A new bill has been introduced in the U.S. House of Representatives that would require coin and precious metal dealers to disclose details prior to a transaction, including fees and a coin’s purchase price, melt value and resale value.
The Coin and Precious Metal Disclosure Act was introduced as number H.R. 6149 on Thursday, September 16, by Rep. Anthony Weiner (D-N.Y.). Weiner on the same day also announced hearings on TV gold dealers, set to take place on Thursday, September 23.
"The frenzied marketplace has become rife with scam artists ready and willing to take advantage of consumers. The sole purpose of this proposed legislation is to protect consumers from being ripped off," Rep. Weiner said. "Under this proposed legislation, gold dealers will have a much harder time preying upon the nest eggs of vulnerable consumers," Weiner added.
As outlined in the Coin and Precious Metal Disclosure Act, the following information prior to a coin sale would have to be disclosed in a manner that was clear and conspicuous:
(1) Any fee that is or may be incurred by the customer if the sale of the coin or precious metal bullion were to be consummated.
(2) The purchase price, the melt value, and the reasonable resale value of the coin or precious metal bullion.
(3) Such other information as the Federal Trade Commission may require by regulation (in accordance with section 553 of title 5, United States Code).
Exemptions apply to the sale of rare and collectable coins, with the legislation specifically excluding such coins where:
(1) their precious metal content constitutes only a limited or insignificant portion of the overall value of the coin; and
(2) their value is not affected by the increase or decline in the value of such precious metals.
The legislation and hearings extend Weiner’s "battle" with Goldine International and Glenn Beck, conservative radio and TV host. For an in depth commentary on the subject, visit CoinLink and read Glenn Beck, Goldline and the "Precious Coins and Bullion Disclosure Act".
H.R. 6149 currently does not have any cosponsors. It has been referred to House Committee on Financial Services.
For any coin bill to become law, it must pass in the House, Senate and get signed by the President.
[…] other sellers of silver, gold and other precious metals coins could see new regulations should the Coin and Precious Metal Disclosure Act become law. Congressman Anthony Weiner (D-N.Y.) introduced the legislation in the U.S. House on […]
This is a good start. We also need stronger legislation against counterfeiting and copying rare US coins. The influx of counterfeit material from China could threaten the long term viability of the numismatic hobby in the US.
The federal government hates competition. Rep. Weiner doesn’t want us to get ripped off before he has a chance to rip us off.