In order to understand whether you are better of pawning or selling gold, you first must gain a clear understanding of the gold market to gauge what a fair price may look like. Gold, like a stock, is an asset that is publicly traded – it therefore has a market value. In this same stock-like fashion, the price of gold is always fluctuating, so it is important to be able to keep an eye on it and keep a tab.
Further to the price, you must also understand what buyers are looking for when they look for gold. There are a range of factors that play into it, so we will run through them below.
First, you must know the karat of your gold – this is the purity of it. Pure gold is 24 karats; this material will be extremely soft, so you would actually be able to bite into it. From this point, gold reduces in karat based on its purity and the amount of alloy metal that is contained within the product. How pure your gold item is will determine the price that you will be able to sell it for. When selling, it is therefore important to separate your jewellery by karat, as some buyers will lump all items together by weight.
The advantage of using a Perth pawn shop to shift your gold is that they are all working from the same value of gold which is determined by the market. This means that if you are educated on the current market price, you can always take this knowledge and have it by your side as you enter the pawn shop. Despite this, there will be fluctuations between offers depending on the pawn shop that you attend to, so it is important to do your research on local pawn shops in your area and which ones have a strong reputation. If you are looking for pawn shops Melbourne, then be sure to scour the entire offering of vendors before getting a sale or offer accepted. Another bonus of pawning is that you can get an instant loan, which means that your gold will give you instant relief from whatever situation you may find yourself in. It is therefore a fairly swift and quick process, meaning that you can gain access to new cash fast.
In contrast, selling gold comes with a range of red tape and hurdles that you must go through in order to obtain a sale. You must measure your ingots, coins or jewellery to properly analyse it, and you will be faced with a range of experts who can scrutinise the jewellery to a closer degree. Selling your gold may take a longer time than pawning, and you may end up losing it for an unjustified price if you do not value the product properly before the sale.
Ultimately, for those looking for quick cash over a short time period, pawning your gold is a much better option.