Gold is one of the world’s most precious metals because of its beauty and immense value. For a number of decades, gold was possessed by the world’s richest figures. Now, almost everyone owns gold, whether it is in the form of jewelry or bullion.
Whether you’re looking to sell a gold bar, coins or other gold products, this article will help you navigate selling one of the world’s most precious metals. We will outline what you need to know about selling and everything you should watch out for during gold transactions so you can get the best value for your gold.
Know Your Precious Metal
When you’re hoping to sell your gold coins or bars, you may hear the term “bullion” mentioned frequently. In the precious metals business, bullion refers to precious metals (both gold and silver) in bulk form. The value of gold bullion and silver bullion is measured by the physical weight of the bar or coins, as well as their purity.
For your gold to be considered a precious metal it needs to have at least a 99.5% purity level. Most buyers will assess your gold coin or bullion for free to provide an estimated price.
Get The Best Price For Your Gold Coins
The prices that dealers will pay for your gold will differ greatly depending on the global gold market and whether their service is reputable. For some, this may not be an issue because they’re simply trying to sell their gold quickly to get cash. But others who want to get the best prices for their gold may need to go through extra steps to sell their coins, jewelry or bars.
The first thing to do when selling gold is to determine whether it’s the right time to sell, or whether you should use it for an investment instead. The global market can fluctuate constantly, meaning that the price may be low one day and high the next. Watch the market before approaching someone to purchase your gold – it could save you from losing money.
Find Places That Will Buy Your Gold
There are a number of places where gold can be sold in Canada. You can sell gold coins or bullion at a local pawn shop, to other gold/silver dealers, online and even at banks. Some banks in Canada like TD Bank will buy gold from their customers at a price that matches the current market. This may not be the case for other businesses like a local pawn shop or a Toronto gold dealer. We recommend that you call around and speak to various buyers beforehand.
Another option is to sell gold over the internet. More people are choosing to sell online because of the competitive prices rather than visiting a store or bank branch. However, there are more risks to this service including scams and theft. Online buyers may try to buy your gold and send a false cheque, leaving you out of money and without your bullion. A local buyer may be a better, worry-free option.
Get A Free Appraisal
After you have evaluated your potential buyers, bring your physical gold to your desired shop, gold/silver dealer or bank branch. A potential buyer will give you a free appraisal to determine how much your coin or bar is worth. They will do this by weighing it and evaluating its quality.
If anyone gives you an estimated price range when they are looking to buy your gold, this may be a telltale sign that the business may be trying to buy it for less than it is actually worth. We would recommend avoiding making any transactions with buyers that do not provide a specific price for your gold/silver.
Make Your Transactions
The final step is to read over the fine print of your contract and receive your payment.
Reading the fine print of your waiver/contract will provide you with some insurance on your gold/silver bullion sale by detailing the payment policy, agreement, and any tax that you may owe for selling bullion.
Some sellers may buy your gold for cash, while others will send you a cheque or bank transfer. If they want to buy your gold using a cheque or bank transfer (and they are not your bank), we recommend that you call your financial advisor to let them know. This will ensure that your financial advisors are watching for any potential scams.
Use Your Precious Metals To Get A Loan
Are you selling gold bullion because you can’t afford insurance or need to pay your bills quickly? You may not have to part with your gold permanently to get the money you need. Many businesses offer gold loans. Customers can exchange their gold coins, bars or pieces of jewelry for money. The company will hold your bullion for free as you pay off your loan, then you will get it back. This is great insurance for keeping your gold and getting the money you need fast.