Costco has become an unexpected player in the gold market, selling gold bars to its members at competitive prices. But is buying gold from Costco a good deal? Here’s what you need to know.
Why Is Costco Selling Gold?
In 2023, Costco began offering 1-ounce gold bars (and sometimes silver) to its members, capitalizing on the growing demand for precious metals as a hedge against inflation and economic uncertainty. These bars sell out quickly, often within hours of restocking.
What Gold Does Costco Sell?
Costco primarily offers:
✔ 1-ounce PAMP Suisse Lady Fortuna Gold Bars (24-karat, .9999 fine gold)
✔ Other reputable brands, such as Rand Refinery
✔ Limited quantities, available online only (not in stores)
Pros of Buying Gold at Costco
✅ Trusted Seller – Unlike some online dealers, Costco is a reputable retailer with strong buyer protection.
✅ Competitive Pricing – Costco sells gold close to the spot price (the current market rate), sometimes even below dealer premiums.
✅ Members-Only Perks – Executive Members earn 2% cash back on purchases.
✅ Easy Returns – Costco’s generous return policy applies (though check fine print for precious metals).
Cons of Buying Gold at Costco
❌ Limited Availability – Gold bars sell out fast, often requiring alerts for restocks.
❌ No Bulk Discounts – Costco limits purchases (typically 1-2 bars per member).
❌ No IRA Eligibility – Costco’s gold bars are not IRA-approved, meaning you can’t hold them in a retirement account.
❌ Shipping Delays – Some buyers report slow delivery times.
Is Costco Gold a Good Deal Compared to Other Sellers?
Costco’s prices are competitive, but you should always compare:
🔹 Premiums Over Spot Price – Dealers often charge 1-5% over spot; Costco is usually on the lower end.
🔹 Reputation – Avoid shady online dealers; Costco is a safe choice.
🔹 Liquidity – PAMP Suisse bars are widely recognized and easy to resell.
Who Should Buy Gold at Costco?
✔ First-time gold buyers who want a trusted source.
✔ Investors looking for small, convenient purchases.
✔ Costco members who want cash-back rewards.
Who Should Look Elsewhere?
✖ Large-scale investors (due to purchase limits).
✖ Those wanting IRA-eligible gold (consider approved dealers like APMEX or JM Bullion).
✖ Buyers needing immediate liquidity (local dealers may offer faster transactions).
Final Verdict: Should You Buy Gold at Costco?
If you’re a Costco member looking for a simple, low-risk way to buy physical gold, it’s a solid option. However, if you need larger quantities, IRA-approved metals, or the lowest possible premiums, you may find better deals elsewhere.
Tip: Always check the current spot price (e.g., on Kitco) before buying to ensure you’re getting a fair deal!