E-gold Exchange Agents Are Now Gouging Their Retail Clients
May 15, 2007 by Mark
Filed under Personal Finance
Should you hold on to your e-gold and wait out the storm or sell it?
Many digital metal customers are holding on to their gold which may turn out to be the smart move. However, some users have no choice but to sell frequently because the cash flow is a big part of their legit daily business. Trying to sell e-gold today at major exchangers today is costing anywhere between 5% and 50%.
I have a good friend who accepts e-gold for his very successful online business. Since the allegations were made by the US government some weeks back, many of his clients have been spending e-gold and adding value to their online commercial business accounts with his company. This spending has created a much larger than normal balance in his daily company account.
At present, my friend’s e-gold business account is overflowing with more digital value than ever before, only he is now facing some very high rates for outexchange.
Here are some examples of independently operated digital metal exchange agents. Me-Gold is now charging 50% on any outexchange of e-gold, other well known agents are at 15% and the list goes on. Thankfully, it appears that Graham over at GoldNow.st seems to be still level at 5% for any outexchanges. Additionally, existing retail consumers seem to be having a hard time on any exchanges with OmniPay and I’m not even sure they are still working directly with the public anymore.
OmniPay is NOT winning the prize this month for customer communications…. please allow me to pre-order them a copy of Satisfaction: How Every Great Company Listens to the Voice of the Customer by JD Power. It will be out in June. I think the question in my mind, at least today is….will OmniPay even be around in June?
This is pretty outrageous and clients are writing me to ask if I can try and prevent price gouging. Sorry, but this is DigitalMoneyWorld not the BBB and I can only point out to agents that there is a karmic balance in the universe and greed can come back to bite you.
This reminds me of how some petrol stations in the US were charging almost $5.00 per gallon just because it was the first day of Hurricane season. Where is that crazy bald lady from the TV infomercials, we need someone to yell, “Stop the insanity!”
5/16 UPDATE: https://www.e-forexgold.com/ is reported to be exchanging at their usual reasonable rates with just minor delays, please visit them for more info.
Independently owned and operated digital gold currency exchange agents are not affiliated or associated with e-gold Ltd, OmniPay or Gold & Silver Reserve Inc.
hi Mark on top of this there is a lot of snakes around various forums trying to take advantage Spam emails are also doing the rounds offering outExch I read Uncle Sams blog yesterday and he has an example of one being sent out at the moment. Its near the end of the entry here.
http://www.autosurfhyip.net/autosurf/cleaning-up/
This is sad. My fear about e-gold is that it might seize to be “legal tender” not because of the US authorities, but because people would refuse to accept it as money. 50% charge for selling e-gold is just too much.
This is obviously the biggest storm to have hit e-gold and I can only hope that e-gold survives the storm and comes out better.
FreeMarketMoney.com is still accepting e-gold at reasonable rates.
The difference with pre-e-gold-DOJ-lawsuit is that exchangers now sell back their e-gold to Omnipay for OutExchange. Omnipay ask for 2% + wire fees. The pre-lawsuit outexchange lower fees were because exchangers kept high balance of e-gold so they can think selling it back to other clients. Now, it is risky to keep high balance and the current trend of gold (down) means that exchangers can loose between the time they accept new e-gold and sell it back to Omnipay. This is the reason we charge 5% instead of 1%.
You can see these “price gouging” is market oriented: exchangers react to risks and market conditions. If you think you can outexchange e-gold for 1% (or less) and are willing to take risks, you can do great profit because you will be lower than nearly all exchangers. Feel free to compete!
goldbuyer.uni.cc is still buying e-gold at 4% only.
Actually, exchangers can no longer work with OmniPay. They don’t seem to have a bank account any longer. It is very tough when bad people in government unilaterally and unconstitutionally attack individuals and businesses. The number of these situations is huge, and the decades under which people have suffered from tyranny in the USA are many.
I only have $40.31 in e-gold,but each day they’re charging me a fee,so it will all be gone soon for nothing!I’d like to get my money & stop messing with them!Can you help?
Al
With $40.31, you can try looking for local exchangers or friends who’re willing to match your exchange Alton.
Most of the exchangers’ minimum rate is set at $100, and it makes perfect sense since bank transfers or wires would cost more than that.