In these times of financial uncertainty, many people turn to gold to build a retirement nest egg. Still, gold markets are hard to understand. Read on to learn all the details of the gold trade.
Investigate the reputation of any firm you are considering doing business with. Contact your local Better Business Bureau to see if there have been complaints filed against a gold dealer. Reputable buyers usually pay fairly for gold, and they often have much better customer service versus the less reputable ones. Stick with them to protect your own interests.
Be aware that any items containing gold can be sold to someone dealing in gold. Whether it is jewelry or home decor related, it could be an everyday item that you have within the home. It doesn’t have to be 24 karat either. Plated gold will do. You’ll still get a decent return on your sale.
Whenever you’re looking at selling scrap jewelry or gold it is best to explore many different companies to know the offers are legitimate. Even though the market “spot” gold price is the national standard, not all stores will pay it. Local stores that don’t have outrageous overhead may be able to pay you more for your gold.
Always check the daily spot price before you buy gold. A number of websites feature this information, and it changes daily. Never buy something listed at more than ten percent of the spot price. Occasionally an unethical dealer may try to overcharge their customers.
Before selling you gold through the mail, be sure you know what the procedure is for getting your items back and any costs involved in doing so. While businesses may claim free shipping, they may also charge you to send the pieces back. Make sure you know in advance what you might have to pay to get your jewelry back.
GoldMoney is a popular resource to use in gold buying efforts. You will own some actual gold, but it won’t be in your possession. You create an account and fund it; then your account is given some gold at the market price. Of course, you won’t actually have the gold. It will stay in the bank, but you can cash it in, portion it or even redeem it to receive one-kilogram bars of gold bullion.
Use a magnet to quickly determine whether an item is really made of gold or another precious metal. Precious metals, gold included, are not magnetic. Often the clasp of a piece is real gold, while the rest of the piece is just plated. You can test your jewelry this way.
If you’re at a gold party you should speak with the person in charge so you can figure out what karats are in the jewelry. The item is stamped, a lot of times. In some situations, though, no visual sign presents itself, so there are other ways of determining it. Acid tests are simple ways to do this, so if the rep does this, they’re probably new to the business.
In many jewelry designs, support pieces like the backs of earrings will be made of solid gold, despite the rest of the piece not being solid. Ring bands and the clasps of necklaces usually are, too. Those odd pieces should be sold as one lot, as they weigh so little on their own. By selling them as a collection you will get a higher price.
One option when selling your gold is to send it away in the mail. Lots of sellers prefer this process, as it is easy. They send you a prepaid envelope, which you then turnaround and send your jewelry to them to get your check back later. But, keep in mind that you may not get as much money this way. You can lose as much as a third of the value.
If you just want to off-load your gold, you should pause. Gold tends to raise in price and while the price is very high now, it could go down more later. Retaining ownership of gold may be a great benefit in the future.
To invest wisely in gold, know how to test the grade of the pieces. You measure gold purity using karats. A higher number indicates a higher degree of purity and, therefore, a higher price. Although a lot of gold jewelry has a karat stamp, you should verify its accuracy. Understand the purity of your gold to get the best possible value.
Have a game plan when you’re planning on putting your money into gold. Though gold stands up well against a bad economy and inflation, it can be risky. Setting the right limits and also the right goals will have you faring better in the gold market.
Gold investing has created wealth for many people. You need to be educated to deal wisely in gold. The information in this article should give you a good jumping off point for buying and selling gold.