If you’re looking to make gold a staple of your financial portfolio, then you need to understand what it entails. You can’t just dive into this because you’ll get lost, but know that this isn’t terribly difficult to get into. Read on to learn all the ins and outs of buying and selling gold.
Before selling gold jewelry, see what the current prices are in the gold market. This allows you to evaluate a dealer’s offer against the current market rate. Although there are many honest gold dealers out there, there are also those who will try to offer you much less than it is worth.
If you’d like to leap into the world of gold investing without having to pony up a large amount of money at the start, buying scrap gold may be the right tactic for you. You can do this over a period of time, say around each pay day, and accumulate a considerable amount of valuable gold within a year or so. Find a secure place for your stash until there is enough for you to cash it in.
Be aware that it is possible to sell anything with a gold content to gold dealers. Valuable gold can be made into anything that is now broken such as jewelry and any home items that could be around. Mixed metal items can be sold as well. Plated gold will do. Any amount of gold will get you back a nice amount of money.
Before you ship gold jewelry to a buying service, find out whether you will be charged for return shipping. If you are not satisfied with the offer, you will have to pay this amount. A lot of companies say they’ll let you ship for free, but to get things back they charge quite a bit. It’s best to be prepared so you are not surprised by return shipping charges.
Never sell to an unlicensed gold dealer. Licensure is not a guarantee of credibility, but it is certainly a good indicator. There is a lot of competition out there, so you can sell to someone else if you’re not happy with the first offer.
While purchasing gold can be quite exhilarating, try not to discuss your purchase with others. You don’t know who is listening, and you don’t know who you can trust. Keep your investment to yourself and under lock and key, either with a bank or in a good home safe. That will ensure that a home robber doesn’t get away with it.
Be sure to do your homework about current gold values prior to any investment decision or action. Some people will claim to be experts in the field. But, beware of over the top promises about getting wealthy. You will certainly avoid the getting rich quick way of thinking if you have realistic expectations.
Have your pieces appraised before you sell them as scrap gold. This is a good idea if the piece is antique or has an elaborate design. An appraiser will charge you a nominal fee, but it is an expense worth paying if your piece is unique and valuable. Appraisers might be aware of parties interested in your jewelry.
Gold is a very lucrative but volatile investment. If you cannot handle sharp price swings, this investment is not for you. Even if you’ve got the stomach for it, you still need to minimize your risks. Don’t over invest in a single market, like gold. Usually five percent is good enough.
A smart gold investor understands how to perform a test to know what the grade of gold is. Karats are used to measure gold purity. The purer the gold, the higher the karats and the more valuable it is by the ounce. You should not just rely on the karat stamp. Testing for gold’s purity will prevent you from paying too much for a poor piece.
Now take these tips about gold investing and apply your new found knowledge. Think about everything you have read, and work to apply the information to your own investments. When approached wisely, investing in gold goes a long way toward helping you achieve your goals.