While gold has been highly valued for thousands of years, there’s not a ton of it around.
In fact, if you put all the gold that’s ever been mined together you could hold all of it in just three Olympic-sized swimming pools.
Since it’s so rare, it holds its value. Which is perfect if you’re in need of money. But you have to choose if you prefer to pawn or sell gold. To help you make an informed decision before you walk into stores that buy gold, keep reading.
Whether You Pawn or Sell Gold, You Need to Understand the Gold Market to Get a Fair Price
Google “gold pawn shop near me” and you’re bound to find a bunch of places nearby. And most stores that buy gold are very honest.
But you should still understand how jewelry stores that buy gold determine their prices.
Gold is traded 24/7 on the open market. It’s priced by the ounce and prices fluctuate constantly.
Major events such as presidential elections can even influence the price of gold. Supply and demand, currency values, and buying power also influence the pricing.
Your local pawn store will base the price off of the current market. Before you head off to the best place to pawn jewelry, check what gold is selling at first.
Before checking out stores that buy gold, do some research on your jewelry. 24-karat gold is worth more than 14-karat gold. If you know the percentage of gold in your jewelry you can use that to roughly determine the worth of your gold.
Most pieces have the karat marked on the gold. If it’s a ring, check the inside. Also, it’s not unusual to have more than one metal used in a piece of jewelry. To determine how much gold you really have, you may want to buy a gold test kit before you head to the pawn shop.
Do Your Homework
You’ll get the best rates if you do your homework. Take your jewels to a few jewelry stores and pawn shops near you for appraisals.
Gold is weight using pennyweights or traditional grams. A pennyweight is 1.555 grams. It’s also not weighed in normal ounces (28 grams) it’s measured in Troy which is 31.1 grams.
Make sure you can see the gold buyer’s scale as he or she is appraising your gold to ensure they’re using a proper scale. Also, if you sell your gold, you won’t get exactly market value since they then have to sell your gold for a profit.
Scrapping Vs Selling
Sometimes you’ll find that the piece you’re thinking of selling is worth more as scrap than it is as a whole piece. You can use an online calculator to estimate scrap gold metal before you go.
You can also get it appraised. However, the scrap value is always less than the value of the whole piece when it’s melted down.
Pawning your jewelry is a really good option for two reasons. First, it’s great if you need money quickly but you also want to keep your jewelry.
Second, because the pawn shop doesn’t have to worry about having to sell your jewelry, you’ll probably get more money.
Pawn Your Item With Us
Have you determined whether you’re ready to pawn or sell gold? We can help you easily find a reputable gold pawn shop near you with just the click of a button.