Unless you are familiar with the workings of the gold market, it’s almost impossible to make it an important part of your wealth portfolio. You don’t dive in head first; however, it’s not that hard when you’ve got the information that you need. Read this article to gain some knowledge about gold investments.
Take precautions if you mail your items. There are a lot of mail-in services these days, and while they can be convenient, you need to protect yourself. Send the pieces through insured mail, take photographs and know the company’s policies in case they lose your gold pieces and you want a settlement.
Always purchase gold jewelry from a jeweler you can trust. You would be surprised at how many jewelers try to sell fake gold or lower-karats at a high-karat price. Ask friends or family members if they know of a good jeweler. Or, you can go online and look at reviews for jewelers.
When selling your gold, realize that jewelers use a different scale system than others. For example, one ounce of gold will weigh 31.1 grams. Some businesses weigh by the pennyweight, which is 1.555 grams. Then, they purchase by the gram instead of the pennyweight, which can result in them underpaying you.
Do not allow different carats of gold to be weighed together. This is because dealers will base the price on the lowest carat gold. Each carat of gold is mixed with 10 parts of other alloys; thus, a 10 carat weight gold ring will be worth much less than an 18 carat gold ring.
Be cautious about buying gold from a mobile office. Anyone who sets up in a hotel or other temporary location should be considered with a great level of caution, even if they promise great deals. Remember that these dealers might not be there if you ever have to go back, meaning they can easily sell you something that isn’t worth as much as they say it is.
Know the gold market before selling or buying gold. Much like buying and selling stock, you should always buy low and sell high. The gold market varies daily just like the stock market, so it is important to follow the trends and sell your gold when it is at its highest sales price.
If you are thinking about selling gold on the Internet, check the prices several times prior to proceeding. Many times you will be able to find a better local deal than you can receive on the Internet. Although shipping it may seem easier, consider your profit before you do anything.
When shopping around for the best deal on your gold jewelry, get any offers in writing. Most companies will give you something in writing, and that offer will usually be valid for a very short period of time. You can use the written offer to negotiate a better deal at your next stop.
Purchasing gold from the average person is one way to get the best deals. You need to know the risks before purchasing any gold. Have a professional appraise the gold coins, jewelry or bullion you want to buy. If a person wants to sell a cheap coin and you are confident it’s genuine, take your chances and go for it.
If you are selling gold, bring your I.D. with you. This is a requirement via Federal law. If your gold buyer doesn’t ask for I.D., this is a major red flag that something may not be right. If this happens, stop the deal if at all possible. It’s in your best interest.
If you plan on buying and selling gold often instead of making a long-term investment, consider buying GoldMoney or gold certificates from the Perth Mint. These are highly liquid forms of gold investment. The benefit is that you don’t have to worry about storing, insuring or mailing bulky gold coins and bars.
One way to buy small amounts of gold is to purchase coins that are made of solid gold. These coins are not legal tender but are often minted as collectible coins to commemorate people or events. Be sure that you know the true value of the gold in the coin and be wary of coins that cost a lot more than they are worth.
Another choice you have for investing in gold are historic gold coins. This strategy merges the value of gold with the collector’s value of each coin as well. Some coins are more rare and are worth more. So, you can make things a little interesting by investing in this manner as well.
After reading this article, it is time to begin using the knowledge you have gained. Think about all the information that you’ve learned, and work towards applying it to your investment strategies. Yes, gold is a great investment that can help you plan ahead for the future.
