Gold Gurus, looking for info. old, broken gold/jewelry...

[Smazz]

Well, Ive been volunteered by some of my family and friends to reclaim some $ for their old gold - I should have kept my mouth shut before telling them about the bubble in gold ::) but anyways.

 

For the layman, what do you in the know think is the best way to reclaim some funds from this?

 

Im not too keen on the send the package away thing - so Jewelry store?

 

Anyone have any idea of how close to spot prices should be looking at?

 

I have done some researching on the quality and % of gold that is in 10, 14, 18k etc but any info you can give me is appreciated.

 

I actually found doing some research on this interesting.

 

TIA

 

Smazz

[Granitepost]

I believe pure gold would be 24 K but too soft to be very useful in jewelry.  Thus 10K would be 10/24 or 41.66% pure, 14K would be 14/24 or 58.3% pure, and 18K would be 75% pure.  Most jewelry sells at perhaps 600% of the value of the gold content so, even when advertised for 50% off, it is still about 300% of the gold content, so the gold value is a fraction of the original cost, hence the reason that jewelry is not a good investment.  The other problem here is that the person advertising to buy your scrap gold wants to pay substantially less that the value of the gold content, so the discount from original cost is even greater.   Perhaps there are avenues other than scrap dealers, (maybe local auctions, garage sales, etc. where you could recover a higher percentage of the value as someone might place a value on the item in excess of the gold content, but remember also that the auctioneer would likely take a 25% commission off the selling price before you get your money.

 

I wonder why people go to local stores that offer to purchase old gold, or even mail their old gold in response to TV ads promising a cheque, as you do not know how much of a discount you are really accepting from the purchaser, unless you have very accurate scales and do the calculations yourself.  Getting offers from several purchasers would seem to be appropriate.  What about a local pawn shop?

 

I am interested in seeing what suggestions the board suggests as it seems to me that you have created a difficult situation for yourself.  

 

I am somewhat sad to see a lot of the beautiful old jewelry and silverware being melted in times of high metal prices.  This mania for melting old silverware was rampant when gold hit its old high many years ago.  Surely someone else in your friend's family would appreciate either receiving them as a gift or being given the opportunity to buy them at a realistic price before they are melted.

 

 

[twacowfca]

Well, Ive been volunteered by some of my family and friends to reclaim some $ for their old gold - I should have kept my mouth shut before telling them about the bubble in gold ::) but anyways.

 

For the layman, what do you in the know think is the best way to reclaim some funds from this?

 

Im not too keen on the send the package away thing - so Jewelry store?

 

Anyone have any idea of how close to spot prices should be looking at?

 

I have done some researching on the quality and % of gold that is in 10, 14, 18k etc but any info you can give me is appreciated.

 

I actually found doing some research on this interesting.

 

TIA

 

Smazz

 

Maple Leafs, Krugerrands etc. should sell for a small premium to spot.  Junk gold and silver should sell for a small discount to spot if you have enough to send to a refiner.  Otherwise, you'll take a haircut, possibly a big haircut if you are in a market with few permanent dealers.  WE BUY GOLD shops or pawn shops will have the worst prices.  47th st in NYC is a good place to start asking, or Mumbai.  Empire Gold on 47 th st in NYC has had a very good long term reputation for dealing fairly with long distance customers through the mail.  If that's too far away, ask an independent reputable local jeweler where he sends his scrap gold for cash.  Nice pieces of old gold can bring a pretty premium, but it may take time to find a buyer who will pay a good price.  ebay?  :)

[ragnarisapirate]

In regard to pawn shops:

 

It really depends on the shop that you sell to. At one of the pawn shops I used to work at, we generally gave 40-50% of scrap, whereas at the other one I worked at, we would give up to 60%... It really depends on the situation though; there are about a billion different variables that would go into it, mainly, at the discretion of who you were talking to (stones in the piece, if we thought it was stolen, if it was a sale or pawn, weight, demand for the piece, if we were going to scrap it or keep it for sale, etc.)

 

Additionally, some places will sell jewelry at scrap, or for 150% of scrap. Others, will sell far above scrap at highly inflated prices. Sometimes, jewelry can be a great investment, other times, not so much; it depends on the piece, value, and price (a common theme on this board, eh?)

 

With all this said, I will extend an offer to buy gold or jewelry off anyone on this board. It doesn't matter what the piece is. Shoot me an email and we can work something out.

[twacowfca]

In regard to pawn shops:

 

It really depends on the shop that you sell to. At one of the pawn shops I used to work at, we generally gave 40-50% of scrap, whereas at the other one I worked at, we would give up to 60%... It really depends on the situation though; there are about a billion different variables that would go into it, mainly, at the discretion of who you were talking to (stones in the piece, if we thought it was stolen, if it was a sale or pawn, weight, demand for the piece, if we were going to scrap it or keep it for sale, etc.)

 

Additionally, some places will sell jewelry at scrap, or for 150% of scrap. Others, will sell far above scrap at highly inflated prices. Sometimes, jewelry can be a great investment, other times, not so much; it depends on the piece, value, and price (a common theme on this board, eh?)

 

With all this said, I will extend an offer to buy gold or jewelry off anyone on this board. It doesn't matter what the piece is. Shoot me an email and we can work something out.

 

 

 

 

Empire Gold in NYC will offer a much better price by registered mail than pawn shops.  Perhaps 10% less than spot, if you have a significant amount to sell, but that's just a guess.  I know someone who sent a whole box of hundreds of diamonds to them, sorted by sizes and aspects of quality, and got about 10% less than he would have received had he peddled them directly to the trade.  :)

 

Hey, Sanjeev!  Maybe we should turn this board into a gold and silver exchange!  Diamonds too!  They have a wider spread because they come in a bazillion varieties.  Ragnar, you could be our pirate (Oops, sorry, I mean buyer).  Then, we'll demutualize and IPO and get rich. ;D

[Smazz]

Interesting stuff so far - thanks guys.