4 Important Things To Look For While Buying Gold
As the saying goes, “All that glitters isn’t gold.” Buying gold requires some serious research on the buyer’s part. You would not want to be duped while buying the most beloved metal on Earth. Gold needs to be mixed with other alloys as it is too soft in its individual form.
It is only after the mixing that Gold becomes tough enough to be adorned. Hence, as a buyer, one must have the knowledge to judge the gold ornament inside-out. This article will make you aware of the basics to keep in mind while buying gold.
Choosing the right brand: The name says it all. Always look for dealers and brands that are well established, and can guarantee you authenticity. Buying gold from a certain jeweler or a brand establishes a long-term relationship. Hence, you need to make sure that you go to a dealer or opt for the brand that has good reviews and is trustworthy.
Purity Check: Ever heard of the term ‘hallmark’ while listening to a discussion on gold. Yes! Hallmark is the stamp put by the gold regulating agency of every country. For instance, in the USA, National Gold and Silver Stamping Act 1906 or commonly known as the Jeweler’s Liability Act is responsible for ensuring the purity of gold sold in the U.S. Market. Hallmark is one crucial word that should constantly echo in your mind while buying gold. If you cannot find the hallmark, the dealer’s mark, the year of the hallmark in the gold, then it is a big NO!
Price Check: It is the purity that defines the price of gold; plus, the labor cost, and of course, there is the market that has a direct influence on the gold price. The price of gold can vary daily. Hence, the day you decide to buy gold, make sure to do some rigorous market study. The purity of gold is showcased through ‘carats’ marked in every gold. People usually go for gold with 18K, 22K, and 24K. The higher the carat, the purer the gold.
Things to avoid: Jewelry can come in all shapes, sizes, and designs. There are some that come with stone studded in them. Make a thorough inquiry about this kind of jewels or else you might end up paying more than what you are getting. Ask the jeweler how much of gold and how much of the stone make up the whole. Take the price of the amount of gold used in the ornament separately and the price of the amount of stone used separately and then calculate it together to come up with a final price.
The second don’t is to not resell the good to any other dealer. As mentioned before that buying gold from a dealer establishes a long-term relationship. Of course, one would not be willing to sell the gold he/she bought. Nevertheless, in case you are planning on going for a new design or in case of emergencies, it is always suggested that you go to the dealer from whom you bought it. Well established dealers and brands usually have 100% buyback policy that will ensure that you get paid the exact value of the amount of gold you have. These are some of the essential tips that shall help you get the right amount of gold for the right price with authenticity ensured. Always be alert and remember to do your homework thoroughly.