FT: Gold-Backed Credit Cards "Failed to Date"
3/6/2014
LONDON, 3 June 2014 – The latest attempt to launch a gold-backed credit card is featured today at the Financial Times' online site, which quotes comment from BullionVault head of research Adrian Ash.
With the new card itself to be made of 14-carat gold, and with customers needing to put £100,000 of physical metal on deposit to qualify, "Even if transaction costs were minimal," says Adrian, "firm advocates of the gold standard would rather hold metal and spend currency than the other way round."
Noting how previous attempts to launch such schemes have failed to take off so far, "Mobilising existing gold holdings may appeal to investors needing cash," he adds, "but only if costs are below pawnbroking fees."
FT subscribers can read the full story here:
Isle of Man launches solid gold credit card backed by the metal
