Three Things That Affect The Price You'll Get For Your Gold...And Two That Won't
Everyone seems to be interested in selling their old gold pieces for extra cash. Most households have broken jewelry, single earrings, gold fillings and even gold flatware that they don't want anymore. It just makes sense to turn those items into cash. However, the price you'll get for your gold pieces varies enormously. Though some of this variance is due to the fluctuating price of gold on the world market, there are many other factors that come into play when the gold buyer determines the price they will quote you.
What affects your gold pricing?
1. The spot price of gold/weight. The most important factor in determining the price you'll get for your old gold is the price of gold by the ounce on the world commodity market. Although you won't get that full price, this price relates to what the buyer will get when he resells your items.
2. Carat/purity. The carat of gold indicates its purity. The higher the carat number (e.g. 24k), the higher the percentage of gold in the item. Since gold is a very soft element, no gold jewelry is made from 100 percent gold. The carat marking is stamped on all gold pieces.
3. Dealer commission. The commission that gold buyers take for their efforts and their risk (after all, the price could decrease before they resell your items) varies quite a bit among different buyers. It's always a good idea to visit a couple of buyers before making a final sale.
Two things that don't affect the pricing
1. Designer labels. Since the major price determinants for most gold buyers are weight and purity, they will pay the same for a Tiffany piece as they will for a "no name" gold piece of the same weight and carat. If you have pieces with artistic or "snob" value, you're better off taking them to a pawn shop.
2. Gemstones. A gold ring with a diamond in it is worth the same amount to a gold buyer as a gold ring of the same weight without the diamond. For that reason, it's wise to remove all of the stones from your rings and other items before you visit the gold buyer. You can sell gems separately.
Pricing at gold buyers can seem random and confusing at first glance. However, if you learn the things that determine the price you'll get (and those that don't), you can maximize the amount of money you'll get for your unwanted gold. For more information on selling or buying gold, talk to a company like Certified Rarities.