How to Profit from Scrap Gold
Scrap gold is gold in just about any form, enclosed within many products. Even gold coins can be loosely defined as scrap gold. When you hear the term scrap gold, you usually think of the gold contained within many technology products like motherboards in computers, cell phones or broken necklaces and bracelets. The metal content in any items vary. 24kt is pure gold, no alloy is mixed in with this gold. However, pure gold is soft and is usually mixed with an alloy for strength. Your job is to determine what karat of it that you own, and then do a little math work.
31.1 grams of gold equals 1 troy ounce, which at the present time is surpassing $1,000 per ounce. Using this information, you will have to weigh your jewelry and then subtract the alloy weight. This will give you a rough estimate of the value of gold you have. Naturally, when you go to sell it, there is a commission involved and you will receive somewhat less. Gold coins might have a numismatic value, due to rarity, that will add dollars to the value of the gold content. However, you will get a pretty good estimate of how much your scrap gold is worth, which is necessary when selling or buying.
It makes no sense to keep old jewelry that is not being used, when you can convert it into cash, especially in these tough economic times. Nowadays, almost everyone can use a little extra cash. Gold is in demand and rising ever higher, because it is a hedge against the declining value of the dollar. Gold will never lose its value. Perhaps, you can host a jewelry party, and invite a reputable dealer to come and buy the gold. With a lot of jewelry gathered together a gold dealer will be more than happy to come over with a scale, and distribute much needed cash. On the other hand you might want to put your scrap gold in a safe place. It might buy you a loaf of bread, some milk for your children or a tank of gas, should hard times hit. A few links of a gold bracelet could be the difference between eating and going hungry.