Finances

5 Common Mistakes To Avoid When Selling Scrap Gold

We all accumulate jewellery, with many items that we either grew out of or never really wear. There comes a time when selling it to a gold bullion dealer seems like the right thing to do, rather than simply leaving it to gather dust in your jewellery box.

If you are soon to be collecting your old gold jewellery with a view to selling it, here are a few common mistakes to avoid.

  1. Failing To Check The Market Value – Sadly, there are a lot of pawn shops and jewellery dealers that offer a lower-than-market price. In order to avoid selling for less that the gold is worth, simply check online for the spot gold price, or approach a gold bullion dealer, where you can sell scrap gold for quick cash on the spot, and they have the best prices. It’s the same way when you purchase gold or even opt to buy silver bullion in Adelaide, for example. You always have to check the market value to know the best price to go for.
  1. Used Means Nothing – There’s no such thing as used when dealing with gold, as this very precious metal can easily be melted down and formed into something new, so if a dealer offers a low price due to the fact that the gold is used, simply tell them you wish to be paid the scrap gold value for the weight and purity of the gold you are selling.
  1. Be Unaware Of The Weight And Purity – With something as valuable as gold, you really shouldn’t trust anyone regarding the purity and weight of your gold. It is very easy to find out, as gold jewellery will have a tell-tale 9,14,18 or 24k hallmark, and you can weigh the gold with a set of digital scales. Once you know the weight and gold purity, you can search online for the correct current price, which you would find on the website of a gold bullion dealer.
  1. Settling For A Delayed Payment – Regardless of the circumstances, when you sell gold in any form, you should expect to be paid in dollars, or you could give your bank details to the buyer. When you receive online notification of the transfer, release the gold and the transaction is complete.
  1. Not Counting The Cash – Yes. This does happen. A person is in a hurry and the gold buyer hands them a wad of bills and they assume it is all there. Should you discover you have given less than you should, there isn’t much you can do if you have already left the premises. Always count the money, just as any reputable gold bullion dealer would expect – people make mistakes, sometimes genuinely, and to avoid any errors, both parties should count the cash.

Of course, the price of gold fluctuates by the minute, as global markets open and close. If you think the value is low, wait a while and the spot price of gold might rise. As a general marker, when the economy drops, the price of gold goes up, as investors move out of fiat currency investment, creating more of a demand for gold bullion. When compared to other investments, gold has a stable history.

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