It has never been more important to own physical gold and silver than it is right now. We have experienced 3 & 1/2 years of a president who is barreling full speed into the maw of the Marxist machine. There is simply no other explanation for the chaos that his programs have wrought on this nation. The economy is in a shambles, gas prices have doubled since he took office, unemployment is above 8%, if you believe the numbers that the Pravda media put out, and Obamacare is lurking in the shadows ready to destroy the medical system. We dont have the money to pay for this insanity even if we wanted to! You could take all of the money that the wealthy make and you would only run the government for about six months and then you would be broke because the wealth producers were destroyed in the process.

So then, why is our exalted leader following these feckless policies? The answer is really quite simple. He is following the Marxist handbook to the letter and is trying to collapse the monetary system so that the populace will have nowhere to turn but the government. Within the chaos that he trying to orchestrate, he will set the foundation for socialist rule for the foreseeable future. He will have secured his power and that of  his Progressive party for generations to come. This could easily set the stage for the end of the United States as we know it, even if Romney defeats him. Rolling back all of the traps that Obama has laid will be a formidable task for the most conservative candidate, let alone Mitt Romney. All we can do is try to roll back the assault on freedom that has been perpetrated by the candidate of Hope and Change

So what do we do now? I think that it is imperative for everyone to work as hard as they can to replace Obama this November and to prepare for the worst if the effort fails, or if Mitt Romney is not up to the task of restoring order to the shambles that Obama has made of The Greatest Nation on Earth.

Lets Start By Being Practical!

Gold and silver stocks and ETFs are a great way to build wealth during these troubled times, but when the government  collapses the monetary system, or if it does not get that far and hyper-inflation kicks in, you can expect the government to seize your IRAs  and give you a meager interest rate on the assumption that you are not capable of managing your own money. Big Brother will step in and help you to survive the chaos that they created!  They practical solution to this scenario is to eliminate your debt and own gold and silver coins. The need to eliminate all but fixed rate property debt needs no complicated explanation. Revolving debt and variable interest rates will swallow you whole as inflation ramps up. It is not too late to systematically start using your investment earnings to get rid of your variable rate debt.

Your fixed rate real estate mortgage is not a detriment because your rate is locked in and you will be paying it back with money that is worth less than what you borrowed. In this instance, inflation will help you to get out from being under water and gain back some equity, even if the dollars are worth less.

Now, Lets Look at What Gold and Silver You Should Buy !

Those of you that are frequent visitors of this site know that I like small denominations of gold and silver coins for two very important reasons. One, we can afford them and two they stay off the radar. The fewer people that know you own gold and silver, the better. During troubled times you dont want neighbors, acquaintances or the government to know that you are holding precious metals. As they used to say, loose lips sink ships. Keep your purchases as quiet as you can and avoid a paper trail. Large purchases are always tracked by a paper trail. Take the time to purchase in small amounts and you can avoid that complication. Buy purchasing in small amounts, you also lower your capital outlay and can take advantages of any dips in the price that always occur as metals trade. Remember, nothing goes up, or down for that matter, in a straight line. there are always corrections.

Gold is expensive at approximately $1,750 per ounce, so you can avoid the high cost by purchasing  1/10 ounce, quarter ounce or half ounce coins. Do your homework and pay as close to spot as you can for your gold coins. If you know what gold is trading for on the day that you buy, you can get much better deals when talking to the dealer, or you can choose to wait and buy on a sell-off day.

Silver is much more affordable for the average buyer because at $33 and change per ounce, almost anyone can go out and buy a few coins. Be sure to stay away from numismatic coins and buy only bullion coins, or junk silver which has a silver content of approximately 90%.  Numismatic coins are collector coins and their price has nothing to do with the actual content of gold or silver in the coin.

Where to Buy Gold and Silver at the Best Prices

I will categorically state that the best place to buy gold and silver coins is at a pawn shop. All you have to do is know what the spot price is for metal that you wish to purchase and see what the pawn broker is asking at the time. Dont be afraid to comparison shop at a lot of different pawn shops. They have bills and expenses that they have to meet, so they will often be extremely competitive based on their needs at the time. They also have the luxury of acquiring coins way below their actual cost because some of their clients are desperate for money at the time. When these clients fail to meet the terms of their agreement, the pawnbroker takes possession of their coins at as low as 50% of their true value. This gives them the leeway to deal with you if they need cash. They are simply in the right place at the right time to come across people that need to unload their gold or silver in exchange for quick cash.

Once you get to know the pawnbrokers in your area, you can establish a relationship with them and some will even call you when they have acquired coins in a good deal. The more that you do it, the more comfortable you will become with the process. Dont be afraid to search the internet web sites that sell gold and silver coins, so that you become more comfortable with whats out there and what the values are.

Lets Review!

1. Purchase only bullion coins, or Junk Silver and dont spread the word around. Keep your business to yourself.

2. Buy in small quantities when the price dips.

3. Thoroughly do your research on the price of the coins and know the spot price of the metal when you go out to buy.

4. Get to know your local pawnbrokers because you can find fantastic deals if you are in the right store at the right time!

There is no doubt that things are going to get markedly worse before they get better, so the best thing is to be prepared for which ever way the cards fall!

Till next time, good luck and good trading!

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