Deciding which route to take when looking to sell your gold jewellery can sometimes be a difficult choice to navigate. Whether you opt for a scrap sale that focusses purely on the precious metal value, or you choose to sell to a jeweller who may resell the item as a complete piece, each route may yield different returns. In this guide we will break down both options and explore the benefits of each.
Understanding Your Gold Metal Value
If you are looking to sell any gold, you should have a solid understanding of its intrinsic value, irrelevant of which selling method you choose. There are a few main considerations when valuing your gold.
The intrinsic value of your gold is determined by the gold content (carat purity), weight of your item and the current market prices. You can use an online gold price calculator like scrapgoldcalculator.co.uk to get a quick estimate.
Obtaining, the raw metal value or scrap value serves as a bench mark for you to negotiate from.
Jeweller’s Route
Selling your unwanted gold jewellery to a high street jeweller who may retail the piece in his shop window may lead you to believe this might be your best option for the highest value.
This may usually be the case if you have a piece of designer jewellery, large diamond ring, or an on trend piece that has had a lot of labour hours spent on it.
Brand new designer gold jewellery usually carries a large premium way above its metal value, some of this is lost when you go to resell it but you would normally expect some of the premium to be maintained when its resold as pre-owned. This only really applies to pieces that are still in fashion, like a 18ct Cartier ‘Love’ bangle for example, if the piece is no longer in style then its unlikely to do well in a retail situation.
Most scrap gold buyers, do not pay out on gemstones so if you have a gold ring with a large diamond in you best bet would be to sell to a jeweller. The weight of the gold in a ring is relatively low compared to the rings over all value, so selling this for scrap could see a big loss.
Elaborate, on trend gold jewellery that has had a lot of labour hours into it may also fetch a higher price with a jeweller. If the jewellery is showing a high level of craftsmanship this can have value in itself.
Jewellers may not have funds readily available, there is a chance your jewellery may have to be left with them and payment be made days later.
Selling gold jewellery to a scarp gold buyer
Selling old jewellery to a scrap gold buyer is great option if the piece has no retail potential. So this may mean if the item is damaged, in poor condition or broken. The jewellery may be out of style or poorly made.
Specialist gold dealers will still pay very high on gold based on the carat and weight. Its also not uncommon to see jewellers purchasing items below scrap value so they have the option to scrap the piece for a profit if it fails to sell at retail.
Gold dealers will buy anything made of gold, they have no selectivity so is a super efficient service when choosing a reputable buyer. Larger gold buyers also have specialist testing equipment, meaning hallmarks do not need to be present in order for them to identify the purity. Jewellers, will usually only buy hallmarked pieces.
Key Considerations
If you believe the jewellery you are trying to sell has value above its weight in gold, whether it be an antique or designer piece then we would recommend approaching a jeweller for a quote. If your items are dated, well worn, or broken then choosing a scrap gold dealer can get you the best price for your gold. If you are looking for a fast sale, gold buyers are your best option. It is always recommended to obtain gold valuations from both sources so you have a comparable to work with. Before you dive into obtaining quotes doing some online gold spot price research can help you have an understanding of the market value of your gold.
