Greetings! Investing in gold is much safer than in any other asset, since regardless of the exchange rate, it is valued all over the world. It is used in the jewelry, electrical and space industries, in the form of assets. The stability of the national currency depends on the gold reserves.
People use the precious metal as a store of capital and an investment that sooner or later has to be cashed out. I will tell you where to donate gold and how to get a decent payment in this article.
Gold for change: the new law will introduce strict rules for pawnshops
Author: Vladislav Kulikov
The Government Commission on Legislative Activities has prepared an initiative obliging pawnshops and purchases to obtain licenses to accept gold and jewelry.
If a person was somehow offended at a pawnshop, then you can complain to the Central Bank. Photo: Vladimir Velengurin/ “Komsomolskaya Pravda”
As Vladimir Gruzdev, a member of the government commission on legislative activities, chairman of the Russian Lawyers Association, told RG, the government is now considering the issue of creating an agency that will oversee the circulation of precious metals and precious stones. It is this service, if created, that will also issue licenses.
According to the forecasts of experts with whom RG spoke, if the law is adopted, the number of places where family jewelry can be donated will be significantly reduced. There will no longer be purchases and pawnshops working with gold within walking distance. But there is no doubt about the reliability of the remaining ones.
Last year, the number of different auction houses accepting jewelry has increased dramatically.
“According to the Ministry of Finance, over the year the number of legal entities and individual entrepreneurs engaged in such activities increased by more than a thousand and last year amounted to 5,635 individuals,” says Vladimir Gruzdev. – A significant part of non-ferrous metal scrap is accumulated in purchases, pawn shops, and commissions.
At the same time, the requirements for environmental safety and ensuring the safety of citizens are violated, since chemically hazardous substances are used in the processing of these products.”
In addition, smuggled goods are often legalized through purchases. Some stores offer a jewelry exchange service. Like, if you are tired of your earrings, return them and get new ones. Ideally, there should be a fair exchange, but life is far from ideal.
Over the year, the number of companies and individual entrepreneurs involved in buying gold has grown by more than a thousand
As experts note, jewelry is included in the list of goods that cannot be returned.
Often, a dubious office accepts or issues jewelry for which it is impossible to establish the authenticity of the hallmark and, therefore, the real value. This means that someone is being deceived. Either the one who rents or the one who buys.
Therefore, as Vladimir Gruzdev explains, the bill proposes to include the processing of scrap and non-ferrous metal waste, the purchase of jewelry from individuals, as well as scrap items made of precious metals and precious stones, as licensed activities. And the business of buying gold and diamonds will be brought under control.
“In fact, pawnshops accept not only jewelry,” says lawyer Vyacheslav Golenev. – So after the adoption of the law, a sharp reduction in pawn shops may not happen. But many of them will no longer be able to accept gold without obtaining a license. At the same time, the initiative provides for a fairly lenient period: after the adoption of the law (I emphasize: if the law is adopted), entrepreneurs will have one and a half years to obtain a license; only after this time, pawnshops that have not received a license to buy gold will either be closed or stop accepting jewelry.” .
The lawyer reminds that the activities of pawnshops are regulated by the Civil Code and the law on pawnshops.
“Strictly speaking, a pawnshop is not a purchase,” says Vyacheslav Golenev. – He issues loans secured by valuables, not just jewelry. There are pawnshops that accept fur coats, cars, even apartments, and much more. There are pawn shops that specialize in antiques. But the most popular goods for pawnshops are probably still gold and jewelry. And many people take an item to a pawnshop not at all in order to buy it back later. Therefore, it is not surprising that the developers of the initiative put pawnshops on a par with purchases.”
By law, pawnshops have the right to operate from 8 a.m. to 8 p.m.; formally, they do not buy things, but issue loans secured by valuables.
By the way, the Internet today is full of advertisements about buying up gold or gold trade-in (hand over your old jewelry, pay a little extra and buy a new one). Opening such a business is quite easy: register a legal entity or become an individual entrepreneur, rent an office, create a website and wait for clients. This is, to put it simply. If you want to open a pawnshop, then after receiving registration documents from the tax office, you will need to open a personal account for a financial market participant on the Central Bank website.
