Most people have a pretty good idea that even if they have gold that’s no longer wanted, it should be sold and liquidated, freeing up the value that can be used for something or an experience far more important. However, once one commits to selling his or her gold, the challenge begins in trying to do so in a way that is safe, reliable, transparent, and provides a fair market value. That process needs the benefit of the best gold buyer available, not just the first resource that comes along. Too often, consumer sellers find themselves in rather precarious or downright ugly situations trying to sell personal gold for the first time but not researching whom they are dealing with. Not much has changed since ancient times, and gold still remains a highly sought-after item by thieves and scams.
Fortunately, there are aspects and traits one can look for in a quality gold buyer that helps protects personal interests. These include everything from known and established reputation to the method and manner of how business is conducted with a customer. Consumers who take the time to do their research are oftentimes well rewarded with a better experience, a safer environment for the transaction and, most importantly, a better price and return on the gold being sold. Here’s how these factors make such a big difference for a personal gold seller.
A Solid Reputation Speaks Volumes
Established and professional gold buyers will have been working in their communities and regions for quite some time, establishing history and reputation with locals, neighbors, local authorities, and city government. All of these interactions add and support the nature of the business as an entity people can trust and depend on as part of their community. When a business does not behave competently or fairly, that word gets out pretty quickly as people have a bad experience. The issue becomes known and the reputation can suffer long after the business has rectified the issue and returned to a proper manner of conduct. That affects sales, which of course is the primary purpose why a business operates in the first place. So, reputation matters and matters a lot. No good business worth its name wants to see its long-standing reputation tarnished, and gold buyer businesses are no different in that respect.
Secondly, a good reputation generates more business in itself. People refer their friends and family to a gold buyer they have a good experience with. That kind of networking builds more and more with each contact, transaction, and sale. And the business thrives exponentially as a result. Again, professional gold buyers don’t want to compromise this community relationship because it provides them growth in sales, especially in a market that depends heavily on used gold being brought to the buyer by various private parties on a regular basis.
So, for the first-time personal gold seller, look for resources that point out or record a gold buyer’s reputation and history. These experiences and commentary can be immensely helpful in finding good resources to work with as well as avoiding entities that already show a pattern of problems. Remember, a bad experience with a gold buyer isn’t necessarily limited to just the sale itself. It can be how a person is treated, the risk in the environment where the sale occurs, or how the customer’s information is handled as well. All of these other aspects have a direct or indirect impact on a comfortable sale of personal gold to a gold buyer.
With a good handle on the reputation of gold buyers available, a consumer can then move to the next research step of squaring away which buyer should be on a shortlist to consider. Remember, online reputation resources can be just as valuable and frequently tend to be easier to find and read. Not everyone in person wants to speak negatively of another, even if they did have a bad experience and won’t interact again with a given business. But online people seem to feel quite emboldened to tell everyone about their experience, probably because the online impact is far stronger as the record can be read by hundreds or thousands of people versus just an immediate locality.
Experience and Skill Go Hand in Hand
The high majority of people looking at gold for the first time miss quite a bit in terms of what to look for and how to tell differences. It is not that people are unable to observe things; the quality and aspects of gold vary so much, professional experience really matters in understanding exactly how to identify real gold, value it, and appraise the second-hand worth. Even more challenging, gold comes in numerous forms. While government-issued bullion coins provide some of the easiest forms to evaluate, gold jewellery on the other hand can be extremely variable, especially when it has no other identification aspects included. Colour alone is a poor standard by which to judge and can often be duped with very elaborate frauds.
Solid experts in gold buying have been working at their trade for years, repeatedly trained and updated on the various aspects of consumer gold as well as how it has been counterfeited over the years. Because professional buyers apply their trade daily, the better buyers know exactly what they are looking at and how to examine second-hand gold. They take no offense in explaining their procedures and frequently want to educate people to help engender trust and confidence in the transaction. Folks are not going to find these professional buyers in pawnshops, payday loan offices, or similar. They will be working in bona fide gold buying businesses, jeweller shops, and higher-end precious metal transaction firms because their skill is in high demand.
Signs of a Problem Buyer
Anyone looking to sell personal gold is going to almost surely find resources that have giveaway signs there’s a potential problem involved. The first of these signals come in the form of temporary presence. Many folks may not even be thinking about selling their old jewellery until suddenly fliers or local paper ads show up noticing that a gold buyer is in town and ready to pay cash immediately for old gold and second-hand gold jewellery. These buyers tend to work out of hotel rooms, hotel conference areas, a local meeting hall, or some other temporary location. They are oftentimes only in town for a short period, maybe a day or two, and they emphasize the immediate nature of taking advantage of a sale now before it is too late. While most do pay a sizable cash amount for the gold provided, it is frequently not the fair market value for that gold. Why? Traveling buyers know that most of whom they buy from don’t have a good idea what their gold is worth or track the market very well, and many folks are lured by the idea of quick cash and will take a payment put in front of them right at that moment. Ergo, the traveling buyer ends up making a profit on people’s quick gut decisions made without awareness.
