Looking to sell gold online? You know the drill. You get the gold pack or jewelry kit, or whatever it’s called in the mail with instructions on mailing out your precious metals, old jewelry, or scrap gold to a company you’ve never talked to before. It’s not always the most calming time – shipping off hundreds or thousands of dollars worth of gold and putting it in the hands of Canada Post and an Internet-based business. That said, there are many great online gold brokers and cash for gold companies that can pay a lot more than local guys. Here are a few things to consider, keep in mind, or whatever you want to do with them before selling your gold online.
You will likely get more money online
Chances are, an online cash for gold company is going to be able to pay you higher payouts on your gold than local brokers. With the exception of a Toronto cash for gold broker, or companies in the other major cities in the Country such as Vancouver, Ottawa, or Montreal, where the competition is so fierce that you might get brokers will to take smaller margins in order to win your business, you will likely see bigger payouts when you sell gold online.
The reason for this is because they have less overhead. The don’t have to employ people to negotiate with you for starters, and they don’t have the high cost of a store front either. Sure, they have to have some sort of processing facilities, but so do the local guys (unless of course they simply resell the jewelry or gold, in which case you can expect much less from them).
Your mail probably isn’t insured
There have been many reports of gold kits or similar things being “lost” in the mail from time to time. Whether it’s the result of a shady company that didn’t want to pay out, or someone at the post office who recognized the packaging and needed an extra couple bucks, although this isn’t a common occurrence, it has been known to happen from time to time. Your shipment is only insured for up to $100 in value – much less than what your gold is potentially worth.
Know what the company buys before you ship it
Don’t ship silver if the company doesn’t pay for it. Similarly, remove any gem stones from ring, necklaces, or earrings before you send them off – most businesses won’t pay you for these so it is likely worth your time to remove them before sending them off. This can be a huge issue when you sell gold online as they often do not mail back any jewelry once you send it in and accept the offer.
Watch out for returned shipping costs if you don’t accept the offer
If you do not like what they have to offer, 9 out of 10 times you will have to pay to have the jewelry returned. There’s a chance that this is even an inflated shipping and handling cost in order to cover “administrative costs” at the company. Make sure you know how much this is going to cost before ever sending in your gold.
You can’t negotiate with the online dealers
If you sell gold online, you miss out on the negotiation process. This can be a huge disadvantage, if for nothing else because of the fun and excitement that comes with negotiating and bartering with online cash for gold businesses. This is something we don’t see much in our Country and culture – the price on the price tag is what we pay 99% of the time. Being able to go in a meet a local gold buyer and barter back and forth for a while before agreeing on a price is often consider fun for many people (alternatively, it’s also considered quite frightening by others, but to each their own I suppose).
If you follow the above steps, along with checking out their reviews both online and locally (online reviews can easily be faked) and making sure they have a good standing with the better business bureau, you shouldn’t have any problems using an online cash for gold business.