Monex Review Complaints And Fraud
Reading time: 4 – 7 minutes
MONEX GOLD AND SILVER DEALER
I have received a tremendous amount of requests for a Monex review, analysis of any Monex complaints, whether there is a Monex scam or allegations of Monex fraud behavior, etc., have found there is a lack of any thorough Monex reviews and because the Monex gold and silver dealer is very prominently advertised (but not on Run To Gold as we have standards) therefore I have decided to review Monex.
The Monex Deposit Company’s address is 4910 Birch Street Newport Beach, CA 92660 and their phone number is (949) 752-1400. The Monex silver and gold dealer was established in 1967 and is a large bullion dealer of gold, silver, platinum and palladium.
Because I have an interest in gold investors being able to buy gold, silver or platinum without being unjustly or unfairly taken advantage of therefore I have decided to aggregate some information about their business practices. Just because you can find the Monex Deposit Company does not mean you should do business with them.
MONEX REVIEWS AND THE BETTER BUSINESS BUREAU
The Monex review by the Better Business Bureau:
Complainants allege that decisions made based on advice and coaching from account representatives caused them substantial financial losses. A few clients complained that account representatives did not follow directions or instructions on how to apply their investments or failed to keep them informed, and as a result, suffered losses they would not have if directions had been followed. The company [Monex gold and silver dealer] responds to some complaints by disputing the allegations and stating that the investments are self-directed and they are not responsible for losses, denying requests for refunds or monetary compensation. In one case a partial refund was issued, but was conditional upon signing a release waiver composed by the company.
MONEX COMPLAINTS
Some of these Monex complaints and Monex reviews appear to be from people who are failing to take personal responsibility for their own decisions. But as of 30 January 2010 the Monex BBB record indicates that there are 61 Monex complaints; 13 have gone unanswered and with 10 Monex has refused to make any adjustment.
Even when I have had a negative experience with a business I have not filed a complaint with the Better Business Bureau. This makes me wonder how many other dissatisfied customers there are and what their Monex reviews would be.
NO PERSONAL EXPERIENCE SO NO PERSONAL MONEX COMPLAINT OR MONEX REVIEW
Before I engage in a large transaction with another party, such as buying gold, silver or platinum, I attempt to perform thorough due diligence. For example, I have thoroughly reviewed the GLD ETFs, which I highly recommend against, and GoldMoney, which I have found to be a reputable company to deal with.
A MONEX FRAUD, MONEX SCAM AND OTHER SHADY CHARACTERS
For example, in June 2007 Morgan Stanley & Co. settled a class action lawsuit for $4.4 million where the complaint alleged ‘that Morgan Stanley told clients it was selling them precious metals that they would own in full and that the company would store. But Morgan Stanley either made no investment specifically on behalf of those clients, or it made entirely different investments of lesser value and security.’ While the efficacy of the claim may still be at issue the Better Business Bureau-like complaint from unsatisfied customers who initiated litigation does not inspire confidence for those seeking to reduce risk.
After a cursory investigation I have been unable to find any currently pending litigation about Monex fraud or a Monex scam with any clients.
CONCLUSION AND MONEX REVIEW
After a reasonable investigation of Monex and relying on sources for which I have a reasonable belief to be accurate therefore because of the extremely large number of Monex complaints with the Better Business Bureau and because of the negative Monex reviews I have refrained from doing any business with them. Therefore, I cannot give an opinion based on my personal experience of dealing with the Monex Deposit Company.
Nevertheless, for these reasons my Monex review has led me to the conclusion that they are most likely rotten apples in the gold bullion dealer world and I would not recommend sending any money to Monex. It does not appear likely that there is a Monex scam or Monex fraud being perpetuated but where there is smoke there is often fire so I would be extremely careful. Before dealing with any bullion dealers I recommend reading my best practices on how to buy gold, silver and platinum.
If you have had any dealings and would like to leave your Monex reviews then please do so in the comments
Monex - Monex Reviews, Monex Complaints, Monex Scam & Monex Fraud 2,566 views
Email
Print
 |
{ 12 comments… read them below or add one }
I have dealt with Monex for about a year now and have not had any problems. Before I bought any bullion I researched several outfits and found all of them to have BBB ratings of F. Unfortunately, the BBB did not have any details concerning the nature of their complaints. I approached most of the dealers with my findings and expressed my concerns and was generally told that they admittedly have/had some customers who make investment decisions that they regret and they try to be made whole by blaming the dealer. After speaking to various reps several times at the five or so companies I considered, MONEX seemed the best of the bunch. The information I received from them proved to be the most complete and accurate, their prices/commissions were the lowest (about 1.5%), and all orders were recorded (supposedly) and involved the broker, me (the buyer), and a third party. I could go on but basically they have been very professional (order confirmations within 24 hours, monthly and annual account statements, postage-paid envelopes for overnight delivery of checks, etc.). Could it all be a front? Maybe. But I did receive exactly what I ordered at the price I expected and there were no shenanigans. I’ve also bought relatively little from several other dealers and they were much slower and more expensive, and I ALMOST bought from some of the most heavily advertised companies until I realized I was getting false or mis-leading information and being charged a ridiculous markup (like 60%!). One last thing, I also found a dealer that requires one to sign an agreement that requires one to let the dealer exhaust all efforts at reconciliation before calling the BBB. They also used a lot of aggressive sales techniques. Basically it’s a zoo out there so be careful.
I read the above with some interest as I’ve dealt with Monex. I found that their education materials were outstanding and even spoke with one of the experts (David Morgan).
I wonder why more don’t seek out direct relationships with private bullion mints here in the states. One company that I have purchased a substantial amount from is Old glory Mint in Utah. see-www.oldglorymint.com
I would recommend them to any for a review. The biggest advantages I have found are that they always keep their word, no games being played and no commissions/middlemen to deal with.