Then, within 30 days, jewelry pawnshops are required to register with the Assay Office in their region. In the future, those who want to stay in business will have to obtain licenses and answer to inspectors from a special agency. In addition, the State Duma is currently discussing a bill that would strengthen control over pawn shops by the Central Bank.
By law, a pawnshop has the right to accept property as collateral every day from 8 a.m. to 8 p.m. local time.
Important legal clarification: the pawnshop does not fine the client for non-repayment of the loan. This is not a bank. If a person does not repay the debt, the pawnshop has the right to sell the pledged item. But he has the right to do this no earlier than a month after the delay. “There are no penalties or fines for this month,” experts explain. Judging by the reviews on the website of one of the capital’s pawnshops, many clients really don’t even think about the fact that they are formally borrowing money.
“For a long time I was looking for where to sell a gold chain. This Pawnshop offered the highest price. Everything quickly and clearly. Thank you!”, wrote Mikhail from Moscow. “My grandmother left behind several paintings and a gold watch. My husband and I visited 5 or 6 pawn shops in the center. Here they offered 30 percent more than in the others. We agreed and received the money immediately,” Anna wrote.
FAQ
Let's look at the questions that usually concern owners who want to donate jewelry. I will try to answer them as completely as possible.
How to protect yourself from scammers when selling gold
To avoid falling into the hands of scammers, you must use the services of only trusted workshops, pawnshops and stores. To obtain a jewelry license, these organizations are officially registered and operate under a certain code from the OKVED classifier.
Any deviation from the activities specified in the documentation will deprive the establishment of its license, and the owners will face legal proceedings.
Buying dental gold - who benefits from it?
Not all organizations agree to buy dental gold. Most often it is accepted as scrap, very cheaply, because the crowns are unsuitable for further use and do not have any artistic value. MosGosSkupka offers a favorable price for dental gold in Moscow.
Why are crowns made from 850 gold?
In those days when it was popular to wear gold teeth, it emphasized a person’s status. However, it was not possible to use pure metal due to its plasticity, so impurities were added for strength: silver, which also has antibacterial properties, and copper.
That is, the product contained a large amount of precious metal and at the same time was strong enough to withstand certain loads when worn.
Rules for buying teeth: why you shouldn’t take them to a pawnshop
In the presence of the owner, a specialist checks the dental gold for the amount of impurities and establishes the sample of the item using special reagents. If the client has not changed his mind, then after completing the check, the buyer fills out a form indicating the following information:
- date,
- weight,
- sample
- payment amount.
The owner is given money, the transaction is completed.
Pawnshops benefit precisely from the interest that the client pays for the returned item, and if he does not return for the item, then it is sold. Crowns cannot be reused, and the only solution is to sell them as scrap, that is, at a very low price. That’s why pawn shops buy dental gold cheaply.
Purchase price of gold crowns per 1 gram
The cost depends on where the items will be delivered. 850 standard in St. Petersburg is estimated at 19,002,200 rubles.
Pros and cons of buying gold at a pawnshop
There are categories of people, according to whom, the activities of pawnshops cannot be called legal, and their owners and employees seek to deceive gullible customers. Or they believe that only stolen things are handed over to pawnshops, although practice shows that this is fundamentally wrong, because often such things are inherited or simply become boring. And what kind of criminal would want to show his passport, which is required when handing over any item as collateral. Such stereotypes have nothing to do with modern thrift stores. Legal offices operate strictly within the law, but it remains unclear whether it is possible to purchase gold from a pawnshop.
Is shopping safe?
To provide their services, a pawnshop must acquire a license, which implies that the state strictly controls their activities. Moreover, there is competition in this area, because it is profitable. Accordingly, in pursuit of clients, offices value their reputation and try to replenish their piggy bank with enthusiastic reviews from satisfied clients.
A catalog of things that reflects what can be bought at a pawnshop is formed legally: people who urgently need cash hand over the valuables they own, including gold items with or without precious stones. All this is formalized in a loan agreement.
The client is given time to repay the debt with payment of a certain pre-agreed amount in excess of the time frame established by the contract and thereby regain the item. If the person does not take the property through redemption, the pawnshop becomes the full owner of the goods and disposes of them at its own discretion - puts them up for auction. Items go under the hammer to compensate for losses and, if possible, earn extra money.
