7K Metals is a relatively new company that claims it can help you easily generate wealth from precious metals like gold & silver. In fact, they actually state that as a member you’ll be able to live an “exceptional life”…
But with a start-up cost ranging to around $8,000 you might be pretty wary about the whole thing – and rightly so… Well, what’s the truth? Is it really legit like they claim, or is 7K Metals a scam that’ll just end up costing you more money than you ever actually manage to make?
Thankfully you’ve landed in exactly the right place to find out the answer to those questions as I’ve taken a closer look into it all & in this honest review I’ll be uncovering the truth about how it really works… Including whether or not you can really benefit from it.
What Is 7K Metals? | How Does 7K Metals Work? | The Cost | 7K Metals Compensation Plan | Is 7K Metals a Scam? | A Better Alternative
What Is 7K Metals?
On the surface, 7K Metals looks like your average website through which you can purchase silver & gold, at allegedly discounted prices, however, if you dig a little deeper you’ll discover that it’s actually a multi-level-marketing company.
This basically means that alongside the purchasing of precious metals people can also sign up & recruit others to the site in order to earn commissions at their expense… And hence the name “multi-level”, the commissions can be earned from multiple levels of recruits.
So the whole thing has a “behind the scenes” structure which looks similar to the one shown below:
Looks kinda worrying right? Well yeah, that’s because it is kinda worrying. As you can see these types of multi-level-marketing programs very closely resemble pyramid schemes so you have to tread VERY carefully when considering joining one.
Literally the only thing that actually separates it from being classed as a pyramid scheme is where the focus lies. If the focus lies on making retail sales of a genuine product, then the MLM would be legit, but if the focus lies on the business opportunity & making money… Then it is likely a pyramid scheme (which is not legit).
The reason pyramid schemes are such bad news is because they are unsustainable, meaning they will at some point inevitably collapse which will result in most of the investors losing all of their money.
And they also only really favour the people at the very top (as do MLM’s) so overall very few people actually profit from these types of programs. Normally it is just the creator & those that got in early, or those that are very experienced marketers & manage to recruit hundreds of people below them.
The FTC themselves actually put out a publication about MLM’s not so long ago which stated the following:
So yeah, first off 7K Metals is an MLM company – and even if after this review I determine it to be a legitimate company, the overall industry success rate in MLM’s is less than 1% which is not good news.
In my opinion, there are many, many better ways to make money online – but if you’re absolutely dead set on 7K Metals then do keep on reading as I’ll explain how it all works & whether or not I believe there’s actually potential to make any money with it below. 🙂
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How Does 7K Metals Work?
Well, the 7K Metals company which was (according to their website) founded by Zach Davis, Richard Hansen, and Josh Anderson has allegedly been launched to “improve the lives of people around the world” and help people “learn the biggest secrets that have been keeping them from creating wealth with gold and silver“…
But what does this all mean? How are you actually going to be making money with 7K Metals?
Well, first off in order to actually get started with it you’re first going to have to find an “Associate” to refer you to the site as you can’t actually purchase any of the 7K Metals products without a membership…
This means that there aren’t actually any retail sales going on at all, which isn’t good, instead, the people inside of the program who are promoting it are really just promoting a membership… A membership which gives them the opportunity to make money.
So remember what I said earlier about the pyramid scheme thing? Yeah well, it’s definitely not a good start on that front.
But anyway since you’re here reading this 7K Metals review I assume you’ve already found an “Associate”. They’ve probably sent you to the site & now you’re here trying to find out if it’s actually legit…
Well after entering you’re referrer’s ID into the 7K Metals site you’ll find out that in order to get access (even if you just want to purchase some precious metals) you first have to pay a membership fee.
How Much Does 7K Metals Cost?
You can either choose to pay $250 per year, or $10 per month (with a $75 upfront fee)… Which is pretty expensive in my opinion! Especially since this literally doesn’t do anything other than enable you to access their products.
Then, once you finally get access after paying the fee you’ll be able to purchase their products which (as shown below) range from around $46.27 all the way up to a whopping sum of $38,728.70…
It’s worth pointing out though that whilst 7K Metals claim their prices are discounted & that they are selling “At-Cost Gold”, a quick Google search I ran brought up a site that was selling the same 1KG bar for $38,513.71… Which is $214.99 cheaper than 7K Metals (and there’s no membership fee required to purchase it via the site I found either).
Take a look:
With that aside, one way of making money via 7K Metals is obviously by purchasing the precious metals in the hope that the value will increase in the future, at which point you can re-sell & make money…
However as a member of 7K Metals, you’ll find out that that’s not the “real” way to make money with the program, and instead, you’ll be pushed into participating in their referral program, the multi-level-marketing program.
You’ll also be heavily pushed into this by the person who referred you too as the person who referred you will earn a percentage of the commissions you generate (if you manage to generate any), so it’s in his/her interests for you to begin recruiting others… I’ll explain all this below though…
What Is The 7K Metals Compensation Plan?
