What is the Process of Selling Gold

When the time comes to sell an old piece of gold jewellery that you don’t wear anymore or to generate some extra cash for day to day expenses, what process do you follow to sell gold in Melbourne and make sure you get the best value for your gold items?

 

WHERE TO SELL GOLD IN MELBOURNE

The first thing to think about is where to sell your gold jewellery. You should ensure that you choose a trustworthy buyer. Your options for where to sell gold in Melbourne include:

  • Pawn Shops – this will generally be the least preferred choice for where to sell gold, as it is likely that your gold and any precious stones set in the jewellery will be undervalued. When you sell your gold to the broker at the pawn shop, they will usually assess the item by eye and offer to buy your items for a bargain basement price so that they can on-sell your jewellery at a profit. You’ll usually leave with cash in your pocket, but often not the amount that your gold was truly worth.
  • Gold Refiners – although a gold refiner is more likely to offer you close to market rate for your gold items, they tend to want you to sell gold to them in bulk amounts. If you only have a small amount to sell then this may not be the best option for you. There also may not be any consideration for other stones and precious metals included in the pieces.
  • Jewellery Brokers – for personal amounts of gold this option is likely to be your best bet for a fair and transparent valuation of your gold items. Australian Diamond Wholesale Brokers (ADWB) use industry leading gold testing equipment to assess your gold items right in front of you and will pay you cash if you decide to move ahead with the sale. A qualified gemmologist will also be able to assess any precious or semi-precious stones that are set into your jewellery.

 

WHAT AFFECTS PRICE WHEN SELLING GOLD

  • Purity – Gold is worth its weight when it’s 100% pure. 24 karat gold is the real deal and will generally fetch you close to the market rate with the right buyer. For 18 karat gold, you should expect around 75% of the value and even less for 9 karat gold. The karats are usually stamped onto the jewellery, and though you might need a magnifying glass, it’s worth checking this out before you head in to sell your items so you’re comfortable with discussing the value. Sometimes gold is mixed with other non-precious metals, and you can usually spot this with a magnet. Place it up to the jewellery, and if there is any attraction to the magnet you’ll know the answer.
  • Precious & Semi-Precious Stones – don’t overlook the value of the stones set into your gold jewellery. It’s important to consider their worth alongside the value of the gold. In some cases, the stone may indeed be worth more than the gold. In this case, it’s even more important to ensure you have your jewellery valued by a qualified gemmologist to ensure you obtain a fair and considered price.
  • Mix of Items – if you’re selling quite a few pieces of gold jewellery to a Pawn Shop or a Gold Refiner, you may be inclined to hand it over in one go, however, it is advisable to take the time to separate the items before they are weighed. If you have items of different karats, this may be overlooked if a simple weight of your gold is taken for valuation.  ADWB will asses each of your items individually so that you know you’re getting the best price for each item.
  • Valuation – the most critical determination of price is the fairness and transparency of the valuation process. If you’re looking for the best price it’s important to sell your gold to a trusted broker who will involve you in the valuation process, use industry leading testing to aid with valuation and provide a safe and comfortable environment for the sale, without you feeling pressured to accept their offer.

 

Contact Australian Diamond Wholesale Brokers for more information on having your gold jewellery valued for sale.

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