GOLD Value & Worth! What Pawn Shops & Jewelry Stores Don't Want You To Know - Buying & Selling

hey everyone welcome to my channel and welcome back to my subscribers something you don't know about me is that one of my best friends owns a few pawn shops and deals with jewelry stores on a regular basis and I am taking the knowledge that I got from him to make sure you don't get ripped off when buying or selling gold jewelry because as we approach the holiday season some of us may consider selling some gold to raise cash and others will be looking to buy gold jewelry for their loved ones and in this video I will be showing you the following things to make sure you are protected starting with how to identify the purity of your jewelry so how much gold is actually contained in the jewelry you have number two how to accurately weigh your jewelry it's very simple and I will show you how number three how to determine the price of gold in grams and this will be very important because all of this leads to point number four because I am going to show you how to determine the fair price for your gold jewelry including Jeweler markup for those of you who are going to jewelry stores to purchase gold as a gift for somebody this holiday season as always I'm just going to ask you to leave a like if you think this content is good and you think it should be seen by more people you never know that like just may Save Somebody a few dollars this holiday season so let's get into it because the fact is that most people have no clue how much the gold they are wearing or the gold they want to wear is actually worth Jewelers and pawn shops have been playing people for fools for years now and it all starts with understanding the purity of either what you have or what you're buying so to help you understand that I've put together this table that shows the typical composition of yellow gold jewelry at different carrot levels now what is important to note here is the percentage of gold because that is what determines the value of the jewelry not the additional Metals in it so I have made that larger and bold here on the chart for you to see and whether you have yellow gold white gold or rose gold the percentage of gold contained in it is determined by the caritage of the gold with 24 carats representing pure gold so if for example you have some 18 carat white gold it will be 75 pure gold just like is shown here on this chart just like for yellow gold and for rose gold okay it doesn't make a difference as a side note if you are dealing with white gold you won't find anything above 20 carat because to get the white effect it has to be mixed with silver or Palladium sometimes even platinum and for rose gold you won't find anything higher than 22 karat because to achieve the color Jewelers mix it with copper so don't get fooled by people trying to sell 24 karat white or rose gold it doesn't exist because gold is yellow but back to the table historically it's important to mention that there are some unique Purity levels that have been used in history for gold jewelry so if you have an antique piece that is for example 15 karat gold don't worry because no matter what level you have it's easy to calculate the purity of gold because whatever Carriage your gold is you can divide that number by 24 to determine its Purity so using that 15 carat example you just grab your calculator and you put in 15 divided by 24 that will give you 0.625 and then you multiply that number by 100 so in this case you get 62.5 percent and that is the purity of gold in your jewelry meaning that 62.5 percent of the metal used to make that jewelry is gold now for many people out there specifically in Europe and Asia your marks indicating the purity of gold will be slightly different using three-digit numbers like the ones shown in the table here and I've highlighted them in a red box with the title Hallmark and these numbers indicate the Purity in parts per 1000 versus the parts per 24 system that the caritage system uses and it is very easy to calculate the purity of your gold using these numbers because all you have to do is divide the number by 10 to get the purity of your gold in percentage terms or to make it even simpler just put a decimal before the last number for example if you have 750 as your Hallmark put the decimal before the zero and that gives you 75 gold content if you have 583 for example as your Hallmark put the decimal place before the 3 which gives you 58.3 percent pure gold content in the jewelry and I hope as you look at the table there it is clear for you comparing the Hallmarks versus what actually is the gold percent content in the jewelry I think it should be fairly understandable and clear but I am sure there are some of you out there saying right now but how do I know how many carrots my gold has where do I check on my gold jewelry for the Hallmark don't worry I've got you covered when talking about Rings you can simply look on the inside of it to see the symbol that tells you how pure the gold is and you can see that in these two examples here and on chains and bracelets it's just as easy just look around the clasp area and you will find the numbers there and I admit these markings can be pretty small sometimes so you may need a magnifying glass to help you read them and I really want to stress the importance of checking these Hallmarks when buying jewelry because different types of jewelry have different marks as seen here in this table and I really encourage you to take a screenshot of this for future use because for example if you see the marks 800 925 or 958 in an oval as shown on the left side of the table that's not white gold a person might be trying to sell you that's silver so just be armed with this knowledge just to make sure that nobody can rip you off and be especially careful looking out for Marks like these GP GF and gep these indicate that what you are holding is not solid gold but simply gold plated so gold on the outside and something else like