Non-bank precious metal dealer safe deposit box
facilities in Switzerland

Many precious metal dealers in Switzerland and Liechtenstein offer their customers bank-independent safe deposit boxes for storing gold and silver. A Swiss bank account is not usually required, which saves on account management fees. But remember, the rental for these private safe deposit boxes is generally significantly higher than the cost of a conventional bank safe deposit box.

Many Swiss precious metal dealers equip themselves with a storage vault used primarily to secure retail goods held within their store. This secure facility not only benefits their own warehousing arrangements but is also available to their customers when required. And depending on the provider, customers may be permitted to store just precious metals, or perhaps other kinds of valuables too. Unlike banking institutions, conventional gold retailers are not bound by the statutory reporting obligations enshrined in automatic exchange of information agreements (AEOI or sometimes called Common Reporting Standard CRS) or required to forward customer data to a central safe deposit box register.

The following questions will help you consider the advantages and disadvantages of dealer safe deposit box facilities in Switzerland:

If the facility is bank-independent, how is the rental to be paid?
Is insurance included in the rental price or even possible, and up to what sum is it insured?
Are customers obliged to purchase goods exclusively from the provider, and are designated minimum trading volumes imposed?
Do hirers receive all the safe deposit keys?
How is access regulated, and is any form of registration required?

You can find all the answers on this page.

Safe deposit box sizes, insurance, and methods of payment

Most bullion dealers who provide safe deposit facilities will have a range of different sizes available. They are suitable for storing precious metals (but please do check the weight limits!), jewellery, documents and other valuables, with some bullion dealers also prepared to store cash. Depending on the size of the safe deposit box, it may cost between 300 and 3,500 Swiss Francs to rent a private safe deposit box. Insurance is not always included, but where this is offered it provides only basic cover with maximum sum-insured limits of 5,000 to 25,000 CHF. Full insurance cover with higher loss limits can also be arranged subject to an additional charge.

Note You cannot store goods which are prohibited or considered dangerous – such as narcotics or explosives. It is not uncommon for a contract to stipulate that the owner may request proof of the type of contents held in a safe deposit box – or claim the right to inspect the contents if there are reasonable grounds for suspicion.

Virtually the same facilities are open to both Swiss residents and those from other countries. However, the actual number of safe deposit boxes available is often limited – primarily because dealers regard this activity as just a sideline to their core business activity of buying and selling precious metals. So, in practice, not all safe deposit sizes may be available, or there may be a waiting period.

Customers can usually choose from a range of different payment methods. In addition to classic payment methods such as bank transfer or direct debit, some retailers also accept payment in cash or digital payment via cryptocurrencies. However, only cash payments really guarantee anonymity; all other kinds of payment are recorded and therefore traceable.

Note To open a private safe deposit box facility with a precious metal dealer in Switzerland, the client must apply in person and present ID documents for verification purposes. That data is then recorded in a safe deposit contract, with one copy held by the owner of the safe deposit facility.

Storage locations, access and key allocation

Because bricks-and-mortar gold dealers are dependent on customer footfall, their shops are commonly found in central locations in cities like Zurich or Geneva. However, this is not always an advantage where discreet storage is concerned. Here, a more secluded location is much preferred, because the greater privacy also provides a much more secure environment – particularly important for the safe delivery of valuables. In addition, safe deposit box access is usually confined to business opening hours. So anyone wanting to deposit gold or silver outside these times must make an appointment. In addition, such an arrangement usually attracts a high surcharge to cover the cost of additional security personnel. A written record is usually kept of all access visits.

Key allocation can often be regulated in very different ways. Many providers only issue two keys, and keep an extra one for themselves. Others hand over all available keys to the client, but require entry via a further security lock. Double locking systems are also very common. It is thus advisable to enquire very carefully about access procedures and make a final decision taking your own priorities into account.

Warning If you lose a key, the entire lock must then be replaced, and such costs are charged to the client. If all keys are lost, the lock must then be opened by force under notary or client supervision – at which point the safe deposit contents will also be recorded.

Obligation to purchase from a gold dealer or minimum purchase volumes

In-house safe deposit boxes provided by Swiss precious metal suppliers are often exclusively reserved for their own customers. And to perpetuate this practice, new customers may be asked to commit to minimum purchase volumes. A safe deposit box can thus be rented in return for a purchase investment of 20,000 to 30,000 Swiss francs. This is a clear obligation to buy: Customers must use their investment budget to purchase coins and bars made from gold, silver or other white metals direct from the provider.

If no further regulations prevent this, your existing precious metal holdings and other assets can also be deposited in the same dealer’s safe. In such circumstances there is rarely any obligation to maintain an annual minimum purchase volume. For clarity, it should be added there is nothing inherently wrong with purchasing all your precious metals from the same supplier, provided those investments are planned and the desired products are available and in stock.

Legal reporting obligations applicable to bank-independent providers

As previously mentioned, Switzerland has no central safe deposit box register, as is now legally required of banks in many other jurisdictions. Furthermore, precious metal traders are not bound by the terms of the Swiss banking system’s Automatic Exchange of Information (AEOI or often called Common Reporting Standard CRS). However, once any company acts as a financial intermediary – for example, by investing money on behalf of its customers – that company is automatically deemed part of a self-regulatory organisation (SRO). That means they are subject to monitoring by supervisory bodies acting for the non-banking sector, whose task is to ensure such companies abide by the provisions of Article 24 of the Swiss Anti-Money Laundering Act. Such organisations are in turn subject to regulatory control under the Swiss Financial Market Supervisory Authority (FINMA).

For customers, this means that any services provided which are associated with the financial sector are recorded and the relevant data must then be stored. So if a customer instructs a financial intermediary to purchase and store gold or silver on their behalf, that transaction can always be traced at any time. This particular mechanism also runs the significant risk that data from a purely private purchase will be captured in error and included in the registration process.

Tip If you value absolute discretion: Before signing any contract you should always check whether your chosen safe deposit box provider also offers direct sales as part of their service.

Overview of bank-independent safe deposit boxes at precious metal dealers in Switzerland

A bank account is not required to open a safe deposit box with a Swiss gold dealer.
Many providers will accept payment of the annual rental in cash.
Payment via cryptocurrency remains a relatively new concept.
Retail premises are often located in city centres, with access limited to normal business hours.
When renting a safe deposit box from a dealer, new customers must expect minimum purchase obligations and a sales volume commitment.
Conventional precious metal dealers are not subject to reporting obligations in Switzerland – but those offering additional financial intermediary services might be.

Conclusion: Check all quotes and contracts very carefully!

Provided they will accept payment in cash, Swiss precious metal dealers offering private safe deposit box facilities independent of any banking system can seem an attractive option. However, high rentals and minimum purchase thresholds, which effectively limit customer investment options, represent significant disadvantages. And if the chosen gold dealer also provides additional financial services, discretion can no longer be guaranteed. So all quotes and safe deposit box contracts should be examined very carefully before making any binding commitment.

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Non-bank precious metal dealer safe deposit boxfacilities in Switzerland