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Everywhere you go you see advertisements offering you cash for gold. The problem is you don’t know which companies are legitimate, and which ones will run off with your gold and scam you. In order to figure that out, you need to do extensive research, as well as find dealers that specialise in buying your gold bullion coins and bars so that you get a good rate.
Tips for Selling Gold Bullion
Once you’ve made the decision to sell some gold, you need to consider some facts, including that you’re never going to see the total current market value of that gold. Typically, gold bullion coins and bars bring around 90% of the current rate, while gold jewellery may only see around 75% of the current melt value. In order for you to get the best rate, follow these tips that will show you how to find the right dealer:
- One of the important factors to consider in gold investment is the spot price. Evaluate the current spot price of gold before going around town. Generally, spot prices are based on the Troy ounce. This makes it easier since all you have to do is multiply the spot price by the weight of your coin or bar.
- Check outlets that will give you a fair deal and will allow you to sell your gold to other dealers and not only to the one that sold it to you. Consider selling multiple coins at once because often dealers will offer you a better spread like five or more sovereign coins.
- Find a reputable dealer. Generally, you don’t want any old pawn shop, but one that specialises in gold and silver like Gold Buyers Melbourne where you will feel confident that experts are testing your gold and offering you a fair price. When you sell gold bullion here at Gold Buyers Melbourne, you are guaranteed to get the best price for your gold.
- Research if your coins will bring you a good profit. Certain coins like the South African Krugerrand are extremely common and don’t bring a huge profit while sovereigns and Britannia coins bring a nice profit margin to investors in the UK. This is because these coins are still seen as legal tender and there are no taxes due.
- Invest and sell actual gold bars. These are sometimes more economical because you can sometimes buy gold bars at a more affordable rate than coins based on weight and avoid the VAT tax with both buying and selling. In actuality, there are more than 30 types of gold bars worldwide, with some of the more popular ones being the kilobar weighing 32 ounces or the five tael biscuit bar, measuring only 6 ounces. These types of bars are easily stored in a bank safe until you need them, and then you cash one in.
As you look for the right dealer to sell your gold bullion to, remember to find one that values you and your gold. That means that they’ll test and weigh your gold right in front of you so you can witness their honest policies, as well as offer you a fair quote.