Factors To Consider Before Pawning Your Gold

DATE: Sep, 9   COMMENTS: 0   AUTHOR: Allan Azarola

Many people will come to a point in their lives when they need some extra cash, whether it is to pay the bills, buy new school uniforms, or just to treat you or your family. If you are experiencing debt-related problems, the first point of call for you should be to somewhere like the Australian Competition & Consumer Commission for expert advice. If you are just looking to get some quick cash in your pocket, then the first thing you will need to do is find something of value that you can turn into money. One of the most common items that many people will have that can be sold easily is gold jewellery.

How Much Is Your Gold Jewellery Worth?

Before you look to take your gold jewellery to the pawn shop, you will first need to know what the value of it is. It is important to keep in mind that when you buy an item of jewellery, the price is often much higher than the value of the materials that were used to make it. Often when pawning or selling jewellery, unless it is something of exquisite beauty or exceedingly rare, you are only going to be offered the scrap value of the precious materials. Jewellery stores will often have high markups on the products that they sell, so your precious gold jewellery may not be worth as much as you had hoped it was!

To Sell Or To Pawn?

The next thing that you will need to work out is whether you want to sell your jewellery, or pawn it and come back to collect it at a later date once you pay back the pawn shop. When you take your valuables to a pawn shop, you have the option if you want to take out a loan against your valuables, you can then pay this back plus a slight charge and get your items back if you want them. Often when getting a loan against an item, you will not be offered the full value of the piece and instead offered a percentage of its value.

Finding A Reputable Pawn Shop

Pawn shops are something that has been around for a long time and finding the best pawn shops in Melbourne is made easy when you use the internet. Check out the online reputation of any potential pawn shop and see what their previous customers have to say about them on independent review websites. It is worth your time to speak to a few different stores as you may find that what they offer you can vary quite substantially.

Read The Small Print

It is important that you read the small print before completing a transaction and make sure that you shop around and compare the prices offered. The scrap price of gold, silver, and other precious metals is dictated by the market so most pawnbrokers will offer similar rates. Where they can be quite different compared to each other is the charges and commissions that you have to pay them. Make sure that you read and understand the terms completely before agreeing to a deal, especially if you are pawning items. Before you know it, you can have that much-needed cash in your pocket, just when you needed it most!

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