What You Have Always Wanted To Know About Gold

Are you knowledgeable about gold trading? Are you uncomfortable buying and selling gold? Do you have a lot of experience but still need more knowledge? Whatever your knowledge base, you can benefit from using the following tips. You are more than likely to discover valuable information to aid in your decision-making.

It is important to understand the type of scale your gold dealer uses. Some dealers use a Troy scale while others use a pennyweight. On a Troy scale, gold weighs 31.1 grams per ounce. A pennyweight equals 1.555 grams. In comparison, a US scale measures each ounce of gold at 28 grams.

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.

Make sure the dealer you are considering is licensed. Make sure, too, that the dealer is active in reputable organizations within the industry. This is a business with a lot of sharks in it, so the more things that prove the legitimacy of the operation, the better it is for you.

Do not hesitate to sell any gold jewelry that you no longer have use for. There are many people that hold on to these pieces for no logical reason when they can be sold for a tidy profit. The money you make from the sale would do more good than unused jewelry sitting in a box.

Avoid rare gold coins unless you really know what you are buying. Rare gold coins can be difficult to sell, and they sometimes lose value quickly. They also might not contain as much gold as you think. Leave such purchases for the experts, and stick to better known coins for your own collection.

Make sure you are know exactly what you have. Not everything that looks like gold is worth its weight in it. Gold is mixed with other metals for strength. This will lower its worth. Also, some items may only be gold plated. If you are unsure of what you have, you may want to get it appraised prior to going to sell it.

Understand how gold much gold is in each ounce. For example, 18 carat gold contains more gold than 14 carat. This is because in 18 carat gold there is 18 parts gold and 10 parts other alloys. In 14 carat gold, there is 14 parts gold and 10 parts other alloys. For this reason, 18 carat gold sells for more than 14 carat gold.

Do not sell your gold at a gold party. Although these parties are fun, sellers usually net less than 80 percent of the value of their gold at these parties. To get the most bang for your buck, find a reputable dealer that specializes in buying and selling gold.

Pawnshops are always an option when it comes to selling your gold. One nice thing about pawnshops is you can usually buy your items back if you have sellers remorse in a few days or weeks. However, some pawnshops are more reputable than others, so look up customer reviews online before heading over.

Dont be afraid to travel a little bit to get an appraisal. Sometimes suburban gold dealers offer better rates than dealers in the middle of the city. It can be worth the extra gallon or two of gas to potentially get a hundred or more dollars more in the sale.

Using the information shared in this article will help you to begin to follow the right path with gold investing. You can buy and sell gold easily and confidently to turn massive profits. This is all you can expect in the end, so use the tips discussed to get you there.