Gold is well-known for being a sound investment.
Even though gold prices can be rather mercurial (pardon the pun), the price of gold is still up from where it was this time last year.
Each year, thousands of people and families turn to pawn shops for a quick loan. There are over 10,000 pawn shops in the United States alone.
If you’re thinking of pawning some gold for some quick cash, here are some things to keep in mind. This is how pawn shops appraise gold, to help you know what you have and what it’s worth!
How Pawn Shops Appraise Gold
If you’re thinking of selling gold at a pawn shop, here are some things to keep in mind. They should help give you a better idea of what to expect. They’ll also help you get the best price on your golden goods!
The first thing a pawn shop will look for is the purity of your gold. Most gold jewelry will have some sort of stamp that will indicate how pure it is.
24-karat gold is the purest, which means it gets the highest price. The most other common types of gold are 12K, 18K, and 20K.
To help get the best price when you’re looking to pawn gold, you should know the purity ahead of time. This way you’ll know if they’re telling you the truth or trying to pull one over on you.
The Weight Of Gold
After they’ve established your gold’s purity, a pawn shop will weight your gold. The price of gold is determined by weight. The pawnbrokers will know the going rate for gold and give you what your jewelry’s worth, based on that rate.
The price of gold fluctuates from day to day. To get what your gold is actually worth, you should at least have a vague idea of what gold is currently going for.
Keeping an eye on the price of gold should also give you an idea of when it’s a good time to sell your gold items. If the price skyrockets, you might want to consider seeking out a pawnbroker. Who couldn’t use some extra money?
When you’re going to sell your gold jewelry at a pawnbroker, here are a few things to keep in mind to help you get the best deal.
How To Get The Best Deal On Your Gold
Selling gold can require some specialized knowledge. Here’s a little bit of a peek behind the curtain to help make sure you’re getting what your gold is worth!
Watch The Scales
Gold is usually weighed in traditional grams, otherwise known as ‘pennyweights.’ Gold isn’t weighed in ounces, which weigh 28 grams. Gold is measured in Troys, which come out to 31.1 grams.
You’ll be missing out on money if your gold is weighed in ounces. Make sure that the pawnbroker is using Troys to get what your gold’s worth!
Keep The Karats Separate
Sometimes pawnbrokers will offer you a price based on the lowest karat of your jewelry. If you’ve got multiple different purities of gold, you’d do better making several trips or going to separate pawn shops.
Of course, dealing with credible pawnbrokers is the easiest and best way to get the best price on your gold jewelry!
Looking For a Local Pawn Shop?
At PawnGuru, we help you get the best price on your goods. We work with both sellers and pawn shops to help everyone get what they’re looking for!
If you’re wondering how pawn shops appraise gold or want to know how to sell gemstones to a pawnbroker, we’ll help you get the best deal on your goods!