Scrap Gold Prices Are at All Time High
It seems like every time we sit down to watch the television, there’s an advert from some bullion dealer or other offering instant cash for scrap gold and it didn’t take long for her to suss out that the man sitting at a trestle table in the shopping mall was buying, not selling. The ultra sensitive electronic set of scales he had with him was a dead giveaway as far as I was concerned.
However, with scrap gold prices at an all-time high (at the time of writing) I suspect she’ll be having her way. How the cash is split remains to be seen…
The process does trouble me, though. No one, least of all me, has a problem with traders making a profit from their labours. They are not charities and, like all of us, they have mortgages and children to feed. But when it comes down to it, you are at the mercy of the dealer when offered a price for the scrap gold you’re selling.
Keep your wits about you and you’ll be fine, although the process is not as straightforward as the dealers would have you believe.
For example, the purity of gold is measured by carats. It ranges from nine carat to 22 carat and the price difference between the two is more than double. The former is currently worth £6.60 for a gram, while the latter is worth £16.15 a gram. Remember grams? As a reminder there are 28.3495231 of them in an ounce.
And what if your gold is unmarked? Of course, there are tests, but is it platinum, scrap value £19.32 per gram, or white gold?
But there’s something else that troubles me. Bits of scrap gold in a paper bag is one thing, but what about antique gold jewellery? Their owners may regard it as being old and out of fashion but it could actually far more valuable than if it were melted down.
The thought occurred as I read an article in a car magazine in which the writer expressed concerns about the government’s scrappage scheme. This offers an owner £2,000 for an old runabout to offset against the cost of a new set of wheels but the deal requires that said runabout must be sent to the crusher.
Whether it’s good or bad for motor industry is open to debate but one thing is for sure: grandmas, grandads and aged uncles and aunts across the country will no doubt have been tempted to trade in their Morris Minors, Ford Cortinas and Austin Minis for a fraction of what they’re worth in the classic car market.
How many gave in to temptation will never be known, but the article listed a number of gems which have been scrapped and gone forever. They included a 1960s Singer Vogue whose owner swapped it for £2,000 towards a Kia Picanto; a genuine and now rare 1971 Morris Minor pickup; a 1996 Austin 1100, a Jaguar XJ-S and a Mercedes F500.
My hope is that these few paragraphs will make readers think twice before sending their 1930s cocktail necklace or grandfather’s Albert watch chain to the melting pot for financial rewards far lower than their true value.
