The price of gold continues to rise, and this had led to a rapid expansion of the gold buying industry. You can’t escape the endless flood of advertisements telling you to bring or send your gold and walk away with cash. There’s something those advertisements don’t tell you, though. If you’re unprepared or if you deal with a disreputable company, you’ll be getting pennies on the dollar for your gold. Here is some information that can help you through the process.
First Off, Understand What You Have
The first thing you need to know is what it means to have scrap gold. Scrap basically means useless or wasted, and scrap gold is just that, useless to you. It can include bent or broken jewelry made of gold, chains or bracelets that are hopelessly tangled, casting gold and grain, gold flakes, alloys that contain gold, and even gold dental work. You might even have gold from industrial applications. The key is recognizing what you have, the purity of gold it contains, and how much of it is in your possession.
Valuing Your Scrap Gold
Gold is typically sold in pennyweights, with each pennyweight representing one twentieth of an ounce. Weigh your gold and convert it to ounces to determine what you have. You can then multiply the result by the price per ounce, but don’t forget that the price is for pure gold, and you likely have gold of a different caliber. Also, keep in mind that you can’t hope to get the market price for gold unless you’ve got gold in pure form that requires no smelting (melting, refining, and forming.) Gold in coin or bullion form, for example, will carry a cash value much closer to the market price. You can expect far less for your scrap gold, but there are very significant differences between dealers, so don’t be content with a low price!
Choosing Where to Sell
The important thing to remember here is that you want to only deal with very reputable and established companies. Even some reputable companies will offer you far less than you can get. The mall gold buying setup with the expensive furniture has to pay for their location, and they pay for it with the deep discounts they receive when they buy your gold! Selling your gold to a fine jeweler offers two distinct advantages when you can locate one that buys gold. First, the jeweler has a main business operation that isn’t gold. That means the company’s operations pay the rent and the bills. The gold purchase is a service offered to benefit their clients, and they’re able to pay more. Second, the jeweler is interested in a long term relationship with you, one that doesn’t end when you’ve finished selling gold but hopefully involves wedding rings, gifts, and other transactions for years to come.
If you have scrap gold, you can have cash, but make sure you stay on top of the items discussed here to get the best possible value for your asset.