Quick answer
The whole check takes under an hour and costs nothing. Any dealer worth sending money to will make each item easy to confirm from the front door of their website plus one or two free public databases. Anything that requires a phone call to a salesperson, or that only shows up on the dealer’s own marketing, is not verification.
Why buyer-side verification matters
Physical bullion is one of the few consumer purchases where the buyer typically wires four or five figures to a company they have never seen, then waits days for a small heavy box in the mail. There is no chargeback lever the way a credit card gives you on a phone purchase. If the dealer never ships, or ships something other than what you ordered, recovery runs through a state attorney general or a federal court. Preventing the mistake at step one is orders of magnitude cheaper.
The good news is that the same public records that make retail fraud possible also make retail verification easy. A US dealer leaves a public paper trail in at least four places: a Secretary of State business registration, a state precious metals dealer license where applicable, a Better Business Bureau profile once the company crosses a size threshold, and (for anyone doing IRA business) a listing with a self-directed IRA custodian who is themselves regulated. A one-hour desk audit against these sources catches essentially every high-risk dealer before you send money.
The eight-point paper check, in order
- State business registration. Look up the dealer’s legal name in the Secretary of State database of their home state. Confirm active status and note the formation date.
- Years in continuous operation under the current legal entity. Cross-check the SOS formation date, the WHOIS domain age, and the earliest press or directory listing.
- Membership in at least one recognized trade association: Professional Numismatists Guild (PNG), American Numismatic Association (ANA), or National Coin and Bullion Association (NCBA). Verify on the association’s own member directory, not the dealer’s website.
- BBB accreditation, letter grade, and complaint history at bbb.org. Read the last twenty-four months of complaints and the company’s responses.
- Written shipping insurance terms with a named carrier, a specific coverage cap, a documented claim procedure, and a clear point where risk transfers to the buyer.
- Published buyback policy with product-specific bid mechanics (posted bid or locked-in), payment options, and a written exclusion list.
- Verified customer reviews on multiple independent platforms: Trustpilot, Google Business, BBB reviews, and long-running community threads.
- Clean record with the state attorney general, plus a scan of CFTC, SEC, and CFPB public warning lists if the dealer markets IRA or investment-adjacent products.
Score each dealer against all eight before you make a first order. The rest of this guide walks through each item and shows where to look, what to expect, and where the common frauds hide.
1. Check the Secretary of State business registration
Every legitimate US dealer is registered as a business entity in at least one state, typically the state of the corporate headquarters and often several others where they do business. Registration is public and free to look up. Search “Secretary of State business search” plus the state name to reach the official state database, then look up the dealer’s legal name (not the marketing brand name).
Three things to note on the registration record. First, the entity type (LLC, corporation, sole proprietorship). Second, the formation or incorporation date, which is the earliest date the current entity can honestly claim to have been “in business.” Third, the entity status: active, delinquent, dissolved, or revoked. A dealer marketing itself as “trusted since 1998” whose entity was only formed in 2022 is either operating under a new legal wrapper or overstating history. Either case earns a follow-up question before you buy.
2. Confirm years in continuous operation
Years in operation is one of the fastest fraud filters. A brand-new online dealer with a five-figure ad budget and no operating history is not necessarily a scam, but the base rate of exit scams among sub-two-year dealers is high enough that most buyers should treat the first three years as the minimum threshold before wiring meaningful amounts.
Cross-check three date sources: the Secretary of State formation date (the legal floor), the WHOIS registration date of the primary website (the marketing floor), and the earliest press coverage or industry directory listing you can find (the practical floor). A dealer whose three dates cluster within a couple of years and align with the “since” year on their homepage passes. A dealer whose homepage claims two decades of history but whose entity, domain, and press coverage all start last year does not.
An honest change of legal entity (a family-owned coin shop that incorporated a new LLC after twenty years as a sole proprietorship) is legitimate but should be explained on the About page or on request. Silence when asked is a soft warning; contradiction is a hard one.
3. Look for recognized industry memberships
Trade association membership is not a guarantee of good behavior. It is a low-cost, low-friction signal that a dealer accepts a written code of conduct, submits to a peer complaint process, and has skin in an industry reputation game. Three US-focused memberships carry real weight.
- Professional Numismatists Guild (PNG): a peer-vetted association of coin and bullion dealers with a written code of ethics and a member complaint process. PNG membership requires financial responsibility standards and a track record of clean transactions. The public member directory is at pngdealers.org.
