Gold sellers should be aware

Use caution when selling jewellery

  • Aug. 17, 2011 6:00 p.m.

With the price of gold soaring Better Business Bureau warns consumers to use caution and make smart decisions before selling or trading jewellery.

As stock markets plunge in the wake of the U.S. credit rating downgrade, gold prices continue to soar. This new high and increasing demand for the precious metal makes it very tempting for consumers to trade their unwanted jewellery for cash. Options to sell gold online, at in-home ‘gold parties’, or through local jewelers continue to gain in popularity, but the BBB would like consumers to think before they try to cash in on the gold rush.

“Selling old or unwanted gold is a growing trend for consumers during these uncertain economic times,” says Rosalind Scott, Executive Director of BBB Vancouver Island. “Whether you do it through a gold party, over the Internet, or through a local jeweler, consumers need to get informed before they sell their jewellery.”

BBB suggests consumers consider the following before selling any gold:

 

Find a trustworthy appraiser. For an appraisal, if possible, go to someone locally whom you know and trust. Check with the Better Business Bureau at www.vi.bbb.org. The BBB suggests obtaining two or three appraisals to compare prices, prior to any sale.

The true price of gold may not be what you receive. If gold is worth $1,700 per ounce, you aren’t going to be paid $1,700 for every ounce of gold you have.

Ask what you will be paid (if an online company, make sure you ask for specifics and give details on items you’ll be sending). Understand that the ounce quote is for pure gold only. For instance, 14-karat gold is composed of just 58.5 per cent gold.

Ask how much the company’s going rate is for each ounce of each karat you are sending. The lower the karat, the less the gold.

Don’t let jewellery of different karat value be weighed together. Some dealers will weigh all jewellery together and pay you for the lowest karat value. Separate your jewellery by karat value before attending a gold party.

Don’t let anyone steal your diamonds from gold pieces. Single gold stud earrings might be worth $5 or $10, yet diamonds in the earrings can be saved. Some are too small, and the labor to remove them might exceed their value, but engagement ring diamonds, for example, should be given a value separate from the gold.

Know the terms and conditions when sending items by post. Make sure your items are insured when being shipped, so if they are lost you can recover the value.

Obtain appraisals prior to mailing items, so if they are lost you have proof of their value.

Check the company’s policy as to what they will reimburse if they lose your product. Many limit their liability.

Make a list of the items included in the package, keep a copy for yourself, and put a copy in the envelope.

Take a picture of the items you are sending, including any identifying marks.

Ask about the company’s guarantee if you are not satisfied with the price offered. Can you get your product back if you return the cheque? Many companies melt down the items in 10-14 days. If you send the cheque back send it “return receipt requested,” so you have proof when it arrived at the company.

Submitted by the Better Business Bureau of Vancouver Island.

Tel: (250) 386-6348  • Toll Free (877) 826-4222 • Fax: (250) 386-2367

 

 

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Ron Sivorot, business director at Kennametal’s Langford site, the Greater Victoria facility that made a component being used on NASA’s Perseverance rover on Mars. (Jake Romphf, Black Press Media)
NASA’s Perseverance Mars rover using piece made at Kennametal’s Langford site

The Greater Victoria plant’s tooth blank is helping the rover’s drill collect rock cores

June Saxe, 2, enjoys the sunny shoreline at Whiffin Spit with her dad on March 5. The family had come out from Victoria for a day in the sunshine. (Nina Grossman/News Staff)
PHOTOS: Warm weather brings Sooke’s Whiffin Spit to life

Visitors, locals enjoy warm weather at coastal viewpoint

Funding requests for the 2021 budget year, submitted by the Administration and Finance Committee, was approved by Langford council at the Feb. 16 meeting. (Black Press Media file photo)
Food awareness, seniors among Langford’s approved 2021 funding requests

