Is Karatbars International a Scam? Read My Brutal Review!

is karatbars international a scam
Karatbars International Packages

Karatbars International takes an old trade and tries to make it relevant to an ever-changing market. I heard somebody saying, “This is one of the worst pyramid schemes they’ve seen in a long time!” Not only does the company try to sell gold bars that are well over the market price, but they sometimes attack and slander anybody who does not choose to sign up for their scheme.


karatbars international homepage
Karatbars International Homepage 

Karatbars International has been described as one of the classic MLM-companies: overpriced products and big promises In my review, I’ll answer also a big question, “Is Karatbars International a scam?”

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Karatbars International Review

Name: Karatbars International

Founded: 2011 by Harald Seiz

Cost: Starting at $135 up to $2172 + shipping

Type: MLM distributor system

Short Review: Buying gold bars isn’t that bad idea at all. I have considered it myself for several times for allocating my equity. At the moment, I am investing in stock market, real estate, cryptocurrencies and a few other things. If I would buy, I wouldn’t do it through Karatbars International because their prices are much higher than a real market price.

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What is Karatbars International?

Karatbars International is a global company that sells solid gold bars to members and distributors all over the world. The company operates like all traditional MLMs do, which only promises a profit if you are able to constantly recruit new members to your team and sell products to other people. This is the only way to increase sales and put some money back into your pocket.

The gold market is often a tough one to be in, especially since the approximate value of gold rises and falls on a consistent scale. It’s hard to guess how much you’d be able to make by selling gold at any given time. Usually, gold is considered as a way of storing value. Even when the stock market crashes every now and then, gold is a quite stable way to maintain your equity

Karatbars International charges far too much for their gold. The price tag is well over the actual worth of the gold. More details about this in the next chapter when I explain you about their products.

Anyway, I have to give some credit to their founders. They have chosen a pretty unique industry for network marketing. Gold bars aren’t very popular in MLM-businesses. Most of them are working in the health & wellness industry like Herbalife, Mannatech, Isagenix and thousands of others. On the other hand, I think there’s a good reason for that other MLM-companies aren’t selling gold bars. Anyone can buy gold easily from exchanges for a market price. The only way to have this kind of business is to take some extra from clients.

Karatbars International Products

There is pretty much one and only one product sold by Karatbars International: Gold. They sell the gold in small quantities of 24 ct, or 999.9 ct. Purchase options are pretty flexible; you can buy something as small as 1 gram or as large as 30 grams.

The packaging of the gold is quite unique. It’s pressed into a flat square, making it look almost like a credit card. In fact, there’s even a barcode stamped on to it for authentication reasons.

The biggest problem I have with the Karatbars International gold bars isn’t just the high cost, but the low quality of the gold itself based on some sources.

Karatbars International gold isn’t any different than any other company’s gold. It’s very pure, and no alloys are added. Not only is it a soft metal, but this kind of gold can’t be used to make any kind of jewelry either. This adds insult to the injury of an already-overpriced product. In the picture below, you can see that 1g of gold through Karatbars International costs 56,66€ ~ $67.

is karatbars international a scam
Karatbars Gold costs almost 1,7 times more than the real market price of gold.

I checked that the market price of gold is at the moment only around $40 per 1 gram. It means that Karatbars takes 70% extra in their prices. That’s pretty much. What do you think?

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Karatbars International Starter Kit?

There isn’t necessarily a starter kit, but rather a list of possible packages for you to choose from. Of course, each package goes up in price depending on how many products, contents, and bonus features you want.

For example, the most basic package is the “Digital Bronze 5 Units” package. With this package, you pay the lowest possible Karatbars International price of $135, and you are promised a 5% commission on anything you sell. This package comes with a discount card, a bonus card, and an opportunity to sell affiliate links for an additional profit.

That doesn’t even include the cost of buying your own supplies. The other packages immediately skyrocket upward in price, with the highest package, the VIP package, costing a minimum of $2172 plus shipping to get started!