Wayne Scholle
Oh Please!!! Identify your self EC and Wayne!! Monex is leaving comments on this board because the fact that it’s creeping up the search engines is scaring the crap out of them. They sued the last guy that lost 75k and tried to warn people on the internet. Read the Case Here
The U.S. even wants their mony back: Monex Fraud
When I first started to buy precious metals I looked into MONEX. I ordered some free DVD s about gold and silver. I received the DVD’s and I find them to be of interest. When I looked into buying metal from them, I wanted to check out their operation. I figured they would have a retail side where I could just go in and buy stuff or just look at their setup. After going to Newport Beach I was told that they just had offices there and there would be nothing to see, so that kind of turned me off.
Later when I was ready to buy gold. I called to find out the process and I felt they were trying to steer me into buying in some pool account with margin. I politely declined. They called back once or twice to solicit business. Afterwards I found some reputable dealers with whom i bought physical metal. I never did business with MONEX and I have no intention of doing business with them in the future.
I was talking to a local coin dealer yesterday. He showed me an Australian Nugget with a Kangaroo on the front along with 1 oz on it ( and maybe some other things but I forget) . I never saw one before. He then tells me to look on the back. It was in a protective casing. It said MONEX with the phone number under it. I thought it was on the casing but it was on the back of the coin. Someone had sold it to him.
If he did due diligence he would have known instantly by the weight as well as testing it that it was not gold. He was an idiot and admits so but explains that he had 9 or ten people in his small shop at the time and was busy (of course that is the conditions the seller needed to perform this con)
I do not really blame Monex for this but, WTF, why would you have these things printed without stamping the front with “not real” ” not genuine” .
It would be my pleasure to take a picture of it and place it on your site if you would allow me. I hope MONEX doesn’t still do this type of advertising. Idiots.
That is a very interesting story about the medallion Monex had coined. I would be interested in seeing if it is actionable for other readers and should be put on the site. Perhaps you can send a copy to monexscam@runtogold.com? Thanks.
I want to say something good about these guys. I’ve made several purchases and they could not have been nicer nor could have been more honest and clean in their transactions. Sorry everyone…. I cannot say a bad thing about Monex.
I’ve dealt with Monex and had no problems so far.
I’ve both bought coins and stored bullion with them.
Now I’m certainly concerned whenever I hear about fraud and would be extremely interested in hearing more filled out information.
I’m sorry to say, I really found the “review” of Monex to be extremely and frustratingly lacking because it does not stipulate specific allegations. Now that you’ve made me officially uneasy, would you guys please consider filling out the report just a bit?
For instance, I can say, without a doubt, that monex pushes buying on margin.
It also pushes an economic view that tends to lead people towards their products.
These types of issues just don’t bother me.
Anyone would takes investment advice from a seller is acting like a fool.
On the other hand, are they alleged to not be holding metals in the vaults that they say they are holding?
Is any of the gold or silver they send rumored to be fake?
“Scams’ involving “misleading advice” are one thing.
Scams involving fraud are another.
And while I appreciate the need to be carefull in a litigenous world, there is no reason that a review should not be able to say what it needs to by using the term “alleged” as much as necessary. I also feel that the “where there’s smoke theres fire” argument should consist of no more than a minor part of the veiwpoint.
I’ll start digging some more.
Would also really appreciate more helpfull and substantiating links.
Best regards.
Can you explain the general mechanism in place to authenticate the purity of a gold or silver purchase, and whether such mechanism or documentation is widely accepted at the time of a potential sale to an entity other than the source of the original purchase?
Hi Ken, to avoid any potential confusion with Monex’s business practices and because there is a discussion on this topic already going on in the article Fake Tungsten Gold Found therefore I will direct this discussion there.
Hi Andy, I am not very worried about the litigious atmosphere and you can be assured I will not be bullied like the people Frank mentioned and the OC Register ran a story about. In fact, Bill Rounds, who runs How To Vanish with me, I and Russ Collins (a NV & UT attorney) are extremely vehement about the freedom of speech and handled an Internet defamation whistleblower case pro-bono, along with a couple other attorneys, where our client was being sued basically to drain his cash and run him out of business. The case went to the Supreme Court of that State, we won and our client is still in business blowing the whistle.
I think the information in the review is helpful enough for any purchaser performing due diligence, particularly the quotations from the BBB. While it would be fun to go digging around and try to find more helpful and substantiating links there is an opportunity cost associated with the time that would be spent. I am pretty filled up right now but if you would like me to ask Bill or Russ if they would like to do some more research for you then I can. They would do a very thorough job and I think their hourly rate for general work like this is only $250/hour.
They would do a very thorough job and I think their hourly rate for general work like this is only $250/hour.
I’ve dug a bit and i’m pretty satisfied. Hope I’m right.
Everything I’ve found was people wanting to take back orders after the price went down or people upset with what they considered bad or pushy advice that resulted in loss or upset when the gold didn’t get to their trailors and kept being returned etc. I would be concerned if Monex had sent out phony gold or leased out gold they claimed to be holding in allocated accounts (Like the Morgan Stanley example) or failed to send gold after taking money. Found nothing like that. But I did find it hard to reconcile that a company that’s been around for 40 years and which handles billions of dollars in orders and claims to be “Americas largest coin and bullion market maker” would be nickle and diming the small investors that registered these complaints.
I’m not adverse to paying for good advice. Everyone needs to make a living. But I really do feel that to introduce a blog on Monex fraud with the punch line being “where there’s smoke there’s often fire” is a bit of a teaser. And for the only concrete example to be about another company is also puzzling. The blog was on Monex! And offering the “thorough” version for $250/hour… well, Ill pass. Thanks anyway.
Andy