What Is The Best Time To Buy Or Sell Your Precious Metals?

Some people hold gold in anticipation that they will sell it later at a premium. Others are forced by various circumstances to sell their gold jewellery to dealers so that they can get some quick cash to solve their financial needs.

Although it has been written that gold does not lose its value, most of the people end up selling their precious metal way below what they had anticipated. Here are some other factors you need to consider when selling your gold to avoid further disappointments.

  1. Retain Purchase Invoice

One of the most important aspects to observe when you are involved in the process of buying or selling gold is that you should always have the purchase invoice. Most of the rogue gold buyers will always look for ways to lower the value of your gold.

For instance, a dealer may argue that your ornament is not pure so that you can be compelled to lower your asking price. However, if you have the purchase invoice with you, it will be possible to show that your gold is pure.

  1. Understand the Scales

Every time you are selling your gold and other precious metals, understand the scales being used. This is an area where you can be scammed easily by the dealers. Troy ounce is the measurement standard for gold and other precious metals.

You might come across dealers that use other systems such as pennyweight while others use grams. You should be alert to know the weight your gold and the associated price. Avoid a sneaky situation where the dealer pays you less for more weight.

  1. Know the Market Value

Before looking for buyers, you need to know the actual market value of gold. Gold buyers have been taking advantage of the fact that people are ignorant and don’t want to research. Other gold buyers know that people have very little knowledge of precious metals and are only interested in putting money into their pockets.

You should not appear desperate as well. Negotiate your price to slightly lower or higher than the actual market price. Any buyer who is offering a 5% lower than the market price is exploiting your innocence.

  1. Know what you are Selling

Some people don’t have gold in bars or smelted form but in finished products such as necklaces and bracelets. Before smelting your necklace or bracelet, check some facts from the market as you could attract more money from a finished gold product than a smelted gold. If you have gold necklaces or bracelets from reputable dealers in the industry, you can be sure that you will attract more money than when you smelt the items.

  1. Choose Reputable Gold Dealers

There is a high chance that selling your gold to reputable gold dealers such as Gold Bullion Australia and other mainstream organizations could attract you a significant amount of money. Shop around for the best dealers. In most cases, you will come around middlemen and people who want to make some cash out of your gold. You need to be cautious because you can even lose your precious metal for nothing.

  1. Put Everything into Writing

You need to incorporate some legal aspects in the entire transaction by involving a third party, putting everything into writing and even taking the photos of the available pieces. You don’t want to be involved in legal battles that you sold stolen gold or fake gold. Put everything into writing to avoid future conflicts.

Gold is a major commodity around the world that is used as a store of value. Don’t make the mistake of thinking that gold is like any other consumer product. You need to be cautious in the entire purchasing and selling process to avoid legal issues.

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