The 7K Metals operates a typical binary compensation plan through which affiliates earn points when they recruit new members & get them to purchase precious metal packages or products through the site.
When an affiliate recruits somebody who pays the $250 yearly fee they earn 100 points – and then if that person goes on to purchase any products more coins will be awarded to the recruiter with the number of coins depending on the money spent.
More money spent, more coins awarded to the recruiter… So naturally, your recruiter (if you were to join the program) is likely going to get you to invest as much money as you possibly can into the site.
At the end of each week, the amount of points is added upon each leg of the binary compensation plan, and then the affiliate will be awarded $1,000 for every 500 points matched on each leg… But they can only earn up to a maximum of $1,000 per week.
Achieving the required 500 points each week though is pretty darn difficult!
There are also some residual commissions paid out to affiliates too but in order for the affiliates to qualify these they must continually earn at least 25 points each month & they must have also recruited 2 affiliates who have also achieved the same criteria themselves… Which again is pretty darn difficult!
So overall in my opinion the compensation plan doesn’t look all that exciting, which brings me onto…
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Is 7K Metals a Scam?
Well, I can’t exactly say 7K Metals is a scam – but what I will say is that in my opinion, it’s very risky, and given that only affiliates can actually purchase the products it kind of looks a bit like a pyramid scheme.
I mean as far as I’m concerned a legitimate MLM should sell products to the public without them having to pay money to sign up for an affiliate membership or anything, just like any normal online shop would…
It seems to me that there is more of a focus on the actual business opportunity rather than the products & I have to admit that is not something I like. Plus the compensation plan looks pretty lame & I think even an experienced marketer would struggle to make money through it, let alone a newbie…
So overall it’s safe to say that I won’t be recommending the 7K Metals opportunity to you because I don’t believe it will truly help you make money as it claims. In fact, I believe that you would probably be much more likely to lose money than make it if you happened to join.
There are just so many better ways to make money online as far as I’m concerned. There’s no need to invest ridiculous amounts in so-called “at-cost” precious metals or work your butt off recruiting people into an opportunity… You could just join a legitimate (and free) program like Commission Academy instead where you can learn how to properly make good money online, without the risk.
But anyway whatever you decide to do I just hope that my review here helped you out & hopefully it gave you a better insight into how the whole thing actually works. If you do still happen to have any extra questions though then don’t hesitate to leave them below & I’ll get back to you as soon as I can.
A Better Alternative
The sad truth is that unfortunately most of the programs promising to help you make money online are scams. I can say that confidently after exposing over 500+ of them here on this blog.
But the good news is that even though most of them are indeed scams, there are actually some very good programs in amongst them - some programs that can truly help you to earn money.
And out of all of the legit programs I've seen, the one I would recommend the most to anybody looking to get started online is Commission Academy. In my own opinion, that's the best place to start.
At Commission Academy, you'll be provided with everything you need (including the training & tools) to begin earning real money by promoting products or services for companies like Amazon online.
The best part is that there's literally no limit on the amount you can earn with it & the process is pretty simple which means that it's absolutely perfect for people that don't have much experience.
Some wealthy affiliates even earn as much as 5-figures per month... Or more!
I mean don't get me wrong, that kind of money won't just fall into your lap without doing any work... But the harder you're willing to work at it, the more you stand to earn with it.
So if you're looking to get started but don't know which route you should go down or which program you should join (and don't want to waste money on bogus things that don't actually work), then I'd highly recommend checking out Commission Academy first. You can learn more about it here.
Just wanted to inform you that before you write a review about a company, you should have all the facts.
Hi Brenda, I totally agree! Thanks for your comment.
Kudos Brenda!! I saw lots of false claims in his article!
The information published was correct at the time of the review, things may have changed, but my verdict remains the same.
Their compensation plan has changed. My husband and I joined 7K Metals almost 2 yrs ago. We had NEVER had gold or silver…now we had to buy a safe. This is the BEST MLM I’ve EVER been in (I was in Herbal Life, Melaleuca, Amway, etc., just about all of them.) Ended up tossing a bunch of product I had to buy. Do you think I’m tossing any of the precious metals shipped to us monthly?? Nope. We have been receiving weekly checks of $500 and just now starting to receive $1000 checks once or twice a month!! Honestly, for the monthly auto ship cost and the annual membership fee….we have recouped this cost multiple times AND have the silver to boot.
Haha, well one thing’s for sure your comment is comedy gold ?
I find it humorious that you are simply using your little site to pitch another site which is yours. You sound like another CON JOB.
Knocking other companies you know nothing about shows a huge lack of class.
What a poor bugger you must be.
I find it humorous that you can’t spell humorous ? but anyway, that aside – regarding your comment… I’m not sure how you think one website linking to another (known as advertising) is a “con job”, lol & also FYI the site being linked to is not mine as you claim it is. The simple truth as outlined in my article is that most people that sign up to MLM’s (like 7K Metals) fail to make money & instead end up spending more than they actually ever make back.
Very misleading article.
Why’s that Arvon, would you care to expand?
