Looking To Raise Money By Selling Gold Jewellery? Here’s What All You Should Check

Always make sure to check the weight and caratage of the jewellery before selling it which can be easily checked on the purchase receipt of the jewellery since most of the jewellers mention these details

Selling Gold Jewellery | File Image

In troubled times, especially when the pandemic has cost people their job and brought in a lot of misery many people are considering selling their gold jewellery for emergency cash. If you happen to be in such a tight financial spot and aiming to sell gold jewellery, then it is important to consider a few things to ensure that you get a better price.

Check weight and purity of the yellow metal

Always make sure to check the weight and caratage of the jewellery before selling it, and it can be easily checked on the purchase receipt of the jewellery since most jewellers mention these details.

In absence of any such receipt, it is better to first ascertain the same for which you can approach jewellers who have a carat meter. To ensure that you get the right figure, you can check with two or more jewellers.

Also, in case the jewellery is hallmarked, it makes the process easier as the caratage is mentioned on the hallmark stamp. For example, if your jewellery piece is 22 caratage, 22K will be hallmarked on it. This hallmarked caratage and the current price of gold will help in arriving at the estimated price of the jewellery. For instance, the price of 10gm gold of 24K is Rs30,000 and you are selling 22K jewellery of 10gm gold, it will be priced 91.6 per cent of Rs30,000 or Rs27,480.

Check the discount value

Remember that you don’t get anything against the making charges as well as the taxes paid while buying the jewellery. Besides, these stones as well and other metals added in the jewellery will get discounted during the sale.

Make sure that the jeweller is not charging a higher discount for the stones and other impurities. To ensure this it is ideal to find out the weight of the gold and stones separately.

Find the right buyer

It is better to sell your jewellery from whom you had purchased it. In some stores, jewellers have a policy of buy-back option for those jewellery that were sold only by them.

Compare with multiple jewellers

In order to ensure a fair price, you can also check prices from multiple jewellers and opt for the one offering the highest price. However, make sure you are aware of the paying capabilities of the jewellers.

If the jewellery is worth more than Rs10,000, the jeweller can only make the payment through cheque, as per Surendra Mehta, national secretary, Indian Bullion Jewellers Association quoted in Mint. Hence it is important to ensure that the jeweller will be able to service the payment quoted in the cheque.

Make sure you have documents to substantiate know your customer (KYC) details and beware of pawn shops and gold buyers who can indulge in malpractices.

Always better to go for a jeweller with a reputed brand.