Where to sell your Gold and Jewelry

With the price of gold at or near historic highs it may not be such a bad idea to sell your gold and gold jewelry. It is a great way to help ride through a difficult financial situation! But with all the advertisements screaming at you today from the internet, TV, radio, mail and probably even from your best friend, so what really is the best ways to sell gold and jewelry? It helps to understand your gold and the process that takes place after you sell it. Now let’s take look at the most common methods to sell your gold and jewelry and then look at an option that is often overlooked.

Cash for Gold – We Buy Gold

First thing understand that in these places their only business is buying gold! Paying cash for gold is usually their only business and only source of income. We buy gold shops usually employ very high pressure tactics like “that price is good right now not after you walk out the door” or other such pressure. They spend a tremendous amount of advertising to get you to bring them your gold and have professionals that know how to talk you out of it! Their advertising usually claims we pay 10% or 50% more than our competition or we guarantee you the highest price for gold! The best advice is to shop around and visit several stores in the area not just the ones that are “cash for gold” or “we buy gold” stores, you will likely find their offers vary by as much as 50% or more.

Internet Gold Sites – Mail in Gold Options

This is probably one of the scariest and scam ridden ways to sell gold that’s out there. There is no face to face contact, you don’t get to see your gold weighed, and you don’t get to understand what type of gold you are selling or being paid for! Worst according to Consumer Reports these places pay between 11% and 29% of the true value of the gold! It may be convenient but at what price? Best advice is to choose another method and do business face to face!

Hotel and Limited Engagement Gold Buying

This type of gold buying can have its advantages! Assuming that it is legitimate you can get offers from different gold buyers in one location all competing to buy your gold. The disadvantage is that they have high advertising costs, high rent and travel costs that they will be factoring in to their offers which usually average around 40% of the actual value. Also consider how comfortable you are walking through a parking lot where every thief, pickpocket and crook for a hundred miles around also know you are carrying gold and cash in and out of the hotel.

Gold Parties

These are usually fun and socially comfortable situations with friends and it’s a party where you actually could leave with cash instead of candles, perfume or Tupperware. The downside is that you usually don’t end up with the best price for gold, the party host usually gets a cut of the buyers profits (yes your friend profits from your gold). In addition many times the buyer is not a gold buying pro or lacks the necessary equipment to properly evaluate your gold and pays less than it is actually worth. Using this method you should not expect much more than 50% of the value of your gold.

Jewelry Stores and Coin Shops

Jewelry stores and coin shops are often some of the best places to sell your gold and jewelry. These stores do not rely only on buying your gold to stay in business and often have a need for the gold they buy! Jewelry stores routinely buy gold to melt and make castings or resize rings and coin shops may be willing to give you more for gold and silver coins that the actual melt value of the coin! Tales of caution, if a jewelry store is spending more money advertising to buy your gold than to sell their jewelry products then they are not the best place to sell your gold! In a case where you see ads from jewelry stores only wanting to buy your gold and not sell you jewelry their business is buying gold and they are no different than any other “We Buy Gold Store” or “Cash for Gold Shop”

Pawn Shops

Pawn shops are not a bad option depending on your needs. If you only have scrap gold or old broken jewelry it may not be the best option but if you have a unique piece of jewelry that you may want back it could be an appealing option in your quest of where to sell your gold and jewelry. A pawn shop will evaluate your jewelry the same way as any other we buy gold place and pay you based on the gold weight value. One option they provide however is that you can choose to pawn the jewelry which gives you the option to buy it back later plus the pawn fees. So if your situation is temporary and you really don’t want to sell grandma’s jewelry but need quick cash this can be a great option. The down side is that pawn shops are not always in the best neighborhoods and you may not feel comfortable toting your jewelry and cash in these areas.

Consignment Jewelry Stores

Consignment Jewelry stores are becoming more and more popular around the country and on the internet and may honestly be the best way to sell your gold and jewelry. These stores tend to be in good locations and have a vested interest in selling your gold or jewelry for the highest possible price. Consignment Jewelry stores work on a commission of the selling price of your gold or jewelry and you can typically have a voice in the selling price. If you need the cash, many of these stores they will also buy your gold and jewelry for cash, not to melt for scrap (however many do), but to stock their display cases. Often you will get well over 100% of the value of your gold and jewelry from Consignment Jewelry stores. The down side is that unless the store is willing to pay cash for your item it may take time to sell it and get you your money! Here is a great article about consignment jewelry stores and getting the best price for gold and silver.