Few Questions To Ask Before You Sell Gold For Cash

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Jaimie Restus, Negosentro |  In places like India or where people have jewellery, they often feel compelled to monetize those jewellery in need of cash. In most of the cases; however, it has been seen that the received amount tends to be quite lower than the general expectation. This is why, one should not be ignorant about the rules related to the selling of gold for cash.

The other thing is that the price of gold jewellery fluctuates quite a lot. Selling any kind of precious jewellery involves a lot of risks. You can avoid those risks, if you are armed with the appropriate questions. Here are some of those questions which can help you when you need to sell gold for cash.

  • What Should Be the Approximate Documents to Carry at The Time of Selling?

A proper jewellery shop or an honest jewellery dealer is most likely to ask for the invoice or any kind of document which you got when you purchased that jewellery. This is just to ensure whether the details stated about the golden ornament to be sold are correct or not.

  • What Is the Final Purchase Print?

In general, the gold stores, known for buying gold in return of cash, are more likely to melt the ornaments before anything, in some kind of furnace. They decide the price through the available melted gold, free of any kind of impurity. They deduct the cost of this process, which is supposed to range generally from 4%-6%, from the final price.

  • What Is the Amount You Will Be Gaining?

This is the most important thing to consider before you sell your golden ornaments to a gold shop. In order to know the value of your jewellery, note quotes from multiple shops.  As there aren’t such fixed methods to determine the price, the differences are bound to happen. In some of the cases, the shops have decided a price for each 10 grams of gold and mostly the selling price tends to be 6%-7% lower than the buying price.

  • Is the Purity of The Gold Jewellery Right?

Be sure to check your ornaments to see whether those are hallmarked or not, as they tend to establish the purity of the gold. If it has a 916 hallmark, it means the gold is 91.6% pure. In case it is not hallmarked, you can take it to a shop with carat meters.

  • What Is the Difference Between Real Gold and Paper Gold?

In order to know whether the said price in the gold shop is proper or not, you need to know the difference between the real gold value and the paper value. Mostly, the price which is trending, do not get to be established by the actual metal itself, but the trading contracts. Therefore, know the difference between those two while you need to sell gold for cash.

  • Is the Scaling System Appropriate?

The scales to measure the gold must be appropriate and accurate. Check whether the scales are verified by the department of measurement and weights. The jewellery shops value gold by the Troy or 31.1 grams, not by 28 grams. Others might use a method called the pennyweight.

  • What Can Be the Ideal Place to Sell Gold?

While you are trying to sell gold, looking at just one place is not at all enough. Reputation is important and this is why it is better to find a known local shop. You need to look at different pawn shops to get a clear idea about the market value.

  • What Are the Credentials Offered by The Store?

Check whether the buyer has proper licenses and other documents too. The person is supposed to ask for your driving license and passport or any kind of identity card.

Learn these questions by heart and select the shop where you can sell gold for cash, without any complication.

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