Dear Valued Client,

As more and more internet online services are being offered to the public, so more and more shady companies are popping up claiming to be the best gold refiners and buyers in the market and promising payouts which rarely delivered.

Consumers are being advised to beware of gold refiners and buyers acting as Middle-Men in the gold refining Industry that are seriously undervaluing your used gold and only paying a fraction of what it’s worth. They use slogans “we pay you 3x more” or “we are the best” but their prices are only 1/3 of the actual gold price. They do not even give you any up to date pricing and pay you a fraction of your metals value. Some of these companies will even advertise higher and unrealistic gold prices  and fees just to lure their customers in and then break their promises.

You as a consumer and gold seller you must be aware of these shady companies which tend to mislead the public and be able to set them apart from the good companies which are operating in this gold buying market.

Here are a few tips that will help you to differentiate the good ones from the bad ones, protect you from scam companies and get you the maximum price for your scrap gold.

1.     Research the company thoroughly and found out the company is regulated by a governmental agency or municipality. You should view any Department of Consumer Affairs or Municipality license by visiting the store and  see if it is posted on the front window.Some companies will tell you they’ve been in business for years but neglect to tell you that most of that time weren’t buying gold. Be sure any company you’re considering to do business with ,  that they’ve been buying gold for at least ten years. The more experience the company has, the more smoothly the transaction will go. They will also be more likely to offer you top dollar for your gold. 

2.   The payout prices are not posted on their website. The prices you are paid should be posted online in grams and not the current value of the gold. If no payouts are posted online then just shy away from them because they try to hide a payout which is insultingly very low.

 3.     Check out the company Web site their legitimacy in particular for physical address and policies regarding buying and selling gold. There are many fly-by-night companies that come with only a post office box and email address but with no physical street address and a license or permit to purchase gold. You will feel uncomfortable with a company that you cannot visit and talk to someone in person if you are not happy with the transaction.Ask yourself. Does the website clearly state the company policies regarding buying and selling gold? Is there a physical address? If the company only lists a post office box, be wary. This is sometimes a tip-off that the company is a recent business that wants to be able to fold up shop quickly in the event of a problem.

4.     Look for a company that has lots of communication options. The easier it is to reach someone to talk to about your concerns, the more likely it is you’ll be happier with the results when selling your gold. If a Web site that buys gold clearly posts an e-mail address and a toll-free telephone number, it’s a good start… This means the company is dedicated to making your gold transaction as simple and reassuring as possible. Give the company a call and ask a few questions; you’ll learn a lot about the company’s values and dedication to potential clients with a simple phone call.

5.     Don’t get locked into a transaction too soon. Some companies have fine print in their agreements stating that once you send your gold, you have to accept whatever they offer in payment. Selling gold shouldn’t mean a commitment to sell without knowing the price. A reputable company will contact you with a quote and let you decide whether selling gold to them is a wise decision.

6.     Avoid companies that are middlemen. You must only deal with a legitimate company that’s been in the gold buying business for years. Has it’s Very Own On-Site Refinery, Therefore Eliminating the “Middle Man” Consumers are being advised to beware of gold Buyers that are acting as Middle-Men in the gold refining Industry , seriously undervaluing your used gold and only paying a fraction of what it’s worth. They use slogans “we pay you 3x more” but their prices are only 1/3 of the actual gold price. You’ll get the best possible price by selling to a company that has its own gold refinery. These companies buy scrap gold and melt it down themselves and then refine it so they can cut pretty close to the actual value when offering to buy your scrap gold. If the company buys from you, then turns around and re-sells the gold to someone else, they have to have a profit margin for themselves. They will usually do this by making you an offer that is substantially less than the gold is worth.

7.     Make sure you ask other gold buying companies what they will pay, per gram, for your 10, 14 and 18 karat gold. Be wary of gold buyers that won’t quote you a price over the phone, or try to tempt you with an immediate, but unfair payout. Also, be cautious dealing with gold buying companies which do not advertise their gold pricing on their websites.

Also, do your homework on current gold prices. Don’t assume that because a company is willing to post the current prices they are offering for scrap gold that they are offering a good price. Compare the price they are offering to the current actual value of gold on the open market. Our web site is a great source of information on current precious metal values. When selling gold, you should be offered a price that is around 75 to 85 percent of the actual value. Unfortunately, you may find companies that offer as little as 40 percent of the actual value of your gold.

8.    7. Make sure your gold will be insured in-transit. If you will be selling a lot of gold to a company or even simply sending it in to get a price quote, the company should fully insure it for the estimated value. Shipments are occasionally lost in the mail or during shipping, so proper insurance is a must to protect you. Also important is to have a tracking number and know the whereabouts of your package every step until it arrives to its destination.

Above all, be cautious, ask questions and make a decision that’s based on the facts. If you do this, selling gold for cash will bring you a great return.