February 24, 2020 - Jewelry & Luxury Items
We’ll let you in on how to pawn platinum jewelry, watches and more in a way that gets you top dollar.
To fully explain how to pawn platinum, we need to tell you how the price of platinum is determined so that you can have a better understanding of how your local pawnbroker will be evaluating your jewelry, watch, or other items.
Then, we’re going to tell you exactly how to estimate the value of your platinum jewelry before you start collecting offers from pawn shops or other buyers.
Finally, we’re going to tell you how to use PawnGuru to pawn platinum quickly, with minimal effort and for the most money possible.
Platinum is traded on the open market. This means that supply/demand, speculation and current events influence the price of platinum. It’s bought and sold 24/7/365, so the price of platinum constantly fluctuates.
Let’s delve into purity. Purity is the percentage of pure platinum that is in your jewelry or item. The rest is an alloy, which is mixed with the platinum. The greater the percentage of platinum in your jewelry, the more value the platinum itself holds.
Since platinum is priced by the ounce, that’s where weight comes into play. The more weight your platinum jewelry has, the more valuable it is going to be.
On top of this, a pawnbroker will try to turn a profit on your platinum when they buy and resell it, just like jewelers do. The pawn shop will be looking to price your jewelry based on all the factors above, while trying to make some money off the sale.
Because one of the factors in how much pawn shops pay for platinum is the purity of the platinum in your jewelry, etc, you’ll need to know the purity. You determine this by looking for a marking on the item. Sometimes this is very hard to read, so you might need a magnifying glass.
The symbols on your platinum item will either read 850, 900, 950, 999. These are called hallmarks and they represent the purity of your platinum. The higher the number, the purer your platinum is. This means that there is less of other non-platinum, metals mixed in with it.
In addition to these numbers, you must also look for PLAT or PT on your platinum to ensure it’s actually platinum versus silver or white gold. A house-shaped marking on your platinum is another possible indicator that the metal is actually platinum.
Use the following as a platinum purity guide for your item.
The weight of your platinum is easy to determine. You just need a scale that weighs to a tenth of a gram.
If you are dealing with jewelry and have any embellishments on it such as stones or non-platinum charms, you need to estimate how much those weigh and subtract it from the weight of your bracelet. Once you have that number, you can move on to calculating how much your platinum piece is worth.
To figure out how much pawn shops pay for platinum, you can use purity, weight and market value to mimic what a pawnbroker would do to price it out.
You will need to know the weight of the platinum portion of your jewelry, in grams (to the tenth of a gram). We reviewed this above.
You also need to figure out the purity. As we reviewed earlier, look on your jewelry carefully to find the hallmarks that we went over. Then, get the percentage that we listed next to the hallmark matching your bracelet.
Next, look up the current market value price of platinum in grams.
Here’s how to calculate approximately how much pawn shops will pay for your platinum:
Multiply the weight of your item (just the platinum part) by the percentage of pure platinum that your hallmark indicates. For example, let’s say your platinum item weighs 21.4 grams and your hallmark reads 950. Since that indicates 95% platinum, you would take .950 X 21.4. This leaves you with 20.33 grams of actual platinum to work with.
Multiply the grams of actual platinum (20.33 in the example) by the current price of platinum in grams. As of the exact moment this post is being written, that is 20.33 X $29.85 = $606.85.
In summary, on 6/22/17, a 95% platinum piece weighing 21.4 grams is worth roughly $606.
If you see a store selling a similar piece for more money, remember they are factoring in the labor costs required to make the jewelry, etc. The above calculations are just based on the platinum itself and you likely won’t get that exact price. It’s good to use as a reference, though.
When you take this to a pawn shop, you can likely expect to get less than $606, since they need to make a profit. Keep in mind that pawn shops are businesses, and you need to remain respectful that they need to turn a profit in order to stay in business.
Since platinum prices fluctuate every day, it is wise to check the price of platinum and historical prices on the day you intend to sell it. You can look at historical platinum pricing charts and see for yourself.
The chart below shows historical platinum pricing fluctuations over the past ten years. Take a look at the past 5 years below that so you can see more granularly which months platinum tends to rise and fall.
How do you find the pawn price of your platinum online? You list it on PawnGuru.
If you haven’t heard of PawnGuru, we allow you to create a listing for free that alerts all pawn shops in your local area that you want to see what they would bid on your platinum.
There’s no obligation for you to accept a bid. You would just take a couple minutes to list it and watch the offers begin to roll in almost immediately. Then, you can decide which pawn shop to sell it to.
To be efficient with your time and get the most accurate estimate for how much pawn shops pay for platinum—and yours in particular—you’ll want to let PawnGuru work its magic.
List your platinum here for free now to get offers from pawn shops.
David Stiebel is one of the cofounders of PawnGuru. David was educated at MIT, where he studied Math. He subsequently worked at Bain as a data scientist before starting PawnGuru in 2015. He started PawnGuru to build a better tool for pawn shops and consumers to connect.More Articles
August 23, 2017, 4:22 PM
In your calculations you didn’t explain how to subtract weight for diamonds. How is a carat translated to weight so it can be subtracted to determine actual platinum value? How do you determine additional value for diamonds?