How to Get the Best Value When Exchanging Gold for Cash?

by | Jul 23, 2022 | Jewellery

Substituting the gold to get cash during periods of emergencies is a common practice among Indians. People in this country sell off old jewelry to get those replaced with new items during the marriage of their wards.

In both cases, they want a fair value while exchanging gold for cash. Lack of proper knowledge about the gold market often leads them to the clutch of frauds. They get much less amount than the items under their disposal deserve thus missing the mission.

In the article, we have tried to provide you with guidelines to get the best price for the jewelry you sell.

Deal with an institutional buyer

Dealing with established and recognized buyers will offer you a host of benefits. Branded companies work under schemes of fixed policies. The staff there are also comfortable working under the guidelines. You can expect professional behaviors from these people. 

For instance, companies like cash on old gold use stipulated policies to check the purity of gold in the ornaments or bullion that people produce before them. Observing a stringent policy also delimitates scopes of fraudulence.  

Make sure that the buyer operates in your city

At the next level, you need to ensure that the company you have chosen operates in your city.  This is more important if you reside in tier-II cities. Deceiving buyers usually assemble in these cities.

Being unable to withstand the pressure of the cut-throat competition in the market, these companies often declare false, lucrative offers to attract people. Evade those offers; there are chances that you may lose the entire worth of your items. Trust only the Patented buyers including the Cash on Old Gold. They offer spot prices for your gold bullions and ornaments.

Search out the current market prices of gold

Know your purpose of selling. Check if you need the cash now or can wait till the market flourishes and you can avail the best price.

Online selling can offer you a much better price than physical selling. The buyer online does not require maintaining an office thus they have no institutional expenditure. Thus, their quotes will reflect better prices.

You need to check the market price of gold every now and then. Continuous updating of the information would help you stay alert to the price fluctuation of gold. You can sell the items when the price of gold is at its peak. 

Calculate what your items are worth for

You should start the selling procedure by checking the melt value of your ornaments or bullions. The process is comparatively easier if you have Hallmarked jewelry. Hallmark is a pure indication of the purity of gold in ornaments. A 916 hallmark in pieces of jewelry would mean that the purity of gold in those ornaments is 91.6 percent.

For other ornaments, take your items to the registered laboratories. The experts there will testify to the extent of gold present in the items by determining their karat.

The evaluation of karat against weight will help them calculate the melt value of the items. Putting the melt value on the market price of gold helps get the selling value of the ornaments. 

** Place the item-wise karat value to the buyer. Show him the certifications that the laboratory has offered you to skip discrepancies and avert hassles. 

Check out your buyer’s policy while calculating the purity of gold

Though it is not desirable, people often cannot wait for laboratory valuation of their gold. They need spot prices and need to depend on the buyer’s assessment. 

While at the buyer’s place, insist that the buyer informs you of the testing and verification method of the purity of gold.

Reputed companies like Cash on old Gold inform the sellers about the testing method in detail before sending the items for verification. They use advanced methods to calculate the amount of pure gold in the ornaments or the bullions and their worth. You can see the methods to get complete mental satisfaction.

Final words

Once you have decided to exchange gold in your possession for cash , make one thing clear. You will not get market prices for the items. The conversion process from Jewelry to raw gold is too high. You will be losing the making charges even if you sell the merchandise to the company that had sold them to you before.