Most households have a drawer of broken chains, single earrings, and unworn rings. When gold prices rise, that forgotten clutter becomes a small source of cash, which is why scrap gold buying and selling has grown so popular. The catch is that what you get paid depends entirely on knowing what you actually own.
Know what you’re selling
Scrap gold is priced on two things: purity and weight. Purity is measured in karats, with 24k being pure gold and lower numbers like 18k, 14k, or 9k containing more alloy. Weight is usually measured in grams. A buyer multiplies the pure gold content by the current market price, then offers a percentage of that.
Before you sell, it helps to:
- Sort pieces by karat, checking hallmarks with a magnifier
- Weigh items on a kitchen scale to estimate value yourself
- Look up the current spot price so you have a baseline
- Get quotes from more than one buyer
Getting a fair price
No buyer pays the full spot value, since they need a margin to refine and resell. A reasonable offer is typically a healthy percentage of the melt value, but lowball offers are common, especially from mail-in services that send a cheque you can’t easily refuse.
If a piece is antique, branded, or finely made, it may be worth far more sold as jewellery than melted as scrap. Have anything unusual appraised first. And keep gemstones in mind, as buyers usually pay for the gold only and may keep or return the stones.
Selling in person lets you negotiate and walk away. Patience and a few comparison quotes routinely add up to a noticeably better payout.
The takeaway: weigh it, learn its karat, and get several quotes before any gold leaves your hands.
3 Comments