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tboll

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Reply with quote  #16 
> I emailed them a few days ago about ... and they have not responded yet. -- mindmelter

Where have I heard that before?
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bull123

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Reply with quote  #17 
they are probably busy ...

negotiating supply chain agreements

making sure the t's are all crossed ... just the typical start up hiccups
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taratot

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Reply with quote  #18 
Almost a month on and the new site is as deserted as the Marie Celeste. Nothing to see anywhere. No bids, asks, anything.

At this rate hell will freeze over before we receive a single penny.
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JG

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Reply with quote  #19 
Quote:
Originally Posted by taratot
Almost a month on and the new site is as deserted as the Marie Celeste. Nothing to see anywhere. No bids, asks, anything.

At this rate hell will freeze over before we receive a single penny.


My sense is a few things are happening all at once to cause this:

[1] There seems to be some confusion as to whether the site is really live or not,
[2] It seems like the pricing requires orders of $5K-$10K+ to justify the fees, which is a lot to ask from people who feel that the owner's son was the one who stole money from them,
[3] There doesn't seem to be any hint of advertising/PR, just that one intro E-mail.

My sense is that they were hoping that when the "Bullion Universe is Open!" E-mail went out (which presumably went to most of the Bullion Direct creditors), a bunch of people would try it out, and word would spread. But with the $5K-$10K hurdle to make it cost effective, people aren't going for it. So it sounds like they may need to see if adjusting the fees would work, and/or finding another way to get the word out.

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oldAG

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Reply with quote  #20 


One thing is for certain, not all sellers will do the math and figure out they need to sell $5K or more to break even at first.

Besides all this cloak and dagger secrecy going on at their web site, the primary concerns I have is the size of the orders that must be sold to break even, which narrows the field to how many buyers are out there willing to spend that amount of money at one time and then you narrow it even further by selling a second hand product, which brings in the risk factor of fake or other problems with a product you are not usually subjected to when buying a brand new product from a reputable dealer or mint.

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mindmelter

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Reply with quote  #21 
$75+ product deposit shipping fee and $50+ product withdraw fee, no thanks! I would be buying or selling maybe an oz of metal a couple times a year, so I guess they don't want my business.
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tboll

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Reply with quote  #22 
Plus with such a large portion of any profits going towards payback to the BD creditor...  probably not a lot of incentive for her to ramp up just yet.

The worst part is it's going to cost you $75+ just to test to see if there is any interest out there in buying your gold/silver.  If not, you're out $75+ and another $50+ to get your metal back to you.  Until I knew for sure that there was a lot of activity on the site, I doubt I would venture into giving it a try. (and by "I" I mean someone else, not me).

PS:  In all fairness, sadly she is probably going to have to spend (lose) money to attract customers to the site and she may need to initially cover some of the costs (portions of shipping, etc.) to get customers transactions going.  Unfortunately, that will be at the creditors' expense (since the compounding startup costs will probably negate any profits for awhile.)
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taratot

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Reply with quote  #23 
The contingent payment schedule calls for 80% of profits in the 1st year to be paid to creditors, falling to 60% in years 2 and 3, then 50% in years 4 through 7.

Call me cynical or a conspiracy theorist if you like, but I can't help wondering if they have deliberately set the bar to entry so high that no-one will use their services. Thus they will not have to make any payouts to creditors - and they will still be meeting their legal obligations. Perhaps only a few years down the line when the payout percentage declines will they relax their fees and charges to make the service more accessible. 

I know there's a lot more to this whole situation, but I can't help wondering....
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oldAG

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Reply with quote  #24 
Even if and when they actually open the doors for some serious business, assuming people "will come", after they build it, the payouts are from profits if there is any, which would be after expenses.

We all know it's a tough business to make a living let alone having to share 50%, let alone 80%.

I will be impressed to see some actual profits being shared that amounts to anything at all. I wish them well, but it's going to be a tough road and they are not doing anything to make it easy.
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Cbrad01

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Reply with quote  #25 
It really looks like the site is designed with a fee structure that intentionally discourages the use of the site.
They have to legally stall the clock for a few years to get the creditors of their backs and out of the picture and then they can adjust.
Until the profit spit is over there is no reason for them to push the company along...
If your like me the bankruptcy was designed to through enough smoke and reasonable doubt in the air, and get rid of the people ripped off. Mom bought the assets to move things along, help cover CM and now the waiting game begains.
It would not surprise me at all if after the split with the creditors ends the assets are sold again as they have some value, but only when they don't come with the bankruptcy baggage which Mom is helping to clear our...
In the end we all got "legally" ripped off, bankruptcy creates enough doubt that it will be hard to prove a crime and CM and Mom walk away losing very little if anything at all.
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bull123

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Reply with quote  #26 
There wouldn't be any profits no matter what the heck they did (or how they set it up)

REMEMBER ... the first time around ... the profits allegedly came from your money vanishing

plug in them actually fulfilling orders/storage ... and it would have just been a giant waste of time (for them)

if you think CM learned lessons and can now do it better, realize that Gold and Silver sales are down dramatically nationwide, so even if his learning lessons was true, he would still be operating in a much more difficult environment overall with this new "business".

My hunch is that this was setup to keep CM out of prison by saying, 'we are going to try and pay everyone back with this new business', which i predict will never do ONE single transaction.

just sayin ... my two cents ... maybe i am totally wrong (doubt that for sure)

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tboll

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Reply with quote  #27 
bull, I tend to agree with you on this one (that there is no money to be made in running a legitimate PM exchange, especially in the current financial climate).  

Charles was losing money right out of the gate, but his business was thriving and most (all?) of his customers were happy.  Heck, I even bought, stored, and sold gold several times and made a few bucks through the years.  In reality, I never really purchased gold, Charles never really stored it, and I never really sold true gold.  It was all just a pyramid/ruse and we were none the wiser.  After 10 years of doing business like this, Charles probably thought it could go on forever.  
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oldAG

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Reply with quote  #28 
That's what Bernie thought also, so why isn't he setting next to Bernie yet???

He exceeded what the other crooks were able to accomplish, by actually stealing customers IRA accounts, unless I'm mistaken and they actually found some metal to take care of them. If he didn't, shouldn't that fall under some kind of federal banking protection act or something and be worth at least one half extra screws turn when someone passes sentence on this crook. Then maybe that's a separate charge under federal law and he could potentially be prosecuted twice. Double "YOUR" money and double "HIS" fun!!![tounge2]
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