Lear Capital Review (2026): What Regulators Found and What It Means for Buyers

Lear Capital in One Minute

Lear Capital is a Los Angeles precious metals dealer that says it has operated since 1997 and has handled billions of dollars in transactions. It sells gold and silver directly and for self-directed IRAs, and promotes a price match guarantee and an A+ BBB rating on its website.

Lear also has a significant regulatory history. In 2022, it paid $6 million to settle a lawsuit by New York's attorney general alleging it failed to disclose commissions of up to 33%. It then went through bankruptcy, and in 2023 state regulators announced a $5.5 million distribution to investors under its bankruptcy plan, along with commitments to improve its sales practices.

The New York Attorney General Case

In June 2021, New York's attorney general sued Lear and its founder, Kevin DeMeritt, alleging that Lear persuaded investors, including many elderly residents, to buy precious metals while charging undisclosed commissions of up to 33%, and that it failed to register as required. In 2022, Lear agreed to pay $6 million and to provide clear fee disclosures and a 24-hour cancellation period for retirement and certain higher-fee transactions in New York, according to the attorney general's announcement.

The Bankruptcy Settlement

While state regulators were investigating, Lear filed for bankruptcy. Under its plan, approved in Delaware bankruptcy court, Lear agreed to provide $5.5 million for investors and to change its practices, including not misrepresenting fees and not acting as an investment adviser, according to the Tennessee Department of Commerce & Insurance. The pro-rata distribution covered buyers from January 2016 to March 2022.

New York AG (2022)$6,000,000

Bankruptcy distribution (2023)$5,500,000

What This Means for Buyers Today

The cases centered on how fees and commissions were disclosed. Whatever dealer you consider, insist on:

• A written breakdown of the markup or commission on each product.
• The same-day buyback price.
• Written cancellation terms.
• Clarity that the dealer isn't giving investment advice about your other holdings.

1. Ask for every fee and the commission on each product in writing.
2. Compare the buyback price on the same day.
3. Check regulator records and complaints.
4. Take time to decide; avoid high-pressure calls.
5. Consider moving only part of your savings into metals.

Alternatives to Consider

Our top pick, Augusta Precious Metals, emphasizes education and reviews buyback bids with customers, and offers a free guide on dealer tactics. For smaller accounts, Noble Gold is our budget pick from $20,000.

Is Lear Capital a Scam?

Lear is a real, long-running dealer that continues to operate, but regulators alleged deceptive fee practices, and it paid settlements in 2022 and 2023. We'd compare carefully and insist on written fee disclosures.

Pros and Cons

Frequently Asked Questions

Our Verdict on Lear Capital

Its settlements are a reason for caution. Compare written costs with our picks before buying.

Precious metals prices can fall as well as rise, and a gold IRA carries setup, custody and storage fees. This page is general information, not financial, tax or legal advice. Consider speaking with a licensed financial professional before moving retirement savings.