Who Is Lear Capital?
Founded in 1997 by Kevin DeMeritt, Lear Capital is one of the oldest precious metals dealers in the United States. Headquartered in Los Angeles, California, the company has facilitated billions of dollars in precious metals transactions over nearly three decades.
Lear Capital appeared on the Inc. 5000 list of fastest-growing private companies multiple times and built a substantial brand through aggressive TV advertising and radio sponsorships. In 2024, they announced a high-profile partnership with Glenn Beck.
However, Lear's history is complicated by significant regulatory actions that investors must understand before doing business with them.
The Regulatory History: What Happened
Key Regulatory Actions
2022: New York Attorney General Settlement — $6 Million
NY AG Letitia James secured a $6 million settlement from Lear Capital for "deceptive business practices." The investigation found that Lear charged excessive spreads on precious metals (sometimes 30%+) while obscuring the true costs from customers. The settlement ended Lear's operations in New York.
2021-2022: Bankruptcy Proceedings — $5.5 Million Settlement
Lear Capital went through bankruptcy proceedings that resulted in a $5.5 million settlement related to fee practices. The company emerged from bankruptcy but with significant reputational damage.
These aren't minor issues. The NY AG specifically cited Lear for:
- Charging spreads of 30% or more without clear disclosure
- Pushing numismatic (collector) coins with inflated premiums
- Aggressive sales tactics that obscured true costs
Current Status: The Rehabilitation Attempt
Following the settlements, Lear Capital has attempted to rebuild its reputation:
- Maintains A+ BBB rating (though complaint volume remains elevated)
- Secured Glenn Beck partnership (2024) for credibility
- Continues operations in most states
- 4.6/5 rating on Trustpilot
The question is whether these changes represent genuine reform or simply new marketing over old practices. Investors should approach with appropriate skepticism.
Fee Structure
Lear Capital's fee structure has historically been a source of complaints. Current reported fees:
Lear Capital Fee Breakdown
- Minimum Investment: $7,500 - $10,000 (varies)
- Setup Fee: ~$280
- Annual Fees: $200+ (custodian dependent)
- Product Spreads: Variable — request specific quotes and compare
⚠️ Critical: Always get total cost in writing before purchasing. Compare the "all-in" price against spot price and competitor quotes.
Products & Services
Metals Available:
- ✅ Gold (coins and bars)
- ✅ Silver (coins and bars)
- ✅ Platinum
- ✅ Palladium
Account Types: Self-directed IRAs, Roth IRAs, SEP IRAs, 401(k) rollovers
Proprietary Products: Lear Capital offers exclusive coins and products. Be cautious—these often carry higher premiums and may have lower buyback values than standard bullion.