Whatever the reasons for selling your old gold jewellery, coins, or released pledged gold jewellery, selling your gold is going to be one of the financial decisions you are going to make. And, of course, you would like to get paid properly for it.
However, at the end of the day, the amount of money you receive will depend on many factors like purity, weight, gold rate, and deductions.
As BIS guidelines for consumers on gold jewellery say, purity testing is essential and, as latest reports on gold recycling say, the amount of money one gets depends on purity, prevailing market prices and deduction/charges.
Therefore, it is vital to understand the process of valuation.
Here are 10 things to be careful about while selling your gold – and 10 approaches of Mahika Gold that can make the process transparent.
1. Using a Rate Below the Prevailing Market Rate
The first thing to consider is:
“At what rate do you estimate my gold jewellery?”
The prices of gold change all the time and, therefore, the rate of the day you are going to visit the buyer has a great influence on your final payout.
The Approach of Mahika Gold
As Mahika Gold says, the gold is estimated at the prevailing market rate and quotation is made according to the live market prices.
2. Not Explaining the Purity of Gold to You
Gold jewellery can be in 22K, 18K and other purities. Just weighing the piece of gold is not enough for the valuation.
Without the information about the purity of the gold, it is hard for the customer to understand the whole process of valuation.
The Approach of Mahika Gold
According to Mahika Gold, it uses gold-testing machines in the process of valuation. According to the BIS, the purity testing of gold jewellery can be made in recognized Assaying & Hallmarking Centres.
3. Mistaking the Gold Weight with the Gross Weight of the Item
Gold jewellery can have stones, beads, enamel, and any other non-gold elements.
Therefore, the gross weight of the item cannot be taken for the gold weight.
The Approach of Mahika Gold
According to Mahika Gold, it verifies the weight as a part of the gold-selling process and gives the quotation after checking the purity and weight.
4. Hidden Deductions
Sometimes the buyer gives a certain rate, but does not provide the information about the deductions involved in the transaction.
What really matters is the amount of money you receive.
The latest reports on gold recycling say that the amount received by the customer is influenced by applicable service charges.
The Approach of Mahika Gold
According to Mahika Gold, the process of selling old gold does not include any hidden deductions or confusing charges and the quotation is explained to the customer prior to its confirmation.
5. Providing the Final Amount Without Explanation of the Process
You should not be asked to accept a certain amount without any explanation of how it was obtained.
A truly transparent process of valuation should allow you to understand the following formula:
Purity + Weight + Applicable Rate = Value of Your Gold
The Approach of Mahika Gold
According to Mahika Gold, the gold is valued according to the market rates, purity testing and weight measurements of the item, and the process of calculation is performed in front of the customer.
6. Estimating Old Gold as Less Valuable Because It Is Damaged or Broken
Sometimes the ornament looks like it has no value due to broken chains or any other kind of damage. However, this does not affect the value of gold content.
The Approach of Mahika Gold
Mahika Gold claims that it buys old, used, broken and damaged gold jewellery where the valuation is made according to the purity and weight of the item. Therefore, you do not have to agree to a strange valuation just because your gold ornament is old or broken.
7. Making the Process of Pledged Gold Release More Complicated
Pledged gold is more complicated since it is connected with outstanding loan.
This is why customers need to know the amount of the loan and the valuation of the gold before they make a decision about something else.
The Approach of Mahika Gold
Mahika Gold provides a special pledged gold release service where the company assists the customers in the releasing process, checks the jewellery and makes the payment after its valuation and customer’s confirmation.
8. Making the Customer Feel That He/She Needs To Make Fast Decisions
Selling gold is a large decision and it requires some time to understand the process of quotation.
The Approach of Mahika Gold
According to Mahika Gold, the process is fully transparent and the customer receives the quotation prior to its confirmation.
The basic principle is:
Firstly, understand the process of valuation. Secondly, make a decision.
9. Focusing on the Rate Per Gram of Gold
When a buyer advertises its offer in terms of the rate per gram, he/she tells only the partial truth.
The final payout will depend on:
- Purity
- Gold weight
- Applicable market rate
- Deductions/charges
- Final settlement amount
As latest reports say, the realized value will depend on purity, market prices and deductions/charges.
The Approach of Mahika Gold
Mahika Gold values its service of buying gold according to the market rate of the day, purity testing and gold weight measurements rather than just quoting a price.
10. Failure To Explain the Clear Payment Options
Once you’ve decided to sell your gold, you want to know the way and timing of your payment.
The Approach of Mahika Gold
According to Mahika Gold, the customers can receive their payment instantly through cash or bank transfer after the process of valuation and agreement is completed.
10 Reasons to Choose Mahika Gold
Mahika Gold highlights the following aspects in its process:
- Market rate of the day
- Purity testing
- Weight verification
- Clear quotations
- No hidden deductions, according to the company
- Buying old gold
- Buying damaged gold
- Pledged gold release assistance
- Transparent valuation
- Instant payment after the confirmation
According to the company, Mahika Gold has over 12 years of experience and over 3,000 customers. This information is given by the company and it is not verified independently.
Questions to Ask Before Selling Gold
Prior to accepting any quotation, here are 5 questions to ask to any gold buyer:
1. What is the market rate of the day?
2. What is the purity of my gold?
3. What is the gold weight?
4. Are there any deductions or charges?
5. What is the amount that I will receive?
If you receive clear answers on these questions, you will be able to compare different offers in terms of the final payout.
Sell Your Old or Pledged Gold Transparently
Your gold has some value. The process used to estimate this value should be transparent too.
Whether you need to sell your old gold, broken jewellery, unused ornaments or released pledged gold, you will be able to check the purity, weight, market rate and the process of calculation.
The approach of Mahika Gold is quite simple:
Check the purity.
Verify the weight.
Calculate the value according to the market rate.
Explain the valuation.
Make the payment after the confirmation.
Because selling your old gold requires not only asking:
“How much will you pay me?”
But also:
“How did you calculate my gold value?”
Mahika Gold – Old Gold. Pledged Gold. Market Price. Transparent Valuation.