The wealth protection and growth potential of gold buying and selling can be truly impressive for those in the know. But, not all would-be investors understand how best to navigate gold markets on their own. Continue perusing the tips and advice that follow, and you will be thoroughly prepared to enter the world of gold transactions.
You need to know what a karat is. Gold is a soft metal so it must be combined with other metals for durability. Each karat, which is 1/24 pure gold, tells you how much gold is in the alloy compared to other metals. A piece that has less than 10 karats cannot legally be called gold.
Try to only buy and sell your gold to certain dealers that are recognized through official gold and money associations. These dealers must follow strict guidelines under these organizations to ensure that you get fair compensation or quality pieces. One such well-known organization is the ANA or American Numismatic Association.
Before finalizing your gold sale, get the entire thing down in writing. Later on, if there’s any sort of problems related to the sale, you’ll need this signed written document at the ready to prove your case. If you don’t have it, you may find that proving any sort of fraud will be nearly impossible.
When searching for jewelry, you will probably want to know how many karats a particular piece has. The hallmark on a piece of jewelry will provide you with this information. For instance, say you purchase a ring that is 14 karat gold, the hallmark will say “14k”. The hallmark can be found on the inside of each piece.
Never feel too rushed when dealing with gold. These are highly involved purchases and sales. There’s lots of money on the table, so it’s important to be confident about your choices. If that means taking a few extra days to look into other options or to wait out a price fluctuation, then so be it.
If selling gold using a mail service, find out how much shipping will be. A lot of companies say they offer free shipping, but if you refuse their offer they charge a great deal. Realize in advance that you’re out money to get back your jewelry.
If you decide to invest in gold, you need to consider it a long-term investment. The price of gold fluctuates constantly but over the long term, prices increase. Even if you plan to make a large investment in gold, buy gold bars or coins separately over a short period of time.
When at a gold party, talk with the rep about how they make the determination on the karats of the jewelry being sold. Many items are stamped. There are ways to determine a piece’s purity if no stamp is present. A way to tell if a gold representative is new and inexperienced is if they use an acid test. This is a simple test used by newer gold dealers.
Gold offers incredible capacity for building and safeguarding the wealth of savvy investors. The key is to research gold trading and internalize advice gleaned from expert sources. It has been the goal of this article to provide you with the sort of tips and guidance necessary to make gold one of the building blocks of your own personal plan for financial security.