bronze or copper or maybe silver on the inside okay so now that you know how to find the markings spot fake or plated gold and determine the purity of your gold the next thing to do is to weigh it and to do that I recommend to get a small jewelry scale like this one which I bought on Amazon for seven dollars seven dollars they're not expensive it's it's worth it to have one of these things in your house especially if you are thinking about selling some gold jewelry you want to know the weight of your jewelry exactly before getting into a deal to sell it and if you are buying from a reputable Jeweler they should have a scale but anyway it's nice to have your own scale as a second tier of verification okay and these things are very easy to use I'll demonstrate it right now I I just press the on off button on it I have to keep it on a flat hard surface and it will show me Triple zeros I'll just I have a gold ring here that I've brought for the purpose of this video I will place it on the scale and it's showing me 7.7 grams so now we know how to check the purity of our gold and we know how much our gold weighs two very important pieces of information because the next step before we calculate the value is to calculate the exact weight of the gold content itself remember what I said earlier the value of jewelry is based on the gold content only now this part is very easy because you are putting together the Purity level which we've already determined and you will multiply that percentage by the weight of the piece so let's continue with this ring here as I said it weighs 7.7 grams and there is a Hallmark on it indicating Purity it says 750 and going back to what we covered earlier that means it is 75 pure gold so when we calculate this we take the Purity as I said and 75 in number form is 0.75 please remember that this number will always be less than one so as I was saying we we take 0.75 and multiply that on a calculator by 7.7 grams which was the total weight of the ring and we get 5.78 so what does that number mean that means that this ring contains 5.78 grams of pure gold now armed with that knowledge we can multiply that by the price of gold per gram since the price of gold is usually exp expressed in troy ounces we have to divide that number by 31.1 to get the price per gram because there are 31.1 grams in a troy ounce at the moment of making this video the spot price of gold is one thousand seven hundred sixty four dollars per troy ounce meaning that per gram once divided by 31.1 the price is 56.70 and now we're at the Finish Line because if we put all of that together you know how to calculate how much pure gold is in your jewelry and you know how to calculate the price of gold per gram and if you multiply the price of gold per gram buy the pure gold weight of your jewelry you get the value of your gold jewelry and for those of you selling gold jewelry for whatever reason it is that's about the best price you can expect to get for it and I understand you may have paid more maybe Mom and Dad paid a lot more for this gold jewelry than what you're seeing on the calculator or what the person at the local jewelry shop or pawn shop is offering you and we'll cover reasonable Jeweler markups for buyers in a second but it boils down to simple mathematics so let's do a quick example in it we have a 14 karat white gold chain it weighs 8 grams now remember the gold content is going to be the same for any 14 karat gold regardless of the color so if it's yellow or rose gold it doesn't matter so we start with the 14 and divide it by 24. that gives us 0.583 which means we know the gold content of this chain is 58.3 percent of the total weight of the metal and remember for those of you who are using non-carat Hallmarks you will see the numbers 583 on the gold and what we do next is we multiply the percentage of gold content by the total weight which tells us this chain has 4.66 grams of pure gold in it now we do a quick calculation to figure out the price of gold per gram remember that's spot price divided by 31.1 because that's how many grams are in a troy ounce and finally we multiply the price per gram 56.70 by the pure gold content of 4.66 grams which tells us the chain is worth 264 dollars please screenshot this example for future reference to and here is what that looks like for people outside of North America who are used to seeing the three digit Hallmarks just so you can get a visualization of what that looks like you would see 583 on that chain and you would divide that by 1000 to get the percentage in a decimal and repeat the exact same steps so as I said please screenshot this this may can come in handy for you in the future and if you're selling something go through that exercise yourself before even going to the jeweler before even going to the pawn shop just to manage your own expectations because the number that the calculator ends up churning out and showing you may not be a number that is high enough for you to actually want to part with the piece of jewelry you're considering selling so I really think that's important just to save yourself any embarrassment or any anger or grief with with a jeweler or a pawn shop but buying gold jewelry is a totally different game and here you absolutely have to be careful because a lot of jewelry stores and dealers simply mark up their prices too high and I'm gonna put it this way they're simply trying to rip off people who don't know about these calculations and this is a fact I mean have you ever seen signs like this before science advertising major sales on jewelry of up to 75 or 80 percent off and when you go in the store the bracelet that was originally four thousand dollars has miraculously become one thousand five hundred dollars but only if you walk out with the bracelet uh out of the store right now well that's because many jewelry stores have markups of up to or sometimes even exceeding five times the real value of what they're trying to sell you and that's not mentioning stores