Selling old gold jewelry, coins, or bars can put some extra cash in your pocket. It’s a smart way to help pay off debt or put the money toward something you really want.
To avoid disappointment and make sure you get the best price, follow these tips for selling gold and learn more about the value of the gold you own.
Sell to a Bullion Dealer
The most important tip is about where you go. There are a lot of options, including pawnbrokers, jewelers, and hotel buyers, but your best bet will probably be a bullion dealer, especially if you have gold coins or bars.
You will want to avoid events like gold parties or hotel buyers (where traveling buyers set up in a hotel or similar). These often involve practices where jewelry of different karat values will be weighed together, and the offer is made on the purity of the lowest-karat jewelry.
You will want to look at the hallmarks on your jewellery and separate it by karat so you get a quote based on its full worth.
Shop Around
You don’t have to accept the first offer you get. You can and should take your gold around to multiple buyers and see what they’re willing to offer. Depending on the market at the time and their own expenses, there can be a significant difference between the prices offered by different buyers.
If you’re uncomfortable with the pressure a buyer puts on you to accept the deal, it may be time to walk away. There is a robust market for gold jewelry, coins, and bars. There will always be someone else willing to purchase gold.
Insure Mail-In Gold
If you live in a smaller town without a gold buyer, you may explore mail-in options. When you sell gold by mail, you send a description and photos of your gold and get an estimate from the buyer, but you don’t receive payment until the buyer has received the shipment.
It’s a good idea to research these companies and make sure they’re in good standing. You will also want to make sure that your jewelry and other gold is insured when you mail it. A good bullion dealer may even send the packaging and insurance you need to make sure the jewelry arrives safely.
The Difference Between Jewelry and Bullion Prices
When it comes to bullion vs. jewelry, you may find that there can be significant price differences. This usually has to do with the purity of the metal. Bullion coins and bars are .999 gold or higher, meaning they are 999 parts per thousand pure.
However, because gold is a malleable metal, it’s prone to denting and damage in its purest forms, which makes it impractical for jewelry. Jewelry tends to contain more alloys and has a lower purity, measured in karats.
Karats are based on a system divisible by 24, so one karat is 1/24 pure gold, or approximately 4.17% pure. This means 12-karat gold has a purity of 50%, and 22-karat is 91.7%.
Selling gold doesn’t have to be complicated. Shop around, take your time, and make sure you get the best price.
Photo by Bulbul Ahmed