The facts tell the actual story of 7K Metals. It is an at cost precious metals buying club, not unlike Costco or Sam’s Club with members direct pricing on all precious metals bullion. I have, as you have stated, found some sites that may offer a product for less. But with 7K they provide their members with a Buyers Certification training class included with their membership, This training program is not directed at buying from any specific company. The training teaches those with little or no precious metals knowledge the five main reasons a person needs to save tangible precious metals. In addition the training identifies, what to buy, who to buy it from and the tax benefits of buying precious metals. As with any buyer’s club, the ROI is controlled by the amount one spends. The more you spend the more the overall savings.
The memberships all include either a gem uncirculated silver coin or an MS70 rated coun as part of the membership in addition to other membership privileges. I think the comp plan is very nice as well. I joined the 7k buyers club initially to began collecting coins and saving on bullion. But in the past 2 years I have told some of my friends about my membership and I have made over $4000.00. Costco and Sam’s Club don’t pay me when I tell people to go to the club to save money on toilet paper. I would love to have you on my team. Take a look at the new website. You’ll be glad you did. Have an incredible day.
“I have, as you have stated, found some sites that may offer a product for less”… Exactly, so I would buy from them instead. In my opinion 7K Metals offers no REAL additional value to the average consumer that justifies their inflated prices.
This article is lame only because the author has zero valuable information on the importance of stacking precious metals & the ease 7kmetals makes the process. I’m certain the author doesn’t know what Fractional reserve lending means nor who the Fed really is… 😉
Thanks for sharing your thoughts Johnny.
You might want to take a look at all the updates and changes made in 7K from the time of this article and write a new one or resend this one. They have addressed several of your concerns and corrected them as well.
It’s still based around a MLM model & as the FTC stated in their publication on MLMs, less than 1% of all MLM participants fail to make a profit… So my verdict still stands. Most people who join 7K Metals will simply spend more than they ever manage to earn regardless of how they dress the opportunity up.
Hi Dale, Do you mean 99%??? Where can I find that. Thanks Buddy!
Haha no, I meant manage* to make a profit lol (whoops)!
Dale I’m not sure what to say about all the reviews my friend has advise me that he is making some money at the 7K Metals and wants me to join on in. I’m a Fixed income person disabled cannot physically work anymore So any kind of Income would be nice I’m not sure what to do $250 is a lot of money for me not to mention the hundred and $39 a A month to pay for a coin I just would like your input I will list my name and Gmail below thank you Yours truly Johnny Anthony AKA Johnny blue steel No metal pun intended.
Hi mate, the reason your friend wants you to join is that that’s how people in 7K Metals make their money – by signing up & then pestering their friends/family to join in order to earn commissions at their expense. Personally, I would steer clear of it.
Thank you, Dale, I appreciate you sharing your detailed perspective on this MLM.
No problem at all Merlin, you’re welcome 🙂
Lame article
Thanks for your feedback Merlin, how would you suggest the article could be improved? I’m always up for hearing constructive criticism.
You obviously do not know MLM. Government and businesses all look like a pyramid. So the shape should not “worry you” and make you not want to join in what they are offering, should it? Not should you make others think that shapr should too. Additionally the janitor who is at the bottom of the legal pyramid scheme in any non MLM business or as an example a public school ….cannot make more than the Principal or the District Managers ever…. I repeat ever….but in many MLM a person at the bottom of the same pyramid shape can and do make more than those above them. I 100% know this is fact and you should too… even more than all them combined if they choose to work harder than those above them. Feel sad for janitors who work harder than a principal and are always paid wayyyyyyy less. That should worry you and you should write an article about that scam. The only point I agree on is that the public should be able to buy the products. If they don’t sell outside the network of members then it’s only sustainable by members. Which still does not make it a bad thing. All members can and do get savings, can and do (if they work) earn income and get taught a lot of valuable info in MLMs….which Sam’s club and Costco do not offer all these things. Lastly, many people who join one of these are not interested in making money recruiting or training others or selling more products to others. They are just there for the community, training, possible side income or BIG income and the deals on products but I bet that comparing an MLM structure to all other types of business makes sense if you are comparing apples and oranges to worry people. All brick and mortar business typically have much higher upfront and on going costs and that “skin in the game” makes them actually show up to work cuz they are not there to just get training, community, deals on products… they are there to make money money money off people buying their memberships/products/or pay more levies and taxes to get services….which not all people who join an MLM are remotely wanting to get others to do. It’s just part of the membership value that they can access…even the janitors in MLM. Lastly, your site is a bait and switch. You should get educated before you jump on others for your ultimate gain instead of just showing what you have to offer. That should worry you more and your readers.
Hi “Concerned”, I’m actually very well educated on MLMs & how they work. I spent several years researching them & the legalities around them. MLMs should be avoided & the success rates as reported by the FTC are less than 1%. So yes, the opportunity to make “big money” may indeed be there, but fewer than 1% of participants ever make it happen (the top of the pyramid). The rest just spend more than they ever make whilst those at the top profit at their expense.