When deciding to purchase from a pawnshop, you should not doubt its authenticity and serviceability. When a value in a thrift store is accepted, the employee checks it carefully. As for gold jewelry, the standard, weight, and quality are determined using special tools. equipment. It will not be possible to sell a counterfeit under the guise of a precious metal, which means that the resale of counterfeits is excluded. When purchasing, the client should not worry about this.
The desire to sell the goods as quickly as possible makes it possible to buy a golden trinket at a very attractive price. Pawnshops achieve this through minimal markups, and impressive profits come from high turnover.
Is it possible to carry gold from a pawn shop?
From a financial point of view, purchasing jewelry made of precious metal is reasonable and profitable. This is especially noticeable if the item is rare (for example, made to order) or from a set (when not the whole thing is given away, but only individual elements), and this can be a good gift. But in this situation, it remains unclear whether it is possible to wear someone else’s gold from a pawnshop. There is an opinion that jewelry accumulates the energy of previous owners. At the same time, such views on the purchase of gold rings, bracelets, crosses and other trinkets are just guesses based on esotericism, mysticism, signs and superstitions. They are characteristic of very impressionable people.
In fact, things made of gold do not have any different properties than those sold new on the Internet or in a store. Their condition will also be close to ideal, because appraisers do not risk accepting goods with a damaged appearance.
For the suspicious, there are folk tips on how to cleanse the energy field of jewelry. For example, the product is placed in a glass of water and left in the freezer for 24 hours. It is recommended to take water from a well or spring. When the time is up, the container is removed and as soon as the water has melted, the jewelry can be safely put on.
Also, as an option, you can melt purchased “scrap” into a new decoration, because superstitions say nothing about the memory of metal. You can also go to church with your purchase and ask for help from a priest or priest.
It is stupid in the 21st century to think about gold jewelry from a pawn shop in this way, because other things that were used do not bother anyone. But if superstitions are still stronger, then deciding whether you can buy a cross at a pawnshop or another item is a personal matter for everyone.
Advantages and disadvantages of buying from a pawn shop
We figured out whether it is profitable to buy gold at a pawnshop. But it is worth understanding that the maximum from such an investment can only be obtained if you correctly decide on the object. Coins from such a noble metal or bars are not sold to everyone who is thirsty. Moreover, such operations require large capital investments and troublesome registration.
The transaction with jewelry in this payment is simpler and more optimal. Especially when compared with a similar operation on the primary market, the subsequent resale of even a perfectly preserved product significantly reduces its value. At a pawnshop you can buy similar gold at a price 30-50% lower.
The price of commissions is determined based on the exchange rate of the precious metal. And it turns out that here, like with any other asset, you can track quotes, study forecasts in order to invest correctly. It is worth buying when quotes are declining, and when the rate reverses, you can sell them again, but at a higher price.
Implementation methods
Selling precious metals is associated with a high risk, as there is always the possibility of meeting a scammer. Therefore, before finding out where they accept gold and how much money they give for it, you need to decide on its form. If the metal is represented by an ingot, then it is most advisable to sell it to the bank. Many financial organizations are engaged in purchasing, but they are demanding in terms of the appearance of the product. The ingot should not be:
- cut;
- broken;
- have scratches or dents.
Defects significantly reduce the value of gold. A manufacturer's certificate is required. In case of serious damage to the ingot, it is better to take it to a pawnshop, but there it will be assessed as scrap precious metals, that is, at a low rate.
It is profitable to invest in coins made of precious metals. It is better to sell them to banks, too, but the products must be in good shape and have a passport from the manufacturer. An advantage would be a whole, unopened package, as this will guarantee the absence of scratches on the surface.
Bank gold can be taken to a pawnshop, but in this case it will be valued only by weight. And you won’t be able to sell the precious metal at a high price. If the coin has a high collectible value, it is better to offer it to numismatists. If there is time, auctions are held on special sites - this allows you to increase the price of the product being sold. It is better to sell expensive gold coins after being assessed by an expert , as he will tell you their real value. Some owners are deceived by experienced collectors and insist on a cheap sale.
