Tips for Selling Gold Coins

May 7th 2016

With the unsteady economy today, the price of gold is at an all-time high. With that high price comes a new trend in selling gold – jewelry, luxury goods, coins and so on – for cash. Companies all over are buying gold from people who want to sell it, and there are a whole host of places that will give you money in exchange for your precious metal – jewelers, dealers and more.

If you have a stock of gold coins and are interested in selling them for money, then check out this list of five helpful tips to make sure that you’re getting a fair deal.

1.  Do Your Research

Before you go off to sell your gold coins, you want to be sure you really know their value so you don’t get ripped off. The price of gold changes daily, so do some investigating before you decide to sell. Approach the seller armed with a good amount of knowledge about what you’re selling, and you’ll be less likely to get a bad deal.

2. Know Your Gold-Coin Dealer

If you are selling gold coins to bullion dealers, make sure you know who they are. Do a little research into their background – make sure that they have a good reputation and that they are experienced in buying and selling. There is a strict code of ethics when it comes to dealing in gold coins, and you’ll want to be sure you’re working with someone who always adheres to it.

3. Learn about Fees and Commissions

When you’re selling your gold coins to a bullion dealer, it is common practice to charge you a fee or commission. The Professional Numatists Guild says that the average retail commission for common gold coins is around 5 percent, so factor this into the amount you are planning to make when you sell your coins.

4. Learn the Lingo

If you’ve decided to sell your gold to a dealer, you should go in not only knowing the value of the gold, but also sound like you know what you’re talking about. It is easy to be taken advantage of when you’re perceived as an amateur. Do your research about gold coins; there are plenty of resources online. Some important key terms to know are “melt value" – the basic bullion value of a gold coin once it’s melted and sold, “spread” – the difference in what a dealer will pay you for a gold coin and what he will sell it for, and “Troy ounce” – the measurement equivalent to 480 grains and used to price gold coins.

5. Know Your Own Gold Coins

Before you sell your gold coins, make sure you know what they are and where they came from. In the rare case that you have something extremely valuable in your hands, you will want to know before you sell it to a dealer who could turn around and make hundreds or thousands more than you sold it to him for. Doing your research might take some time, but it will definitely pay off in the log run when selling gold.

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