like Tiffany's Cartier or Bulgari where the markups are even higher okay now I understand they have costs such as the store the Jeweler who made the piece the sales person the list of their costs certainly goes on and on and they have the right and need to make a margin on the product they're selling but when you're buying gold jewelry what I say is shop around and once you've done the calculation avoid at all costs paying more than double what the gold content is worth especially if you're looking at something as an investment piece that contains a lot of gold so it so it weighs a lot and although it doesn't seem fair most sellers will have double the value of the gold as their walk away or final price for the price of a piece of jewelry they're trying to sell you so if we come back to the example of the white gold chain that we said is worth 264 dollars if someone is trying to get more than 528 dollars for it you absolutely need to negotiate and if they won't budge shop around go somewhere else that said if you shop around enough especially in jewelry disc districts of large cities you will likely be able to find better prices due to competition in those areas if you're in a place like this I would start by offering 50 above the value of the gold and how you calculate that is once you've done the calculation of what the gold is actually worth you multiply the value of the gold by 1.5 maybe you shop around a bit and if that doesn't work try to move to 60 or as shown in the example here up to 75 by multiplying the value of the gold by 1.75 it's not guaranteed to work but it's a good thing to try for and shows you know the real value of gold and if you don't like that if you think that's too much to pay for gold then I mean although I don't give advice I guess my advice to you would be simply stick to buying gold Boolean don't buy gold jewelry if you think that's too much to play to pay although I have to say especially for men out there looking to buy some gold for their wives I don't know if you're going to get the best reaction from your significant other when you hand them a gold Maple Leaf or a Kruger Rand on Christmas day instead of a of of a beautiful gold necklace but hey that's on all of you to figure out for yourselves now just before I sign off I have to answer our question of the week and remember you can submit your questions for me to answer here on the channel in the comments section of this video or any video that I've done I see the comments as you as you submit them and this week the question comes from care pray lift share I hope I said that correctly and he asks is it better to pay a little more for a recognized a Sade bar like a 10 ounce Royal Canadian Mint bar serialized or just a poured bar for weight is fractional silver worth it like American quarters or better off with larger I assume larger denominations like full one ounce coins okay so let's break this question down into two parts so the first part is it better to buy recognize the Sade bars like the 10 ounce Royal Canadian Mint bar serialized and you can kind of see in the responses there both Rusty shacklefords in mine where I said I agree with Rusty Shackleford and he's a subscriber and what he said is the Royal Canadian Mint bars are probably the best silver to buy recognizable and desirable and I agree with Rusty Shackleford I mean when it comes to me and I don't buy specifically Royal Canadian Mint bars but I do buy recognizable bars and I do buy them serialized and the reason I do that is because I believe simply that these products have more Demand on the open market should I need to sell them I know there's a channel out there on YouTube I don't watch the channel so I'm not you know promoting this Channel at all it's called backyard Boolean I think the guy pours his own silver into weird things for me I would never stack that I don't want that I wish the guy all the best I'm not trying to disparage him at all but I'm not interested in having those kinds of things I want either recognizable Sovereign coins or silver bars now coming to the second part of the question on quarters or dimes personally I don't go out of my way to stack these things or buy them do I have them yeah I have them and if I come across one you know maybe I'll I'll pick it up but it's more out of curiosity I think if you're trying to build a serious silver stack especially or I should say at least from my point of view it's best to focus on The Sovereign coins so here we're talking about Maple Leafs britannia's Eagles philharmonicers those kinds of coins but because the premiums on them are so high kind of coming back to a topic I touched on in my last video I think your best bet is to get recognizable bars and I think it's very good and important to mention that serialized bars are the best things to buy because there is simply more demand for them out there people trust them more than again something you poured in your backyard sorry backyard Boolean I don't know what you do but I'm sure you're a great guy I just think those kinds of things are not that great and that's it for this video please be sure to let me know what you thought of this video in the comments section don't forget to leave me a question if you'd like to see it answered here on the channel possibly and let us know if you like gold jewelry I like it obviously I even like tacky things like this ugly gold ring with a lion's head on it that my wife absolutely hates and doesn't like to go out with me when I wear it so anyways like I said let me know in the comments what you thought of the video and until next time take care everybody

Channel: Bald Guy Money

Views: 91,944

Keywords: gold, gold jewelry, pawn shop selling, pawn shop buying, jewelry store, zales, jewelry store buying, buying gold, selling gold, how to sell gold, how to buy gold, pawn shop, gold chain, gold ring, gold bracelet, gold earrings, buy gold, sell gold

Id: qLbJ5jsatcs

Length: 22min 34sec (1354 seconds)

Published: Sat Nov 19 2022