I was watching the Dylan Ratigan show on MSNBC and saw his report that Goldline has been shown to be grossly overcharging their customers.
Goldline is a company that sells gold coins while advertising on the internet and on television. Most of the television ads are shown on conservative networks with Glen Beck as a primary promoter.
In a recent investigation by Congressman Anthony Weiner of New York, Goldline was found to be charging customers huge prices for gold with very large mark-ups. This makes the gold being purchased an even worse investment compared to what it original would be if bought with a low mark up.
I have always been opposed to investments in gold. It makes sense as a small portion of an overall portfolio when purchased at a low price. It also might make sense to make a large purchase and sell it a few weeks later to cash out at a higher price, but this is a very risky way to invest. However, the price of gold is at its highest point right now. It is a bad time to buy gold.
I also don't like gold investments because gold doesn't earn any interest which means there is no compounding interest being gained. Compound interest is the most important factor that allows people to gain wealth by investing.
My biggest problem with Goldline is that they are taking advantage of people who are being led into a bad investment decision with poilical fear mongering. Fox News personalities whip up fear about the economy and politics and then promote gold investments.
There are a lot of people who watch Fox News and believe that the world is going to hell and that gold will save them. Neither is true and that is why I am so opposed to what Goldline and Fox news personalities are doing.