Should I accept 10k/14k scrap gold jewelry in trade as payment for coins? I'm often asked if will accept/buy scrap gold jewelry. What percent of spot do you think a fair price for 10k & 14k scrap gold, thanks
I wouldn't, but that is me. I would have a hard time moving it for what I was into it let alone a profit in these parts.
I would find out what the local smelter will pay and then figure out from there what I could pay, taking into account time, gas and incidentals. Be careful there are some pieces out there mislabled 10, 12 14 and 18 karat, get one of those test kits to be sure.
gold buying risky business I agree with acid test kit...also, gold prices can drop like a rock or bounce like a ball. Gold has its risk, including bullion gold coinage. Back to subject of fair pricing for scrap gold , do you think 70% of spot is fair? thanks
I really hate trading stuff for anything. If I was selling a coin or anything, I'd only want money. No trade ins. I'm not a car dealer that takes in trades so for the sale of a coin, only real money please. The way I see this situation is if you have Gold or something you want to trade with me for something, just go out and sell it and come back with real money.
NO! You're going to lose your shirt that way! This is the way the shop that I work for does it: He takes the penny weight of the metal. He then determines what fineness it is. 14K gold is roughly 1/2 pure gold, and 10K is even less. (If you pay 70% of spot, you just went broke!) He has 4 different multipliers that he uses based on if it's: 10K, 14K, 18K or 22K Takes the penny weight times his multiplier times spot and that's what he pays. The other important thing is that he then turns it to the smelter, assayer, what have you right away. He doesn't sit on it, he takes his profit and moves on. Many people have been burned by buying gold and losing on a price drop. If you turn it right away, you are less likely to be affected by the markets.
I bought my Loupe from ebay. The seller sent it with a free heavy chain marked with a little tag '18K'. I am sure it is NOT 18k. So, Be careful out there folks.
Consider this. If the Gold was such a great deal, then simply ask the Gold merchant to just sell it all and come back with cash. Otherwise your in a multistep situation. You now have coins to sell and take in something for trade and now you must find a way and place to sell that item or items. And if you can't, your stuck.
Mike- What are the 4 multipliers used for the different K's? I have a couple of pieces of scrap, and my wedding ring which I'd like to sell. I don't know where I should go, frankly. Pawn shop? Gold buying shop? I had a garage sale on Saturday, and two men asked if I had any gold to sell, and I told them I would take their card. They were ready to weigh it and make the transaction on the spot. :eating: Another man asked if I had any 'old coins' in the garage sale. I told him, nooooo.......I don't think I have any of those things!
I don't know off hand what the multipliers are. What I would do is divine your own. Find out what melters are paying in your area. Take the percentage of gold, times spot, times weight, and add whatever your overhead will be. This gives you a final price. Make the final price worth your while, and voila! Trial and error may be the only way to figure it out as the guy who runs the shop did and he's not very interested in sharing. (Sorry!)
I wouldn't mess with scrap unless you really know what you are doing. We buy here it at the shop and I see stuff ALL of the time that is marked 14k and is not gold at all. The fake marked stuff comes from flea markets and swap meets...peddlers malls... but there is a LOT of it out there. Not to mention the stainless stuff that is marked and holds up under the acid... you really have to deal with a lot of it to get the hang of it. I agree with the comment earlier. Tell the guy to go unload it else ware and then bring you the cash. Dealing in scrap without having a test kit (and sometimes even with a test kit) is like walking through a minefield without a mine detector.
I just ordered a .01 G scale from the ebay 'Daily Deals', I'll weigh the tag and see what it's worth. The chain is not gold, or the seller sent me a 5 dollar loupe on a $400 chain for 5 bucks.
I agree with Matt. Unless you are willing to take HUGE risks, this is an endeavor best left to the pros. There's just too much counterfeit stuff out there. Just as a lot of people depend on the TPGs to authenticate coins, it is for these same reasons that it's not a good idea for most to pursue scrap gold.
I don't think he meant 70% of spot for the total weight but 70% of spot for the gold weight is probably fine. 70% of spot for the total weight of one oz of 14Kt gold (with gold at $1000/oz) would be $700, but at 70% of spot for the gold weight it's $408. (one oz of 14Kt gold contains .58 oz of gold.) One oz of 10Kt at 70% for the gold weight would be $291. (One oz of 10Kt gold contains .416 oz of gold.)