The second problem buyer area tends to operate in a similar fashion but is a bit more established as a regular business. These include pawn shops, payday and short-term loan cash advance offices, and very second-hand jewellery stores which are in essence also pawn shops. All three will consider second-hand gold, tend to operate with high fees and lots of mark-downs, and essentially rely on people’s need for immediate cash to drive sales. The pawnshop makes the exception of being willing to give the gold back to the prior owner if the cash paid is returned with interest, but most people don’t follow through. All of these types of businesses make profits by buying as low as possible and selling as high as possible to other consumers.
Private buyers are also an issue. They will frequently try to make contact with consumer sellers through word of mouth or classified ads. There is really no guarantee of whom one is dealing with in these situations and folks oftentimes find themselves potentially facing a criminal risk. With the advent of online auctions, the amount of private buyer interactions has increased tremendously, and many consumers have been ripped off by supposed private buyers who agree to a sale and then never actually pay, but the consumer has already shipped the gold item. These people tend to be hard to trace and even harder to find if they are thieves. Most times the police only catch them months or years later because the criminal private buyer just keeps coming back to the online sales platform for more victims because it’s so easy to do.
Fourth, regular gold buyer businesses who over-advertise the “best gold rates” can be suspect. The over-the-top advertising and sales pitches of the “best gold prices in town” tends to be the giveaway. The goal is to just get people in the door. Every gold buyer as a business depends on a steady flow of second-hand gold to operate with. If the supply dries up, so does the business. So, by attracting people with the seeming promise of the best rates, these buyers do a bit of a bait and switch, pulling people in the door and then high-pressuring the consumer to sell or lose the best price ever. It’s usually a low-ball price and the consumer finds out the hard way later on when comparing what could have been sold elsewhere. Again, the hard marketing tactics and crazy promises of best prices are a usual sign for consumers to stay away.
Stick With Local
There are a lot of businesses and outfits, particularly international ones, who are interested in second-hand gold. The demand for the precious metals has skyrocketed, and many outfits have found it profitable enough in bulk to pursue second-hand gold cross-border and in neighboring markets. As a result, there are a lot of players, particularly online, who are quite willing to take advantage of first-time consumer sellers unfamiliar with the aftermarket environment.
One of the better ways to protect one’s interest is to restrict any second-hand gold selling to New Zealand companies that are licensed locally, are 100 percent owned by Kiwis, and the business regularly reinvests in the local community. All of these signal an operation that has a vested interest in New Zealanders and wants to keep that relationship positive and beneficial for the long-term. These kinds of gold buyers also value their customers’ confidentiality and will keep transactions private and restricted. The same can’t be said for international outfits, particularly those buying online. Many will even resell their customer information because marketing lists for contacts is can be lucrative as well. Better known as “mailing lists,” other businesses pay good money for lists of hundreds of fresh contacts who show an interest in financial matters to then be targeted for other financial schemes with emails, electronic newsletters, gimmick websites, and more. The same personal information can also be sold and traded clandestinely on the dark web through which hackers and similar then use the info to trigger phishing attempts, trying to get the same contacts to provide valuable identity information with fake email messaging. Professional, New Zealand established buyers won’t even engage in such behavior with their customers’ records.
Never Get Caught in a Pressure Sale
Remember, you as the consumer and owner of the second-hand gold control the process, not someone else. No one can ever demand you sell your gold to them, no matter how immediate the matter might seem. The simple fact is, gold buyers depend on consumers, not the other way around. So, anyone who engages in a high-pressure tactic on a consumer is simply a buyer that should be shut down and cut off right there and then.
With Gold Smart, we know selling gold can feel challenging, even risky. Our goal and effort all the time focus around providing customers a safe way to sell second-hand gold, pressure-free, and with full transparency and education available. We regularly have customers and consumers who come in, ready to sell gold, but in the process realize something has sentimental value. We understand this situation and will never push or demand anyone sell what they have. Instead, we try to educate and spend quality time with our customers to make sure they fully understand how to evaluate their gold, how the price offered was reached, and why the gold is worth what it is. Many customers have such a good experience, they have worked with us regularly since and bring others to use based on the same trust and positive experience.
Don’t put your personal assets at risk unnecessarily. Working with Gold Smart you will have a full view of what your gold is worth, and you decide what you sell and when. We can help you get the best second-hand gold price possible in a fair market and fully open process. Give us a call or email to get started. Our professional buying staff will reach out to you to set up the best channel for your convenience to get started. Make your gold benefit you, not someone else.