The trading of gold has caught the interest of a lot of investors, given the safety and hedge it gives against economic turmoil. To make money in gold, however, takes some education and experience. It takes some forethought. Keep reading this article to learn what gold can do for you.
You need to know what a karat is. Gold is a soft metal so it must be combined with other metals for durability. Each karat, which is 1/24 pure gold, tells you how much gold is in the alloy compared to other metals. A piece that has less than 10 karats cannot legally be called gold.
Before selling your gold to an establishment, make sure that they are a reputable seller. Check with your Better Business Bureau to make sure that they have given fair prices to people. You don’t want to sell your gold to someone who will cheat you out of the precious gold you’re selling.
When mailing your gold away for sale, make sure to read all the fine print before sending it in. Some buyers have less than stellar reputations, and you will not see this until you read the fine print. Make sure you are comfortable with all the terms you are agreeing to, or look to another location to sell your gold.
When you are buying or selling gold to another person, make sure you are keeping yourself protected agaisnt identity theft. Avoid giving out your personal financial information. This includes bank account numbers, credit card numbers and Social Security numbers. Take special care to not give out this type of information, especially over the phone to people that you don’t know.
If you want to purchase a piece of gold jewelry that will last a long time, it’s crucial to purchase heavier jewelry. Though they may be more expensive, heavier pieces are able to withstand pretty much anything. On the other hand, thinner more fragile pieces are more likely to break.
Avoid rare gold coins unless you really know what you are buying. Rare gold coins can be difficult to sell, and they sometimes lose value quickly. They also might not contain as much gold as you think. Leave such purchases for the experts, and stick to better known coins for your own collection.
Keep in mind that gold dealers will buy anything that’s got gold within it. This could be jewelry pieces which are broken, home decor, tableware or any other gold items you have around. It doesn’t need to be 100% gold either. It could just have a tiny amount of gold or be gold plated. You are sure to turn a decent profit.
If you’re using a mail-order gold buying service, make sure you understand any return postage fees you’ll need to pay if you decline their offer. Many companies will pay for your postage when you send but charge a high price when they return the piece to you. Know beforehand how much you would have to send in order to get your pieces back.
Be extra cautious when using a mail-away service for selling your gold. Always buy shipping insurance for your items. Know how long the dealer will hold your pieces before melting them, and know how long you have to accept or reject their offer. And keep an inventory with pictures of all the items you’ve sent.
Sometimes an item will have solid gold backing; although, the jewelry is not solid gold. The bands to rings and necklace clasps are often times real as well. Since these items are so small individually, it’s best to sell them together in a larger lot. This is various gold pieces in one quantity and it can help you earn more money.
When buying gold jewelry online, make sure to get written confirmation of your delivery date before finalizing the deal. Ideally, delivery should take place in a very short period of time. If it will be delayed, find out why and for how long. This protects you as the consumer, and it gives you information that would stand up in court if necessary.
You may be able to find antique jewelry at resale shops or antique stores that can be sold for more than you paid for it. Make sure to check the gold stamp to determine if it is 24K. This means the gold content is relatively high and you will be able to sell it at a higher price.
If you are selling gold of different karats, have them weighed separately. This is because 24 karat gold has a higher value than 18 or 14 karat gold. By having them all weighed separately you will get a fair price. If they are all weighed together, you will be given the total value of the lowest karat.
Many individuals get energized by the notion of making money in gold. However, many do not have the necessary knowledge to successfully invest in this volatile market. Hopefully, you have just learned what you need to know to start investing in and profiting from gold.