- American Numismatic Association (ANA): the largest US numismatic body, open to both dealers and collectors. Dealer members submit to the ANA code of ethics and dispute mediation. Directory at money.org.
- Industry Council for Tangible Assets, now the National Coin and Bullion Association (NCBA): the trade group that publishes the IRS 1099-B reportable-item reference list most dealers follow. Membership shows the dealer is plugged into current federal reporting guidance.
Verify membership on the association’s own directory, not on the dealer’s website (some dealers display a logo whose underlying membership has lapsed). Absence from these lists is not a hard fail: many small local coin shops operate outside the associations and are entirely legitimate. Absence combined with any other red flag on this checklist is where it matters.
4. Read the BBB profile and every complaint
The Better Business Bureau (bbb.org) is imperfect (letter grades correlate with paid accreditation status), but the free public complaint archive is genuinely useful. For any dealer above a very small size, expect a profile at bbb.org. Look at four fields.
- Accreditation status and date. BBB accredited since a specific year, or not accredited. Accreditation is not required to operate honestly, but a multi-year accreditation is a modest positive signal.
- Letter grade and history. A current A or A+ with no recent downgrade is standard for reputable dealers. A grade in the C to F range, or a recent drop, warrants reading the underlying complaints before proceeding.
- Number of complaints closed in the last 12 and 36 months. A large dealer will always have some complaints. The pattern matters more than the count: shipping delays and price disputes are ordinary, while allegations of non-delivery, coin swap, or refund refusal on more than a small fraction of orders are not.
- Company response quality. The BBB posts the dealer’s response to each complaint. Constructive, specific replies indicate a functional customer service operation. Boilerplate non-answers, or the absence of any response, are signals in themselves.
Cross-check the BBB profile against the state attorney general consumer protection database (checklist item 8) and against the CFTC and SEC investor complaint archives if the dealer markets IRA or investment-labeled products.
5. Read the written shipping insurance terms
Physical bullion shipping is a specialty logistics problem. Standard carrier coverage does not extend to gold or silver. A legitimate dealer publishes exactly which carrier they use, what the per-package coverage cap is, and where the customer picks up liability. If those terms are not on the shipping page, ask before you buy.
Look for four specifics in the written policy.
- Carrier and service. USPS Registered Mail, UPS via a third-party specialty program (Malca-Amit, Brink’s, Loomis), or an in-house prepaid label backed by a named underwriter (some dealers use Lloyd’s). “Fully insured shipping” with no carrier named is not a policy, it is a marketing line.
- Coverage cap per package. USPS Registered Mail currently caps declared value for numismatic and bullion contents at fifty thousand dollars per parcel; UPS and FedEx do not cover bullion at all under their standard tariffs (see the USPS reference on insurance and extra services). Any dealer promising unlimited coverage on a USPS or standard carrier package is either uninformed or misleading.
- Loss claim procedure. Who files the claim: the dealer or the buyer? What documentation is required (tracking, packing list, purchase invoice)? What is the timeline?
- Transfer of risk point. Some dealers cover the package until delivery; others cover only until it leaves their facility. A policy that transfers risk to the buyer at the loading dock is legal but should be disclosed clearly, not buried in the small print.
The FTC Mail, Internet, or Telephone Order Merchandise Rule (16 CFR Part 435) sets baseline delivery timing for consumer transactions: if a seller cannot ship within the promised window (or thirty days if no window is stated), they must offer a full refund or an updated shipping date the buyer can accept. See the FTC reference.
6. Read the buyback policy carefully
Every serious dealer publishes a buyback policy. Reading it before you buy tells you three things: whether the dealer stands behind their own product on the sell side, how the price is locked (posted bid at arrival, or locked-in over the phone), and what exclusions apply (opened tubes, damaged assay cards, non-recognized generic rounds). For deeper detail on how buyback bids are constructed, see the Goldiew guide on bullion dealer buyback policies.
Two hard warnings on the buyback front. First, be skeptical of “guaranteed buyback at original price” language. Bullion is priced off live spot; no legitimate dealer can guarantee an above-market buyback in advance. Second, be skeptical of dealers who sell semi-numismatic or “exclusive” coins at markups of thirty percent or more and then advertise a buyback program that only applies to their own product. That is a walled garden with an inflated entry fee, not a market.
7. Look for verified customer reviews on multiple platforms
Reviews on the dealer’s own website are marketing. Verified reviews on independent platforms are data. Cross-check at least three of the following before you order.
- Trustpilot: filter by verified vs unverified, read the ten most recent one-star reviews carefully, and check the posting cadence. Bulk five-star reviews with generic language in a short window are a common paid-review pattern.
