Investing in gold is a great choice. Still, you have to be knowledgeable about all the options available to you. Keep reading to see why gold is a valuable and great investment strategy.
Only sell to reputable buyers. Contact your local Better Business Bureau to see if there have been complaints filed against a gold dealer. A reputable buyer will typically pay you a fair price for your gold, and they will offer better customer service than less reputable buyers. You have to protect your investment as well as yourself.
You might be shocked by how much gold costs these days. However, it’s still possible to buy gold jewelry and not need to spend a fortune at the jewelry store. There is cheaper gold jewelry at pawn shops or online.
Make sure you verify the price of gold the same day you plan to buy it. This information is available on a number of websites. When you do buy, avoid more than an 8% markup. If you find a dealer asking for more than 8%, they’re overcharging and may not be ethical.
Be careful before getting involved in the gold market. Every marketplace has bad apples, but the gold arena is renown for possessing quite a few. Many people want to keep the money you are owed for themselves. You need to exercise caution and do your research.
To verify that a particular piece of jewelry isn’t simply plated, you can try testing it yourself with a magnet. Real precious metals do not stick to magnets. Sometimes you’ll find a clasp to be something solid, but everything else is plated. You can test your jewelry this way.
When at a gold party, talk with the rep about how they make the determination on the karats of the jewelry being sold. Often, the item will be stamped. Other times, there is no way of knowing. Acid tests are an easy way to determine value.
Always read the fine print of any contract so you understand it completely. You need to know what you’re getting into if you’re using a mail-in purchasing service to sell gold. This way, you will know the exact amount of the fees and commissions you will be paying.
Have all jewelry appraised before selling it as scrap gold. Appraisal can be especially important with potentially-valuable pieces that may have more worth as jewelry than simply as bullion. Even though there is an appraisal fee, you could see a lot of extra money in your pocket. Appraisers might be aware of someone that wants to purchase your jewelry.
You don’t actually have to own physical bars, coins or jewelry to profit from gold. You can put your money in a gold exchange traded fund. You also buy stock in a gold mining company. There are also mutual funds that focus on gold. If you decide to buy physical bars or coins, remember to consider how much it costs to store the gold securely.
Acquiring broken jewelry from a loved one is a great way to get gold at a wonderful price. Buy your own little scale, weigh each piece and give people a fair price for their items. You should make a profit in the end as well.
With any luck, you know believe that gold is for you. It serves as a bridge between your cash assets and your equities. Discover the greatness of gold as an investment, and appreciate the variety of risk levels available.