How to Avoid Scams When Selling Gold for Cash: Tips and Red Flags

This article originally appeared on scoopkeeda.org

 

It is always good to sell gold, especially when you are in need of some cash. However, most people are worried that they would be drawn into scams, and this is very rife in the gold selling trade.

Whether you want to sell your old jewelry, coins or any other gold products, it will be helpful to know what to expect in order to be protected and also to be able to get the best value for your item(s). This article will give you straightforward, practical advice and show you what signals you should look for, to avoid being scammed when selling your gold for cash.

 

Recognize the Common Scams

The first thing that should be done in order to prevent the occurrence of scams is the identification of the most typical ones. Beware of clients who are reluctant to provide identification or those who operate from temporary or virtual offices.

Another common scam is the bait and switch con, where a buyer may agree with you on a much higher price when discussing on the phone, but change the price drastically (or even try to switch the product) when you get physical with the deal. Always ask for a written quote, do not depend on just a verbal agreement. Also keep your jewelry within eye-reach at all times.

 

Keep Track of Your Gold and Its True Worth

Although you don’t have to become an instant expert to sell gold, knowing some fundamental facts like the current market price of gold, the weight of the item you are planning to sell, or the item’s purity in terms of karat will help you to determine if the quote given is reasonable or not. You can get gold prices for any given day from the internet, or from business newspapers and magazines. You can also go around with your gold to different buyers to get an average of the amount it will actually fetch.

 

Choose Reputable Buyers

Buyer selection is critical to minimize the risk of being conned. Search for potential buyers who are highly recommended in their field and seek out those who have favorable reviews. It is often best to select a buyer who has been operating for several years and has a proven reputation; they have a name to protect. You can even check the business license if needed.

 

Warning Signs to look for

There are certain signs that should alert you the most. If a buyer is overly eager to close the deal, or if they request for personal particulars like your social security number, you should beware. Another telltale sign is if they are using uncertified scales to weigh your gold—the scales being used may seem off. It is advisable to ask for a different scale if you feel cheated.

 

Final Tips

It is always important to avoid selling your gold too quickly, regardless of the amount of cash you need. Whenever you feel that something does not sound or feel right, just leave the place. The best approach would be to wait for a suitable buyer instead of losing your precious assets to a con artist.

Looking out for the above-mentioned red flags and taking note of the simple tips outlined above will help you stay on the safe side and get a fair deal when selling your gold.