- Google Business Profile: harder to fake at scale because posting requires a Google account with basic history. Look for photos in reviews and for responses from the business.
- Reddit: the subreddits r/Silverbugs, r/Gold, and r/PMsForSale have long-running threads on dealer experience. Search the dealer name plus “reddit” and read the top thread.
- FTC 2024 fake reviews rule: the FTC formally banned fake and paid reviews (see the announcement). Enforcement is uneven, but a dealer whose review profile shows abrupt improvement in late 2024 or 2025 without a corresponding operational change deserves a second look.
A verified customer review is one where the platform confirms the reviewer actually transacted with the business, typically by matching an order number. Aggregate ratings without a verified filter are close to meaningless because they can be gamed.
8. Check state attorney general and federal warning lists
The state attorney general in the dealer’s home state maintains a consumer complaint database. Most states allow free public search by business name. A pattern of unresolved consumer complaints, or an active AG enforcement action, is a hard fail. Individual isolated complaints are ordinary for any large business.
For dealers that market IRA or investment-adjacent products, also scan the CFPB complaint database, the CFTC press releases at cftc.gov, the SEC enforcement archive at sec.gov, and FINRA investor alerts on precious metals fraud at finra.org. FINRA regulates broker-dealers rather than bullion dealers directly, but the alerts document recurring fraud patterns and name the specific pitches to avoid.
The biggest red flags at a glance
| Red flag | What it usually means |
|---|---|
| Unregistered entity or dissolved status on the Secretary of State record | Not a legally operating business, or one that has been shut down |
| Website domain registered less than 12 months ago with heavy paid marketing | Elevated exit-scam risk; wait for a track record before wiring meaningful amounts |
| Sales pitch pushes semi-numismatic or “exclusive” coins over standard sovereign bullion | Higher-markup product line; frequent CFTC and state AG action target |
| No written shipping insurance policy visible before checkout | Customer is uninsured for a loss in transit; potential FTC MITOR Rule issue |
| No public buyback policy or buyback restricted to proprietary coins | Walled garden with limited resale market |
| Aggressive urgency or “act before the reset” language in marketing | Regulator-flagged sales script pattern; FINRA investor alert territory |
| Refusal to answer basic questions about registration, insurance, or buyback in writing | Any legitimate dealer will put the answers in an email; refusal is diagnostic |
The one-hour desk audit, in sequence
- Ten minutes: find the legal entity name (footer, terms of service, About page), search the Secretary of State in the dealer’s home state, confirm active status and formation date.
- Ten minutes: WHOIS the primary domain, note the registration date, compare to the SOS formation date and to the “since” year on the homepage.
- Ten minutes: search the PNG, ANA, and NCBA member directories for the legal name.
- Fifteen minutes: pull the BBB profile. Read the letter grade, accreditation status, twenty-four months of closed complaints, and company responses.
- Ten minutes: search the state attorney general consumer complaint database. Note any open enforcement actions.
- Ten minutes: read the shipping insurance page, buyback policy, and payment terms page. Confirm the carrier, coverage cap, and refund language.
- Ten minutes: scan the top ten Trustpilot reviews (verified filter), the top Reddit thread if any, and Google reviews if the dealer has a physical location.
Under an hour, and the result is a scored profile with almost every high-risk dealer filtered out. If the dealer clears the checklist, place a small first order to test shipping, packaging, and customer service before scaling.
Where the Goldiew directory fits in
Goldiew maintains public directories of coin dealers, gold dealers, pawn shops, and jewelry buyers organized by state and city. Each business profile aggregates public data, user-submitted reviews, and (where the business owner has claimed the profile) responses from the business itself. The directory is a useful starting point for a shortlist, not a substitute for the eight-point paper check above. Browse the coin dealer directory, the gold dealer directory, or the broader Goldiew marketplace.
Own a coin, bullion, or pawn shop? Claim your free Goldiew profile
If you run a legitimate US precious metals business and pass the same paper checks buyers use above, claim your free listing on the Goldiew directory. A claimed profile lets you respond publicly to reviews, correct outdated hours or contact information, and add photos and a written buyback policy that buyers can read before they walk in or call. Start at Claim your business, or register a new location at Business sign up. Full program details for dealers are on the for business page. Listings are free; verification takes a few business days.
Frequently asked questions
Is a BBB A or A+ rating enough on its own to trust a dealer?
