19 Sep 3 Pawn Shop Tips in Valuing Gold
Whether for fashion purposes, as status symbols or as an enduring asset, acquiring gold in whatever form is always a good investment. However if and when the time comes for you to sell or pawn your articles, it is important to be ready for a thorough scrutiny of your assets. First off, here are some items you can pawn:
- Time Pieces
- Vintage Jewelry Pieces
Upon determining which you are willing and able to pawn, you need to take further steps for due diligence measures. Check out these valuable measures that can make your transaction a smoother one:
Check for Authenticity in a Pawn Shop
Any decent pawn shop will make sure to test your items’ authenticity before a transaction. As an assurance to yourself and as a safety precaution, it is advisable to check for your articles’ authenticity before you start pawning them. This way, your trip to the shop will be worthwhile and you are guaranteed to sell or pawn authentic golden items.
Founding partner and CEO of Mauldin Economics Olivier Garret listed weight, size, appearance, imprints, magnetism and price as important factors in determining the genuineness of gold. Keep in mind that this precious metal is extremely dense, giving it a substantial weight. This can be easily determined if you pawn bullions including bars, ingots and coins as they tend to have more precise standard sizes and weights.
Pure gold also does not stick to magnets. However, some golden items are infused with metal alloys to make them stronger. If the one in your possession is mixed with steel or iron, even in small amounts, it will have magnetic properties.
Research About Your Item
The value of your item will depend on its significance, type and purity. When determining the significance, you want to know the history of the product. If it is a vintage jewellery, knowledge about its former owners and its origins can reveal a lot about its worth.
You also want to know what kind of metals are mixed with your gold. To do this, look at the colour. Is it yellow, white or rose? Determining the h can shed light on what metals are mixed with your articles. Yellow ones are the most popular type. These are typically pure gold combined with copper and zinc, whilst white ones are usually mixed with nickel, silver or palladium to give it its white colour. With rose-coloured ones gaining popularity, you might have items infused with copper.
The karatage of your item can show the amount of pure gold it contains. Usually, people look for 24-Karat golds, which is 99.9% pure, followed by 22-Karat (91.7% pure) ones. Whilst these are precious, these are also very malleable, which is why items made for heavy usages such as engagement and wedding rings are often made of 18 Karat ones (75% pure) and 14 Karat (58.3% pure).
Know the Spot Price
Before going to a shop, you also want to know the monetary value of your gold. Look for the prevailing spot price or the current cost of gold. Then, measure the weight of your item. This metal is measured by troy ounces (equal to 31.1 grams). As of the 17 September, the spot price for this precious metal is around NZD 59 or AUD 54 per gram. Knowing this, you can determine whether you get the best deal.
When selling or pawning valuable articles, performing due diligence will never hurt. By following these tips, you can rest assured that you have done all the necessary research to ensure that you will get the right value of your gold items.