economy, having a "diversified portfolio" that includes physical possession of gold coins, silver coins, and cash, is worth peace of mind alone.

-- Jack (jsprat@eld.net), August 10, 1999.

Jack is of course right - diversify.

mmmmmmmm,

If I sell a gold eagle to a dealer for $500, I will have made $200 "profit". the dealer is not going to tax me, he has no idea when i bought the eagle or what I paid for it.

How does the taxman know I've sold me eagle? And what price I got?

Later,

-- Andy (2000EOD@prodigy.net), August 12, 1999.

My brother the IRS agent will want to know. Unless the dealer deals strictly in cash, but somewhere along the way someone will have to pay the piper....and someone will eventually get caught! They IRS is paying a "finders rat fink fee" for turning in tax evaders. May be more lucrative than buying gold.....Doesn't that scare you people? May even come to the point where you turn in your neighbor for having extra food and guns! The day is near for sure!

-- %%%%% (%%%%%@%%%%%.com), August 12, 1999.

Then your Brother is a scumbag, and so are you for posting lies - who are you trying to frighten???

There are plenty of dealers and private individuals (ever hear of bartering) out there who will buy gold without requiring a sosec number...

-- Andy (2000EOD@prodigy.net), August 12, 1999.