New and returning community organizations to receive financial boost

Underground utility installations are underway on Latoria Boulevard at Latoria Road near Royal Bay Secondary and on Metchosin Road south of Latoria Boulevard. (City of Colwood image)
Road work hinders Colwood drivers in Royal Bay

Underground utility installation could run most of March

A rockfall closed Finlayson Arm Road and West Shore Parkway on Friday (March 5) afternoon. (Twitter/BC Transportation)
UPDATED: Malahat reopens following rockfall

Section of Trans-Canada Highway was scheduled for intermittent closures today for rock scaling work

Provincial health officer Dr. Bonnie Henry updates B.C. on the COVID-19 situation. (B.C. government)
Dr. Bonnie Henry predicts a ‘post-pandemic world’ for B.C. this summer

‘Extending this second dose provides very high real-world protection to more people, sooner’

Malawian police guard AstraZeneca COVID-19 vaccines after the shipment arrived in Lilongwe, Malawi, Friday March 5, 2021. Canada is expecting its first shipments of AstraZeneca vaccine next week. (Associated Press/Thoko Chikondi)
B.C.’s daily COVID-19 cases climb to 634 Friday, four more deaths

Currently 255 people in hospital, 66 in intensive care

A crashed helicopter is seen near Mt. Gardner on Bowen Island on Friday March 5, 2021. Two people were taken to hospital in serious but stable condition after the crash. (Irene Paulus/contributed)
2 people in serious condition after helicopter goes down on Bowen Island

Unclear how many passengers aboard and unclear where the helicopter was going

Surrey Pretrial in Newton. (Photo: Tom Zytaruk)
B.C. transgender inmate to get human rights hearing after being held in mostly male jail

B.C. Human Rights Tribunal member Amber Prince on March 3 dismissed the pretrial’s application to have Makayla Sandve’s complaint dismissed

Supporters rally outside court as Pastor James Coates of GraceLife Church is in court to appeal bail conditions, after he was arrested for holding day services in violation of COVID-19 rules, in Edmonton, Alta., on Thursday March 4, 2021. THE CANADIAN PRESS/Jason Franson
‘Law remains valid:’ Pastor accused of violating health orders to remain in jail

The Justice Centre for Constitutional Freedoms is representing the pastor

The Netflix logo on an iPhone. B.C. delayed imposing sales tax on digital services and sweetened carbonated beverages as part of its response to COVID-19. Those taxes take effect April 1, 2021. THE CANADIAN PRESS/AP, Matt Rourke
B.C. applies 7% sales tax on streaming, vaping, sweet drinks April 1

Measures from 2020 budget were delayed due to COVID-19

A lawyer wears a face mask and gloves to curb the spread of COVID-19 while waiting to enter B.C. Supreme Court, in Vancouver, B.C., Friday, Aug. 28, 2020. British Columbia’s highest court has sided with the land owner in a dispute over public access to public land. THE CANADIAN PRESS/Darryl Dyck
B.C. high court finds in favour of large landowner in fight over access to pair of lakes

The Nicola Valley Fish and Game Club launched legal action after the cattle company blocked road and trail access

Prime Minister Justin Trudeau holds a press conference in Ottawa Friday, March 5, 2021. THE CANADIAN PRESS/Sean Kilpatrick
Trudeau holds firm on premiers’ health-care funding demands, COVID-19 aid comes first

Premiers argue that the current amount doesn’t keep pace with yearly cost increases of about five per cent

Free Reformed Church is seen as people attend service, in Chilliwack, B.C., on Sunday, Feb. 21, 2021. Lawyers for the British Columbia government and the Justice Centre for Constitutional Freedoms are back in B.C. Supreme Court today, squaring off over the legality of COVID-19 rules that prohibit in-person religious services. THE CANADIAN PRESS/Darryl Dyck
B.C. top doctor has power to restrict access to a place during health hazard: lawyer

Under B.C.’s Public Health Act, Jacqueline Hughes says, Henry can restrict or prevent entry to a place

Most Read