ARTICLE SUMMARY:

In Perpignan, a gold buying and selling store is suspected of defrauding some twenty savers, mainly pensioners, with unrealistic promises of returns on gold coins and a sudden closure of the business. This case is a reminder that, against a backdrop of geopolitical tensions and a heightened search for safe havens, swindlers are increasingly targeting physical gold. However, understanding the methods used and adopting a few simple reflexes can help you secure your bullion and investment coin transactions, both for purchase and resale, particularly in the case of jewelry.

1. GOLD SCAMS: LESSONS FROM PERPIGNAN

For several days now, the Perpignan gold coin affair has been making the headlines. A gold buying and selling store in the city center is suspected of having set up a fraudulent scheme: promises of high returns, unrealistic coin valuations, sudden closure and disappearance of the manager. According to several eyewitness accounts relayed by BFMTV, the cumulative loss was close to one million euros, mainly affecting savers close to retirement. The media report that at least 21 complaints have been lodged.

This affair comes at a time when gold is sought-after as a safe-haven asset, in an environment marked by persistent inflation, public indebtedness and geopolitical tensions, particularly in Eastern Europe and the Middle East, which, according to the World Gold Council and the ECB, make the yellow metal even more attractive to governments and individuals alike.

2. WHAT HAPPENED IN PERPIGNAN: A TEXTBOOK CASE

The Perpignan scam is explained below:

- Promises of high, "guaranteed" returns on gold coins, of the order of 20% a year.

- Contracts presented as simple and risk-free, often explained orally rather than in writing.

- Overvalued coins or suspicion of counterfeit coins.

- Transactions sometimes in cash, with little traceability.

- Sudden closure of the store and disappearance of the manager, leaving customers without a contact.

This type of set-up combines a "too good to be true" investment with a misappropriation of the trust placed in physical gold.

3. THE MOST COMMON PHYSICAL GOLD SCAMS

Many of the most recent scams are based on the same principles as other investment frauds:

- False returns on coins or bullion: promises of regular gains, independent of real market fluctuations, whereas gold remains an asset whose value fluctuates, as we remind you in this guide.

- Counterfeits and over-valuation: plated coins, tungsten-filled ingots, or lower quality than advertised.

- Fake jewelry or ingots in over-the-counter transactions (parking lots, roads, pseudo-good deals "in a hurry").

- Buying back undervalued jewelry: no transparent weighing, no testing, withholding of information on the alloy's title.

According to the World Gold Council, economic and geopolitical uncertainties are boosting gold purchases, which automatically attracts crooks.

4. BEST PRACTICES FOR BUYING AND SELLING PHYSICAL GOLD

Here are the best practices to adopt when buying gold bullion or coins:

1. Choose an identifiable contact

- Choose brands that are physically present and recognized in the public arena, with a verifiable SIREN number.

- Check seniority, reputation and opinions from several sources.

- Refuse aggressive approaches or meetings in non-professional locations (hotels, parking lots, private homes).

2. Check the consistency of the offer

- Be wary of any promised return: physical gold is not a coupon product.

- Demand clear written information: nature of coins or ingots, quantity, premium, storage conditions.

3. Secure the transaction

- Prioritize payments that have traceability: like transfer and blue card. 

- Always ask for a detailed invoice (weight, purity, precise designation, quantity).

- For jewelry, demand that it be weighed in front of you, with the title and price per gram indicated, as suggested in this " Selling gold jewelry " guide.

4. Protect yourself against fakes

- Favoring recognized bullion coins and ingots with marks, numbers and certificates where provided.

- When in doubt, have your gold checked by a qualified professional (density tests, X-ray fluorescence, etc.).

5. IN CASE OF DOUBT OR SCAM

In France, the Info Escroqueries number 0 805 805 817 is available. We also recommend that you :

- File a complaint as soon as possible.

- Gather all documents (invoices, written exchanges, advertisements, contracts).

Physical gold remains a relevant asset protection tool in an unstable world. But like any tangible asset, it requires careful selection of the right people to deal with, and the observance of a few simple rules, far removed from the promises of "miracle" returns that are the fuel of scams.