No. The BBB letter grade correlates with paid accreditation status and the dealer’s responsiveness to complaints, not with the underlying quality of transactions. A long-standing A rating is a mild positive signal but should be combined with the Secretary of State registration check, the state attorney general complaint database, and independent verified reviews. Any single source can be gamed.
How many years in operation should a dealer have before I trust a first wire transfer?
Three years is a reasonable minimum for meaningful orders. Some dealers under three years old are entirely legitimate, but the base rate of exit scams and thin-capitalization failures is high enough that most buyers should either wait or place only small test orders under the three-year mark. For wires above five figures, five years of clean operation under the current entity is a safer floor.
Do I need a state precious metals dealer license to check for?
It depends on the dealer’s home state. Some states (including Florida, California, and several others) license or register precious metals dealers separately from ordinary business registration. Check the state Department of Revenue, Department of Consumer Affairs, or Secretary of State site for a “precious metals dealer” search. Absence of a specific state license in a state that does not require one is not a red flag. Absence of a required license where the state does require one is a hard fail.
How do I confirm a dealer’s shipping insurance actually pays out if a package is lost?
Read the written shipping policy for the carrier name and coverage cap, then ask the dealer in writing for a specimen claim form or the underwriter’s contact page. A legitimate dealer will send both. USPS Registered Mail claims go through USPS at usps.com/help/claims; specialty carrier claims go through the underwriter named in the policy. If the dealer cannot name a claim path in writing, treat the coverage as unverified.
What is the fastest single red flag that eliminates a dealer from consideration?
An unregistered or dissolved business entity on the Secretary of State record is the single fastest disqualifier. It takes five minutes to check, requires no interpretation, and no honest business fails it. Every other item on the checklist has legitimate edge cases; the SOS registration does not.
Do industry memberships like PNG or ANA guarantee I will not be defrauded?
No. Membership signals that the dealer accepts a written code of conduct and a peer complaint process, which raises the reputational cost of misconduct. Combine membership with the Secretary of State registration, BBB profile, and state attorney general complaint check for a meaningful signal. Absence of membership by itself is not a hard fail, especially for small local coin shops that operate outside the national associations.
How do I verify customer reviews are not paid or fake?
Filter platform reviews to verified purchase or verified customer where available. Read the ten most recent one and two star reviews carefully; genuine complaints have specific dates, product names, and dollar amounts, while paid negative campaigns tend to be vague. A sudden burst of five-star reviews in a short window without a corresponding business change is a common paid-review pattern. The FTC formally banned fake reviews in the rule effective October 21, 2024.
What should I do if I have already sent money to a dealer that turned out to be fraudulent?
File a complaint with the state attorney general in the dealer’s home state, file a report with the FTC at reportfraud.ftc.gov, and if a wire was involved, contact your sending bank the same day to request a wire recall (recall success drops sharply after seventy-two hours). For credit card orders, dispute the charge within the issuer’s window. Document everything and consider a consumer protection attorney if the dollar amount justifies it.
Sources and methodology
Every specification, threshold, and regulatory citation above was cross-checked against the official source at the time of writing. This guide is educational and does not constitute investment, legal, or tax advice. Consult a licensed professional for advice specific to your situation.
- FTC Mail, Internet, or Telephone Order Merchandise Rule (16 CFR Part 435): consumer protection baseline for shipping timing and refund obligations that applies to US bullion dealers selling to consumers.
- FTC Fake Reviews Rule announcement: the 2024 rule prohibiting fake and paid reviews across US commerce.
- FINRA Investor Alert: Precious Metals Frauds: regulator framing on recurring fraud patterns in retail precious metals marketing.
- CFTC Precious Metals Customer Advisory: federal Commodity Futures Trading Commission advisory on precious metals fraud and leveraged product schemes.
- USPS Insurance and Extra Services: current coverage limits and rules for Registered Mail, the primary insured path for retail bullion shipments in the United States.
- Better Business Bureau: public complaint archive and accreditation status database.
- Professional Numismatists Guild: member directory and code of ethics.
- American Numismatic Association: member directory and dispute mediation program.
- CFPB Consumer Complaint Database: cross-check for dealers marketing IRA or investment-adjacent products.
- FinCEN Beneficial Ownership Information: federal beneficial-ownership registry framework for reporting companies.
Further reading on Goldiew: the guide on bullion dealer buyback policies covers how buyback bids are constructed; how to read a bullion dealer invoice and spot quote walks through the paperwork on a live order; and gold shipping insurance dealer to depository covers carrier options and per-package coverage caps.