The value of gold continues to be high due to its rarity, the global economy, and its vital nature as a technological resource. Selling gold has never been easier than it is today. In the modern world gold can be sold as easily as mailing in an envelope. If selling scrap gold for fun and profit sounds interesting to you, read on to learn how to make the most cash for your gold!
Separate Your Gold by Karat
- Gather up all of the gold that you intend to sell.
- Separate your gold into piles based on easily recognizable karat types. If the gold is marked use the karat markings as a guide, these are marking on the gold that label it as 24 KT, 14 KT, or something similar. If you see items that have markings such as 18 KT GP, do not include that piece in your sale. That marking means that the item is only gold plated and not pure gold. Set plated gold in one pile, all unmarked gold into another pile, and then separate the remainder by karat type.
- Once you have the gold separated in this manner, store it separately until it is time to sell. You should consider selling the unmarked gold at a local jewelry store since they will appraise it before purchase. Unmarked gold might literally be of any karat type or purity, including gold plate. It would be better to discover the real value in person rather than wait for your gold to move back and forth through the mail while determining the value that it possesses.
Learn the Spot Price of Gold
The spot price of gold is a value determined by several different commodities exchanges across the world. The most important one in America is the NYMEX, or the New York Mercantile Exchange. During the trading period the price of gold will change by the minute based on the perceived value of futures contracts. This means that the spot price of gold can fluctuate slightly throughout the day.
The spot price is the exact value of gold at that exact moment. This amount rarely fluctuates by a great deal on any given day or even from one day to the next.
Determine Your Gold's Value
You can learn the spot price from many different online sources. Typically, the spot price of gold shown on US based sites will be for 24 KT gold sold in weights that measure One Troy ounce. One Troy ounce is equal to 31.1 grams. This is important information for home measurement. The standard US ounce is only 28 grams.
If you do personally weigh your gold, use a scale that weighs objects based on grams. Do not take the basic ounce measurement that such a scale might show due to the difference in the standard and Troy ounce. Base your measurement on grams alone. Every 31.1 grams is one Troy ounce.
Take your gold and weigh it by karat. Once you have everything weighed it will be time to determine the true value of your gold. Gold is valued based on its purity. 24 KT gold is the highest purity. It will be valued at 100% of the spot price.
Other karat types such as 18 KT and 14 KT gold will only be worth a smaller percentage of the spot price. You can determine the exact percentage by dividing the actual karat amount by 24.
For example, 18 KT gold is only 75% pure gold based on the previous mathematical formula. If the spot price of 24 KT gold is $1,000 per Troy ounce, one Troy ounce of 18 KT gold is worth $750 at most.
Gold buyers will typically pay less than spot price. The amount that each buyer is willing to pay will vary. However, learning the spot price and maximum value for your gold by weight can help you decide whether or not a specific buyer is worth working with in the future.
Ask around at the various jewelry stores and online companies to see how much they pay for each karat. Armed with this new knowledge you can sell gold and earn the money that you deserve without the need to fear a bad deal!
