Gold has always been considered a valuable asset. The precious metal is often used as a form of payment or investment. However, the average price of gold has increased significantly over the last decade due to the global economic crisis. This means that you can sell your gold at a competitive rate.
The best part is that people no longer have to stand in long lines at the pawn shop. Instead, they can conveniently and easily sell their gold online.
In this case, with every good deal comes an instance of seller beware. This means you should do your homework before deciding where to sell your gold. Here are some things you can do to get the best value for your gold.
1. Choose a Reputable Gold Buyer
When looking for where to sell gold, check online for a list of reputable dealers in your location. In addition, you can check the Better Business Bureau for registered gold buyers. BBB provides a business review about the dealer, highlights any complaints regarding their business, and shows if those complaints were resolved.
When wondering where to sell gold, there are other places you can go including online, pawn shops and jewelers, auction houses, buying a gold IRA account, or selling privately. Most people have found the most convenient way to sell gold is online.
2. Understand the Gold Scale
The value you get depends on the weight of your gold. However, jewelers use a different scale called a Troy ounce. A standard scale measures 28 grams per ounce, but the Troy ounce measures 31.1 grams per troy ounce. Other dealers use a different system called pennyweight to measure the Troy ounce.
A pennyweight is equal to 1.555 grams. Therefore, you should be alert so that the dealer does not measure in pennyweight and then pay you by the gram value. If this happens, you get paid a less amount for more gold weight. But if the dealer is trustworthy, you can get a high value for the actual weight.
3. Understand Your Karats
According to the FTC, jewelers should show the karat quality of the alloy used with gold on every jewelry. The alloy is used to make the gold more durable and add color. One karat is equivalent to 1/24 weight of pure gold. Therefore, a higher value karat will get you a higher amount in price. However, if yours is plated gold, you cannot expect to get the value of real gold.
Also, the places where to sell gold should weigh your jewelry of different karats separately. Some sneaky dealers measure all your different karat jewelry together and then offer you an amount based on the price of the lowest karat. In this case, you get a low amount for your gold. You need to ensure your jewelry is separated by karat to get the highest price value.
4. Research the Market Price for Gold
Different places where to sell gold will have varying prices for your gold. The best way to know the market price of your jewelry is to check with an online source such as gold price. Most dealers take advantage of the fact that you could be looking for some quick cash to offer you less money than the actual value of your gold.
Real gold will always be worth a high value. It is up to you to do due diligence before deciding where to sell gold. Now that you know what to check before selling, you can ask for a high price value for your gold.