Should You Sell Your Gold As Scrap Gold?

Posted on: 19 May 2023

Scrap gold has been designated for recycling because it isn't marketable in its current form. For example, jewelry can break. Similarly, circuit boards can become obsolete. The World Gold Council says recycling provides about 25 percent of the yearly gold supply. As a result, you should have no problem selling your scrap gold. Instead, the question is whether you should do so.

You can use these suggestions to gauge scrap gold's value:

Scrap Gold's Value Is Based On Weight and Purity

You can estimate scrap gold's value by multiplying the current price of gold by the scrap gold's weight and purity. The price should be based on the same unit of measurement as the weight. Purity is often expressed as a karat. As a result, you need to divide the karat by 24 before plugging the result into the formula. To illustrate this, 20 grams of 12-karat gold at $60 per gram would be 20 * 0.5 * 60, meaning it would be worth an estimated $600.

Gold Buyers Won't Buy Scrap Gold Unless They Profit

Unfortunately, you won't be able to sell your scrap gold for full value. Gold buyers must make a profit, meaning they will offer a percentage. The normal range is 60 to 80 percent. However, you shouldn't expect to receive the higher end of this spectrum unless the deal promises to be particularly profitable. For example, you might be selling a large amount of gold. Alternatively, the gold buyer might have in-house metal refineries, meaning they can recycle the scrap gold at a reduced cost. Bargaining can help to some extent. Still, every gold buyer has hard limits they won't cross based on their operational constraints.

Always Shop Around For a Better Deal

You should always shop around if you're looking to sell something. After all, contacting multiple gold buyers makes it possible to choose the best offer. You can get even better deals when you sell gold online because you will cast a much wider net. However, you need to check every online gold buyer's reviews to ensure you can trust them. Furthermore, you should take every reasonable measure to ensure your parcel's safe arrival.

Should You Sell Your Gold As Scrap Gold?

You can make an informed choice to sell gold as scrap once you know what you can get. Be warned that worked gold tends to be more valuable than scrap gold because its price covers material and craftsmanship. As a result, you should avoid selling jewelry as scrap gold unless you have no choice. In some cases, you might even find it more profitable to fix broken jewelry before selling it rather than sell it as scrap from the start.

Contact a buyer to sell gold today.