Like all MLMs, there is the opportunity to recruit members to your team and make more and more money based on of their sales and commissions. In theory, there’s nothing wrong with this but the fact that their products are extremely overpriced makes it pretty unappealing.

is karatbars international a scam
Karatbars International Packages

Karatbars International Compensation Plan

In the video below one member of Karatbars International explains their compensation plan in a great detail. Keep in mind that he’s trying to sell the program for you so take everything with a grain of salt.


Karatbars International’s compensation plan is quite a tricky one to understand for some people. On the other hand, this compensation plan is no different than other convoluted MLM plans, with the exception of new terminologies that are made to confuse the target audience even further.

The plan uses the words “left leg” and “right leg” to explain basically how your system works as a leader of a steadily-growing team. They try to trick members into joining by promoting a heavily exaggerated earning projection of over $100,000 per month. If only it were that easy! Based on our research of more than 100 MLM-companies we have seen that less than 0,1% of members earn +$100,000/month.

Personally, I wouldn’t even want to get rich by selling overpriced products. I always want to promote products that have the best price/quality. It wouldn’t make me happy even though I would make $100,000/month if other people would be losing lots of money because of my promotions.

Karatbars International Reviews & Complaints

There have been multitudes of complaints about KaratBars International circulating around the Internet. First of all, one source argues that they made no money by investing in gold bars. That’s not a surprise if you are already paying 70% extra for these gold bars.

The biggest complaint about Karatbars International has come from the Federal level, however. The Canadian Financial Bureau, also known as AMF, issued an official “SCAM” alert across the entire country of Canada. This alert warns people to stay away from anything that is a part of or associated with Karatbars, whether through the Internet or in person.

This makes the legitimacy of this scam far more serious. When the government gets involved, it’s a sure sign that Karatbars International is up to no good.

Additionally, staff members of Karatbars International have been known to attack those who do not wish to promote their products. The company has been known to send rude and immature messages to members, former members, or reviewers of the product and packaging system. No matter which way you look at it, Karatbars is neither a legitimate nor a reliable company. It’s best to stay as far, far away as possible.

100g of gold through Karatbars International costs 2100€ more than from other gold stores.

Conclusion – Is Karatbars International Worth It?

I think the answer to this question is obvious. They are charging so much extra that I don’t see any reason why anyone should join their program. I would love to hear if you disagree 😉

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What do you think about Karatbars International?

Do you have experience with other similar companies?

Let’s discuss in the comments below!

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  1. Karatbars International dealing with Gold Bars in MLM looks like a great business prospect and I think that it’s simply because most MLM products focus on beauty products and health care, so with Karatbars International focusing on gold bars might be the reason why they are trying to exploit the market with high prices.

      1. Exactly! The sooner their products prices are reduced, the better chance of getting more people to invest in such MLM products. But should the price remain at the point it is at the moment, investors will always look for better alternatives.

  2. If Karatbars International sells gold, why should I buy with them for more money when I can easily buy gold from a local store. The gold I buy from a local store can be used for jewelry, sell for cash or get a gold loan from the local bank. I don’t see a valid reason for buying gold from MLM company.

    1. That’s exactly true! It would be much better buy gold from a “real” gold company. I am most likely going to write a review in the near future about Regal Assets because they seem to be one of the best gold providers.

    2. One problem we have here is that most people saying to deal in gold sales are mixed up with selling gold that are not pure gold. What could be the best way of knowing pure gold?

  3. It’s a shame they are doing business in the way they are doing because it does sound like a good idea. I myself would be happy not only to be a potential buyer but also to run such a business because I think it can be profitable and also it can be a fairly safe bet since gold will forever be valuable.

    However, like you have said, it’s a shame that they set their prices too high and are doing other seemingly shady practices. I’m sure there are other alternatives out there who are doing this better though.

  4. Wow, We all know that when it comes to karat it is about a big amount of money because it is gold. I want to earn a lot online but when I saw this site I get nervous because this is really a big amount of money. I am afraid that when I lost it I will become wanted lol HAHA.

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