Nowadays, there seems to be a trend in gold investment going on. In fact, many people are buying and selling their gold jewellery frequently for their personal reasons. Buying and selling of gold jewellery is a big business these days. People purchase gold jewellery with the point of view of future security. Whereas, they sell it for getting instant cash as gold is one of the most liquid metal in the market.
Hence, if you are thinking the same, make sure you are known to the current gold market situation. Ask certain questions like – Where you will sell your gold, what is the current rate of gold going on in the market, Is your gold jewellery worth selling, and are you really getting the best value of your gold jewellery?
Well, answering each and every question may be difficult for you. Hence, here are some of the quick tips for selling your gold jewellery for the best worth!
Ascertain the Worthiness of your Gold!
It may be confusing a bit, but determining the value of your gold jewellery stands at a prominent place while selling it. You may ask why is it so?
Well, there are basically three variables that affect the amount a seller might get from the scrap gold. They are:
- The current gold rates
- The karat – How pure gold is used in your jewellery
- The weight – gold is generally sold in troy ounces, pennyweights, and grams
These three factors show up the actual worthiness of your gold jewellery. In fact, any buyer will verify your jewellery first by following these variables. The factors are the assurance that your jewellery is worth of the amount.
Hence, if you want to know the distinguishing difference of karats and weight of gold, they are stated here.
- The pure gold comes in 24K (Karat). It is very soft in structure and bright yellow in appearance. Often, it is difficult to use 24K gold jewellery because it can easily get bent in any shape. Hence, other metals are blended in to give it colour and hardness variation.
- If any metal is added to the gold, its karat might differ from that of 24K. You can find different stamps such as 14K or 10K on some of the jewellery as well.
- For testing the purity of the gold jewellery, there are different processes used such as scratch or acid test, X-ray fluorescence scan, or electronic tester. These days, the importance of testing processes has increased because fraud in stamps is more common in current situation of gold market.
- Once the jeweller is ensured with the purity, the next thing to consider is the weight of your gold jewellery. The value of your jewellery is known by weighing it. Further it is calculated on the per-gram value against the current market rates of gold. This will conclude – what is the weight and how much karat of gold jewellery you have.
Something interesting to know before stepping ahead!
Gold is one of the most precious metals that can help you get liquid cash, but do you know that its price changes by every hour. There is no stagnant price for gold. No doubt, its purchasing formula never changes, i.e. the weight and the karat. But, when it comes to its spot price, it’s not stagnant.
Surplus to that when you’re selling your gold jewellery, you first visit more than two jewellers for knowing the price variation. Yes, you may come across different price variations because the profit margin of every jeweller is different.
You may be thinking why is it so? Well, gold buyers are not bound by any restriction when it comes to buying gold. It’s upon their wish, they can give you the entire 100% of value of your jewellery without making any money, and on the other hand they can also make a huge margin of profit and pay you less.
Hence, it’s always preferable to sell your gold jewellery to a reputed jeweller, which will pay you more percentages of current gold prices in the market.
But, Now the question is where your gold jewellery can be sold?
The real question of every seller is, “where he or she can sell the gold jewellery so that they can get the best value”. The answer is – you can visit different jewellery stores, pawn shops, and jewellers to get the best deal. It is important to keep certain things in mind while selecting your gold seller. The things are:
- Make sure to select a reputed jeweller or a pawnbroker when planning to sell your jewellery. Forgery is way more common these days. Hence, it’s more appropriate to look for someone who is known to you because they have a reputation to protect their interest.
- Watch out for a permanent location of the pawn shop or the jewellery. It’s always important to sell your gold to a place with a fixed address. In fact, it’s even better to visit the store before selling it.
- Ask as much as questions you have in your mind to the jeweller or the pawnbroker when selling your gold. Make sure that the jeweller is being transparent about how they determine the value of your jewellery. In fact, if you have added stones in your jewellery, ask them about how they are going to price your jewellery.
Hence, if you think selling your gold to a jeweller will help you get the best rates, well there are other great alternatives as well such as pawn shop. You can get the best out of your used jewellery from the pawn shop without laying any extra efforts.
