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Bullion Cancellations

Below you’ll find the most frequently asked questions on how to cancel a purchase or sale transaction placed with Kitco. You’ll also find more information about the cancellation fees that may be applicable to you.

  1. What is your cancellation policy with respect to the purchase of precious metal bullion products?

    • For every cancelled purchase, an administrative fee of $50 will be charged
      • If the price of the precious metals you were purchasing rises above the price at which you agreed to purchase them, there will be no additional charge
      • If there is no change in price from the time you make your purchase to the time it is cancelled, there will be no additional charge
    • Kitco incurs a market loss when the price of the precious metals you were purchasing falls below the price at which you agreed to purchase them. Should this happen, you will be charged the equivalent of the resultant decrease in the total value of your purchase in addition to the $50 administrative fee.

    How do you calculate market loss repayments for the purchase of precious metal bullion products?

    When you cancel a purchase, in addition to paying a $50 administrative fee, you may have to reimburse Kitco for any market loss we sustain as a result of the cancellation of your purchase. If there is no change or an increase in price from the time you make your purchase to the time it is cancelled, you will be charged only the $50 administrative fee. However, if we do sustain a market loss (i.e. if the price of the precious metals you were purchasing falls below the price at which you agreed to purchase them), you will be charged as illustrated by the following examples.

     Unit price of your transactionUnit price at the time of cancellationQuantityLoss or gain (unit price difference multiplied by quantity)Market loss repayment
    Example 1$1000.00$980.0010 oz($980 - $1000) x 10 = -$200$200.00
    Example 2$1000.00$1050.0010 oz($1050 - $1000) x 10 = +$500$0.00

    If your purchase is cancelled at your request before the payment deadline, the market loss will be calculated using the relevant Kitco live spot price that prevails at the time when you request the cancellation.

    Kitco will issue multiple payment reminders before cancelling your purchase. If your purchase is cancelled due to non-payment, the market loss will be calculated using the last available price fixing published by the London Bullion Market Association (the London PM Fix) on the day that the payment deadline expires.

    Any market loss repayment and administrative fees that you owe may be charged to your credit card. We will send you an email to notify you of the charge.

    What happens if my payment does not reach Kitco by the stipulated deadline?

    Your payment must be received by Kitco no later than three business days from the date on which a price is confirmed for your purchase.

    If we do not receive your payment by this deadline, Kitco may deem your purchase to be cancelled and you may be liable for market loss repayments and other fees, as described in our Terms and Conditions.

    If you expect your payment to be delayed, please call 1 877 775-4826 or 514 313-9999 to have this fact noted on your account.

    What is your cancellation policy with respect to the sale of precious metal bullion products?

    Transactions wherein you undertake to sell physical product to Kitco will be cancelled after 10 business days of their price being confirmed if we do not receive the product that you undertake to sell to us.

    • For every cancelled sale, an administrative fee of $50 will be charged
      • If the price of the precious metals you were selling falls below the price at which you agreed to sell them, there will be no additional charge
      • If there is no change in price from the time you make your sale to the time it is cancelled, there will be no additional charge
    • Kitco incurs a market loss when the price of the precious metals you were selling rises above the price at which you agreed to sell them. Should this happen, you will be charged the equivalent of the resultant increase in the total value of your sale in addition to the $50 administrative fee.
    • If the precious metal products that you send us are of lower weight, purity or value than those for which you confirm a price, the deficit (the difference between the value for which a price was confirmed and the value that is actually received) will be treated as a cancellation and will be subject to the usual policy regarding cancellations, including the application of a $50 administrative fee

    How do you calculate market loss repayments for the sale of precious metal bullion products?

    When you cancel a sale, in addition to paying a $50 administrative fee, you may have to reimburse Kitco for any market loss we sustain as a result of the cancellation of your sale. If there is no change or a decrease in price from the time you make your sale to the time it is cancelled, you will be charged only the $50 administrative fee. However, if we do sustain a market loss (i.e. if the price of the precious metals you were selling rises above the price at which you agreed to sell them), you will be charged as illustrated by the following examples.

     Unit price of your transactionUnit price at the time of cancellationQuantityLoss or gain (unit price difference multiplied by quantity)Market loss repayment
    Example 1$1000.00$950.0010 oz($1000 - $950) x 10 = +$500$0.00
    Example 2$1000.00$1020.0010 oz($1000 - $1020) x 10 = -$200$200.00

    If your sale is cancelled at your request before the shipment deadline, the market loss will be calculated using the relevant Kitco live spot price that prevails at the time when you request the cancellation.

    Kitco will issue multiple shipment reminders before cancelling your sale. If your sale is cancelled by Kitco, the market loss will be calculated using the last available price fixing published by the London Bullion Market Association (the London PM Fix) on the day that the deadline for receiving your precious metals expires.

    Any market loss repayment and administrative fees that you owe may be charged to your credit card. We will send you an email to notify you of the charge.

    What is your cancellation policy with respect to the sale of scrap metal?

    Yes, you can cancel a sale of scrap metal after confirming a price for it. However it will be subject to cancellation charges. For more information, see our FAQ on the Scrap Cancellation Policy

    At what point will market loss repayment fees be applied?

    Market loss repayments and administrative fees are applied under the following conditions:

    • If you confirm a sale and send no material
      • If you confirm a sale and do not send Kitco any material, the sale will automatically be cancelled after 10 business days.
    • If you send less pure metal than was reserved at the time of price confirmation
      • If Kitco receives less pure metal than was reserved at the time of price confirmation, you will be charged an administrative fee of $50.
      • In addition to the $50 administrative fee, should the price of pure metal have moved against your sale, you will be charged the difference between the sale price and the current market price, multiplied by your deficit amount (33.4g in the following example)
        • For example:
        • You confirm a price for 100g of 18k (75 g of pure)
        • You send 100 g of 10k (41.6 g pure)
        • There is a deficit of 33.4 g of pure (75g - 41.6g = 33.4g)
        • You will be given the option to pay this difference by credit card, or have it deducted from the balance that Kitco owes you for the material
    • If you confirm a price for a sale and decide to not sell your material to Kitco after it has been tested
      • If you confirm a price for a sale and then decide to not sell the material after it has been tested, the sale will immediately be cancelled and all of your material will be returned to you. The following fees will apply:
        • A minimum $50 administrative and market loss repayment fee (based on how the price moves, as described above)
        • A $70 handling fee
        • Return shipping fee depending on weight and method of shipping
        • Any applicable processing fees (i.e. melt and assay fees)

    Kitco will attempt to contact you three times by phone and at least once by email (if we have your email address on file) to inform you of the fees before you are charged.

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