When people are desperate are for money, the vultures will be there to prey upon them!
If your town is anything like mine, then you’ve probably got a whole bunch of those shady “We Buy Gold” stores popping up all over the place. Why the increase? Because there is a growing number of people who are smart enough to take away the precious metal from those who are not smart enough to realize how much their gold is really worth.
Earlier this year gold peaked at $1,794 per troy ounce after years of going up, up, up. Even though its value has fallen back down ever since the economy has seemed to become more sustainable, there are still any number of people ready to trick you into trading over your gold jewelry for a fraction of its value.
Visiting One of These “We Buy Gold” Joints:
When my wife decided she wanted to unload some old gold jewelry that she was never going to wear again, we were delighted at the prospect of making a few extra bucks from this transaction. All those images from commercials where pawn shops were stacking one-hundred dollar bills into the hands of their clients flashed into my mind.
Unfortunately that’s not how it went down.
I decided to hit an average business strip in my hometown. The first place I visited was a musty Grade C jewelry store where the clerk who helped me could have easily beaten me up and taken my lunch money. Between his gasps for breath as I wore him out when he walked over to greet me at the door, he huffed out his low-ball offer per gram for the gold and wasn’t really in a mood for negotiation. I left that place and continued to shop around.
The next place I drove to was just a little ways down the business strip. Pretty much when I walked in I was meet with a stare from a grizzled old man behind a counter. He didn’t say anything. He didn’t smile. I felt like I had walked into a Wild West salon and the music stopped. I turned around and left.
After looking up a few more places on my phone, the last one I ended up at was in the mall in a location that used to be one of those Bulk Food Stores but had been vacant for years. Clearly the gold place had just opened because there were still advertisements for sour candies on the wall. This time a female who was clearly working her assets came from out of the back room to help me. She was nice, and her offer on my gold value seemed consistent with the 10 minutes of research I did on my smartphone before I arrived at this location. But something was still off. As she appraised each piece, I noticed some of her calculations were off and had to correct her a few times. Even though I ended up trading in the jewelry for cash, I couldn’t help but feel like I was somehow getting ripped off. Debauchery ensues.
BTW – The store was gone about six months later. You know you’ve found a real winner when the store disappears in under a year.
Really Finding Out How Much Is Gold Worth:
Don’t get duped into trading your old jewelry for less than you should.
If you ever want to know how much is gold worth, it’s actually very easy to find out. Just go to any major news media site and go their “Money” page. Usually it will be one of the many listings they place with the stock market stats. For example: Go to CNN Money and by default it is listed in the upper right hand corner under Markets.
Remember however that you are never going to get the actual “floor value” of how much your gold is worth when you go to sell it. Think about it. When they go to resell it, they are going to want to make a profit. So in order to do that, they are going to try to get you for as low as possible.
The best thing you can do is this:
1) Find out how much is gold worth today by looking online at a few reputable sources.
2) Do your calculations to find out “about” how much money you should be making if you decide to trade it in. WikiHow has a great article on how to figure out your gold value yourself.
3) Calling around to a minimum of five local traders and seeing who will give you the best price.
4) Don’t forget to check any posted reviews of the places if they’ve been around long enough to have some. Even though they may be willing to give you a good bargain, they may do other devious practices like appraise the karat value wrong (on purpose) or pay with bounced checks. Make sure you get all the facts before you do business!
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