Summary: Although you won’t be able to access commodity trading services directly through its platform, you can buy gold with Zelle by linking your bank account to a regulated multi-asset investment service like eToro.
Intermediate Traders and Investors
Can you buy gold with Zelle?
Zelle doesn’t provide the opportunity to invest in gold directly through its app, however, you can use Zelle as a deposit method for transferring funds to investing platforms that facilitate gold trading, such as eToro.
Simply register with eToro and link your Zelle account to it. After making a deposit via Zelle, you’ll be ready to start investing in gold.
Remember that with eToro, you’ll be investing in gold through gold CFDs. You will not be buying physical gold. More on that later (as well as other ways to invest in gold).
How to buy gold with Zelle?
The best way to buy precious metals like gold or silver with Zelle is through a regulated multi-asset investing platform like eToro, which offers access to various financial instruments, from stocks to cryptocurrencies.
eToro streamlines the process of investing in gold into a single click and accommodates both desktop and mobile trading, allowing you to keep up with market trends wherever you are. Moreover, eToro offers a wealth of educational resources to assist traders at every stage of their gold trading experience.
So, how exactly do you buy gold with Zelle using an exchange such as eToro? It’s easier than you might expect. Let’s look into the step-by-step process.
How to buy gold with Zelle: Step-by-Step
You can get started in minutes with a few simple steps:
- Step 1: Create an eToro account and go through verification (personal or company);
- Step 2: Type in the amount you wish to deposit;
- Step 3: Connect your Zelle to fund your account;
- Step 3: Navigate to the commodities markets page, choose ‘gold’ and select ‘trade;’
- Step 5: Input the desired cash amount or number of units for your trade;
- Step 6: Review and adjust the stop loss, leverage, and take profit settings;
- Step 7: Click ‘open trade.’
Intermediate Traders and Investors
Zelle is a US-based digital payments network that allows users to send money electronically from their bank account to the bank account of another registered user using either a mobile device or the website of a participating bank.
Founded in 2017, Zelle’s reach has grown substantially, and it’s now backed by the support of more than 1,600 financial institutions. In fact, as of 2022, approximately 80% of the US population was able to connect to Zelle through their banking apps.
Gold price today
Ways to invest in gold
Beyond purchasing gold coins, bullion, or jewelry, there are several other alternatives for gaining exposure to gold. Let’s explore the three most common ones:
- Trading contracts for difference (CFDs): CFDs are financial vehicles that derive their value from the underlying asset (i.e., gold), allowing investors to speculate on the asset’s price movements (through long or short positions) without owning it outright. CFDs are traded on margin, which means brokers loan investors additional funds to enhance the size of their bet;
- Investing in gold exchange-traded funds (ETF): If you prefer to avoid the hassle of buying physical gold or the risks that fast-paced and margin-dependent derivatives markets present, a practical option is to invest in ETFs that track the commodity. Gold ETFs provide an opportunity to benefit from the price fluctuations of the underlying asset, so the fund’s performance should typically mirror the variations of gold’s worth (factoring out the fund’s annual fee). Three of the largest gold ETFs are SPDR Gold Shares (NYSE: GLD), iShares Gold Trust (NYSE: IAU), and Aberdeen Physical Gold Shares ETF (NYSE: SGOL);
- Buying gold-related stocks: You can also tap into the gold market by buying shares of companies in the gold mining, refining, and trading business. Some of the leading global gold mining players include Barrick Gold Corporation (NYSE: GOLD), Newmont Corporation (NYSE: NEM), and AngloGold Ashanti (NYSE: AU).
Exercise caution with leveraged products
Common mistakes to avoid when investing in gold
Incorporating gold into your investment portfolio can have various benefits, including serving as a safe haven during economic downturns as well as possibly acting as a buffer against inflation. Nonetheless, as with all investments, the gold market is not without its complexities and challenges.
Try to avoid these common mistakes as you venture into gold investing:
- Lack of diversification: Make sure you include gold in a diversified portfolio along with a variety of other financial instruments, such as stocks, bonds, and cash;
- Attempting to time the market: In general, timing the market doesn’t work. Opt for a long-term investment strategy, like dollar-cost averaging, that can mitigate the impact of market volatility;
- Not understanding the investment: Make sure you fully understand the various gold investment options available to you. For example, if you decide to invest in gold mining stocks, thoroughly examine the company’s fundamentals and be aware of any geopolitical and environmental risks tied to its operations;
- Overreliance on leverage: Margin trading significantly heightens your risk-return ratio and is usually more suitable for seasoned traders, particularly given the volatility of gold prices;
- Falling prey to scams: Stay alert to potential scams where dealers might attempt to sell overpriced gold or counterfeit items. Check out the Commodity Futures Trading Commissions (CFTC) guidelines for spotting and avoiding fraud;
- Using unregulated platforms: If you’re trading gold through an online broker or a similar platform, ensure they are regulated and licensed by the relevant regulatory authorities.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
FAQs about how to buy gold with Zelle
Can I buy gold with Zelle?
You can buy gold with Zelle by using a third-party brokerage that offers commodities trading.
How to buy gold with Zelle?
You can buy gold with Zelle by using it as a funding method on an online broker offering gold trading services.
Where to buy gold with Zelle?
Investors can buy gold with Zelle by using a regulated online broker that offers commodities trading, such as eToro.
Is buying gold with Zelle safe?
Yes, buying gold with Zelle is safe as long as you use regulated brokers or investment platforms.
How to buy gold?
Apart from buying physical gold in the form of bullion, coins, or jewelry, you can invest in gold ETFs, gold-related stocks, or trade gold CFDs. These investment vehicles give you exposure to gold’s price fluctuations without requiring physical ownership of the precious mineral, accommodating various risk appetites and growth prospects.
Is gold a good investment?
Whether gold is a good investment depends on your investment goals, risk tolerance, experience, and portfolio. While gold is often regarded as a safe-haven asset and a hedge against inflation, which can help diversify your portfolio and protect your wealth during economic turbulence, it is also relatively volatile. Therefore, carefully weigh its advantages and disadvantages and consult with a financial advisor if necessary before committing any money.