One of the most popular item types bought and sold at pawn shops across the country is jewelry, and within this broad category, gold is a particularly valuable attraction. Due to its malleability and the small amounts of it that many people possess, it’s common to see gold sold or traded in at a given pawn shop.
At Premier Pawn in Salt Lake City, we’re experienced with all gold-related transactions. Whether you’re looking to sell your gold or trade it in, there are a few things we recommend you get caught up on before you head into our store.
Many people show up with unrealistic expectations about the return they can get for their gold, and this is often because they simply don’t understand how gold is valued. The gold market fluctuates just like the market for any other commodity out there, but there are a couple factors that influence this market. The primary factor here is karats – gold has 24 separate “parts,” and how many of these parts are actually gold (these are defined as karats”) plays a big role in determining value.
For this reason, gold is labeled in terms of the number of karats it possesses. A piece of gold labeled 8K is eight parts gold and 16 parts other metals. This ratio might also be expressed as a decimal – a piece of gold with 14 karats may also be referred to as .585 gold (the decimal you get when you divide 14 into 24).
In many cases, gold will be marked with its karat weight. In others, you’ll have to bring it in to be evaluated (more on this below).
Exactly which gold pieces are accepted at pawn shops will vary from shop to shop. That said, there are a few types that are generally accepted everywhere:
Damaged or broken gold
Most Valuable Pieces
A big determinant of your gold’s value: Whether it can or cannot be resold, which often speaks to the condition it’s in. Another big factor is whether or not your gold pieces also contain any natural stones, particularly diamonds or sapphires. In both these cases, your offers will generally be higher.
The closest pieces to true market value, meanwhile, are gold coins. These are usually very high in karat weight, for one, and they also may have additional value as collector items.
Inspection and Evaluation
If your gold doesn’t have a karat weight marking, or sometimes even if it does, you’ll have to have the piece evaluated at the pawn shop. There are a couple easy tests that help us ascertain karat weight and the true value of your piece.
For more tips on trading or selling your gold at a pawn shop, or to learn about our jewelry buying services or any of our pawn offerings, speak to the staff at Premier Pawn today.