If you own gold of any sort, it is time to consider selling. Items containing gold can fetch you quite the tidy sum of cash. Yet you will not receive the exact same offer from each gold dealer. Nor will each gold dealer be completely straightforward. It is a mistake to let your gold go to the first gold buyer you come across. It is also a mistake to buy gold or any other precious metal from the first dealer you come across. This does not mean you have to travel across the country obtain an array of quotes for your gold or check out hundreds of dealers’ inventories. Rather, you will greatly increase the odds of receiving fair compensation (or finding the piece you desire) by being selective when it comes to prospective gold merchants. Here is what you should look for.
Do Your Homework
Research prospective gold buyers before pulling the trigger on a sale. The unfortunate truth is that some convicted criminals are looking to buy your gold and other precious metals at absurdly low prices. Some attempt to sell phony gold and other precious metals for top dollar. Many unscrupulous gold buyers will even go as far as building a professional-looking website to convince prospective customers they are legitimate. They will study the nuances of the industry so they can carry on an extensive, in-depth conversation about precious metals with prospective buyers/sellers.
So don’t take a gold buyer’s word for his merit and legitimacy. Head on over to the dealer’s website and click the “About Us” section. This portion of the website will provide some insight into the company’s roots and history. If this section contains braggadocios statements about the “best prices”, a steadfast commitment to industry standards and other information that does not reveal the identity of the businessman behind the venture, it is a red flag.
If the dealer’s name is listed in the “About Us” section of the website or another portion of the website, conduct a search for the name followed by the following words: lawsuits, bankruptcies, and convictions. If any negative links pop up in the search results, strike that gold dealer from your list.
Another way to figure out if a prospective gold dealer is legitimate is to read online reviews. Check out several online directories to get a gauge as to what the general public has to say about each prospective dealer. If there is an overwhelming number of negative reviews, do not do business with that dealer. Though it is possible that the dealer will post phony reviews to these online directories, at least some of the reviews will be from legitimate customers.
The Decision to buy or Sell Should Not Completely Hinge on Price
Price certainly matters yet it is not the be-all end-all of gold buying and selling. Some shady gold dealers will offer especially low prices, tout their quick delivery service and ultimately turn out to be complete phonies. The worst of the worst will accept your payment and refuse to ship your selected precious metal(s). Some might ship a metal of inferior quality than the one you selected. Others will ship the item long after you originally placed your request. So be wary of egregiously low prices. Do your homework, look at reviews, verify the dealer is legitimate, and follow through with a purchase/sale only if you are completely convinced the dealer has integrity.
Inquire About Melt Value
If you are thinking about investing in gold or silver bullion coins, do not hesitate to ask for the coins’ melt value. The melt value for just about every bullion coin and collectible coin is easily obtainable. If the dealer can’t provide the melt value or if you find out the value he provides is way off, move on to another dealer.
Get a Second Opinion
Do not hesitate to obtain a second appraisal for the gold piece you are thinking about selling. An independent appraisal will either confirm the initial appraisal or shed light on the piece’s true value.
A Diverse Selection?
Legitimate precious metals dealers have an expansive inventory. If a prospective dealer only has a few pieces or has an inventory limited to many of the same item(s), it is a bad sign. Precious metals dealers worth your business will have an array of items to select, ranging from gold and silver coins to bullion and beyond.