Pawning jewelry is one of the fastest ways to make a quick buck when you’re in a pinch. It can be sad to let go of your old valuables, but sometimes paying bills is the priority. You may wonder, though, how much cash your jewelry can bring in. Is it worth it to sell?
One of the most common types of jewelry to sell at a pawnshop is gold — gold is always worth something. It’s traded 24/7 on the financial market, so prices fluctuate all the time. This makes it difficult to determine exactly how much your bracelet, watch or chain will be worth from one day to the next, but you can do some calculations to determine what you will likely receive from a pawnshop.
Make Sure it’s Clean
First, before you take your gold to a pawnbroker, make sure you clean it thoroughly. Just like any other type of item, pawning your jewelry will give you the highest return when you make it look as new as possible. And use the right kind of cleaning solution — one specifically made for gold.
Know the Weight
The weight of your gold will play into the total value. Pawnshops either use grams or pennyweights for measuring units. One pennyweight is 1.55 grams, so it’s an easy conversion calculation if you have to compare offers from multiple pawnbrokers
Find Out the
The purity of the metal will also affect your pawn offer.
- 10 karat: 41 percent gold
- 14 karat: 57.5 percent gold
- 18 karat: 75 percent gold
The purer the gold, the higher the value.
Assess Market Value
The price of gold fluctuates constantly, so check current prices for the most up-to-date estimate. Then you can calculate the market value of your item based on this equation:
Trading price of gold/31.3 x percentage of gold x weight.
If gold is trading for $1,200/ounce, you have a 14-karat chain and it weighs three grams, your equation would look like this:
$1,200/31.3 x .575 x 5 = $110.22
Now remember, that’s the market price of your gold’s melt value, but pawnshops offer less in order to resell the item to make a profit.
Get an Offer
Pawnshop customers who expect to receive the same value for their gold jewelry that they originally paid won’t be satisfied. When stores sell jewelry, they are accounting for the costs of manufacturing and marketing the piece. You will not recoup this cost. Also, pawnshop prices are designed to allow the pawnbroker to make a profit off an item. Otherwise, how would they continue to do business?
It is possible to get a fair, reasonable price offer when pawning jewelry, you just need to go to the right place. If you have a realistic view of the worth of your jewelry, it’s easier to tell if you’re getting a good deal.
You can trust Premier Pawn for straightforward offers. We can help you get through your hard times and come up with the cash you need. Call or visit our store today!