Cost of selling · What Borrowing Costs
The Other Side of the Ledger
A page of arguments for borrowing is worth nothing without the arguments against it. Here they are, and they are real.
No credit check and no obligation. If borrowing is the wrong answer for your situation, you will be told that first.
The whole argument, in one line
Selling is permanent and can be taxable.
A loan is neither.
65%
Advance against value
$15k
Minimum loan
Same
Bars returned
Live market
Business-purpose loans only. Not available in Nevada, Vermont, North Dakota and South Dakota.
What it actually means
Borrowing is not free and it is not risk-free. You take on a monthly obligation, you accept a margin call mechanism, and you pledge an asset you could otherwise have simply sold. If any of that does not fit your situation, selling is the better answer and we would rather you reached it here than after signing.
The specifics
- Interest is a real cost, charged monthly, for as long as the loan runs.
- A margin call is possible if metal prices fall materially — you add collateral or pay down.
- You can only access up to 65% of value. A sale gives you closer to all of it.
- Default means losing the collateral. That is what secured means.
- Not available in Nevada, Vermont, North Dakota or South Dakota.
- Business purpose only. A personal need cannot be funded at all.
The counter
Where this argument is weak
Selling has none of these problems. It is simple, final, and gives you more of the value today. That simplicity is worth something, and for plenty of people it is worth more than the position.
Put a number on it
Instant estimate
What could you borrow?
Enter the ounces you hold. We advance up to 65% of market value.
| Metal | Spot / oz | Your oz | Value |
|---|---|---|---|
| Gold | $4,600.00 | $0.00 | |
| Silver | $69.00 | $0.00 | |
| Platinum | $1,840.00 | $0.00 | |
| Palladium | $1,329.00 | $0.00 |
Estimate only. Final advance rate and terms are confirmed after your collateral is inspected and verified. Spot prices are indicative and move continuously. Minimum loan is $15,000 (about $23,077 in collateral value at our 65% rate).
These are business-purpose loans and are not offered for personal, family or household use. Not available in Nevada, Vermont, North Dakota and South Dakota. If metal prices fall materially we may contact you about adding collateral or paying down the balance to keep the loan-to-value in range.
FAQ
Common questions
- What triggers a margin call?
- A material fall in metal prices pushing the loan-to-value out of range. You add collateral or pay down the balance to bring it back.
- What happens if I cannot repay?
- The collateral covers the loan. Talk to us early rather than late — every version of this goes better with notice.
- Why only 65%?
- The margin absorbs a price move during the term. A lender advancing 90% against a volatile asset is taking a risk that ends up being yours.
- Are there fees?
- No origination fees and no prepayment penalties. Ask for the full terms in writing before you sign anything.
The other costs
The Spread
Charged once when you sell and again if you buy back in. Changing your mind has its own price.
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The Tax Event
A sale can be a taxable disposal. A loan generally is not. The difference is structural, not clever.
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Losing the Position
The reasoning that made you buy metal does not usually change because an unrelated invoice landed this month.
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Replacement Cost
People price the buy-back at the price they sold for. It is almost never still that price.
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Selling on Someone Else's Schedule
When a supplier or a tax deadline picks the date, the price is whatever the market happened to be doing.
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Scenarios
Where it shows up
Covering a Slow Quarter
A permanent decision about the metal, made in about ten minutes because one quarter came in short.
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Liquidating Dealer Inventory
Selling stock into a soft bid because the calendar said so, not because the bid was ever fair.
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Selling at a Market Low
Borrowing to avoid a sale at a low is a financing decision if you can service it, and a bet if you cannot.
Explore →
Next step
Run it both ways before you decide.
No credit check and no obligation. Tell us what you hold and what the money is for, and if selling is the better answer for your situation you will be told that first.
Business purpose only. Not available in Nevada, Vermont, North Dakota and South Dakota.