Updates to S.T.A.R. Parcels Storage Fee
Effective November 1, 2024, we will be making two changes to our S.T.A.R. Storage Fee Model:
- We are transitioning from a fixed Singapore Dollar based fee to a fee that is determined by a percentage of spot price at the date and time of your renewal. This fee remains fixed for the entire duration of prepaid storage purchased (up to 5 years).
- We are introducing discounted storage tiers. These tiers automatically lower your storage costs–at renewal time–as the amount of stored gold and silver (in boz) increases.
Click here to view the new updated S.T.A.R. Parcels storage fees.
Fee Example
If gold is trading at 2,600 USD per troy ounce when a renewal is submitted, and the annual storage fee percentage is 0.3% then the annual storage fee is 7.80 USD per troy ounce.
If the renewal is pre-paid for 3 years, then the 7.80 USD annual fee will apply to all 3 years regardless of gold price changes. Should you sell the gold early any non-utilized storage fee will be refunded.
Compared to our current standard rates (based on current spot prices), the new system will result in the following:
For Standard Pricing (< 10,000 boz):
- Slight increase in gold fees
- A decrease in platinum fees
- Similar silver fees
Discounted pricing (>= 10,000 boz):
- Similar gold fees
- A substantial decrease in platinum fees
- A decrease in silver fees
Bulk pricing (>= 50,000 boz):
- A decrease in gold fees
- A very substantial decrease in platinum fees
- A substantial decrease in silver fees
Discounted Storage Tier Example
Bulk Storage, for example, would reflect a lower gold fee percentage to 0.25%, from the standard rate of 0.3% per annum. If gold were to trade at 2,600 USD at time of renewal, the resulting fee would be 6.5 USD annual fee.
Your account is automatically upgraded to a better rate when your holdings reach or exceed 10,000 boz “Discounted Storage” and again when your account reaches or exceeds 50,000 boz “Bulk Storage”. A “boz” represents ounces stored in your account whereby a silver ounce counts a one boz and gold or platinum ounce counts as ten (10) boz.
Next Steps
These new rates will become effective November 1st 2024, Singapore time. If you prefer the current pricing, you have the option to lock in the existing storage rates for up to 5 years from the present date, by extending your storage before November 1st.
You can do that now by logging into your Silver Bullion account and following this link.
Any unused storage fees will always be refunded upon sellback of metals to Silver Bullion.
These changes are made in part to better align with insurance market participants who also charge based on percentage of valuation. If you have any questions or want to discuss your options in more detail, schedule a consultation with our customer service team.
Thank you for your continued trust in Silver Bullion. We are committed to providing secure, transparent, and competitive storage solutions that meet your needs today and in the future.