What samples can be found in a pawn shop?
There is and is used in the Russian Federation a metric system, which provides the following gold standards: 375, 500, 585, 750, 958. They show how many impurities are in relation to pure metal in the product. Accordingly, they are also found in pawn shops. In addition, such establishments accept both antique products and those that are stamped using the spool system, in carats, or have no hallmark at all.
The current legislation of Russia has established the mandatory testing and hallmarking of all jewelry in the country. Those. pawnshops purchasing products without a mark or with a non-compliant metric system are required to submit them to the Assay Office for inspection and hallmarking.
This way it becomes clear whether gold can be bought at a pawnshop. This has advantages on all sides: safe, simple, financially acceptable. But as for whether it is worth buying gold at a pawnshop, there is no clear consensus. Where and how to invest, a person decides independently, based on his preferences, beliefs, views, material wealth, etc.
You can learn about gold valuation from the video:
Attention! Due to recent changes in legislation, the legal information in this article may be out of date!
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How does gold end up in a pawnshop?
The jeweler told how jewelry made from this noble metal ends up in a pawnshop. This happens when people want to get a loan against their property .
As a rule, after some time the owners buy the products back. But there are situations when jewelry remains unclaimed. In this case, gold jewelry is put up for auction or simply for sale in a display case .
Public auctions usually sell exclusive jewelry with unusual designs or antique items.
REFERENCE! Simple gold jewelry that has no special value and does not have a unique design is sold on display, just like in a regular jewelry store.
Some tips
Before going to a pawnshop, you need to carefully study all offers. Not only prices for the metal differ (on average 1,600 rubles per 1 g of 585 gold), but also interest rates. Acceptance conditions depend on whether the product is permanently handed over or returned.
Not all valuables can be sold. Legal pawnshops will not be associated with items prohibited for sale. Acceptance of goods occurs only with a passport. If gold is pledged, it is important to study all the terms of the contract, since the interest rate changes under different circumstances. If you have time, you can try to sell the jewelry yourself. Potential buyers are found on special sites on the Internet. But due to the high level of fraudsters, few people agree to buy gold in private.
If the jewelry is old, then antique stores accept it for sale. But they do not guarantee a quick sale, so you will have to be patient. If you purchase a product, you need to pay a commission to the seller, usually 5-10% of the final amount.
What is attractive about buying gold at a pawnshop?
Some people prefer to purchase jewelry for themselves and their family from pawn shops .
REFERENCE! The price of gold products in these commercial organizations is much lower than in a store. Sometimes discounts reach 50–70% of the market value.
This is explained quite simply. The price of a product at a pawnshop includes the following indicators:
- weight of decoration;
- gold content;
- inserts made of precious metals.
In a regular store, when setting prices, they take the same things into account and add a markup for the brand, store services and other fees . Therefore, the price in a pawnshop is much lower than in a well-designed store.
This does not mean that you can always buy cheap gold at a pawn shop. It all depends on the quality of the product and its value.
IMPORTANT! Before sale, the jewelry must be assessed by an expert.
Cost of melting gold
The cost of gold remelting ranges from 500-1000 rubles and takes 30-50 days. The price will be influenced by several factors:
- complexity of decoration,
- the amount of impurities in the metal (if the sample is low, then the alloy is first cleaned),
- final weight.
To read: How to effectively clean gold to a shine at home
You can increase the mass of the finished product by adding gold in the workshop. Such a service will cost between 10,002,000 rubles, depending on the region.
Why you shouldn't buy gold jewelry at a pawnshop
And yet, despite the favorable price, many women have formed a prejudice towards gold items from a pawnshop. Here we need advice from a person for whom magic and esotericism are not an empty phrase. I also found out their opinion.
It's all about the “special” properties of the metal.
IMPORTANT! Gold, according to popular belief, has the unique property of accumulating human energy. It not only preserves what has been accumulated, but also transfers this energy to the next owner.
This is why many are afraid to purchase used jewelry for their own use . After all, it’s rare for anyone to agree to voluntarily take on someone else’s negativity and pay money for it. It is better to buy a valuable thing, the life of which begins “from scratch.”
Important! It should be understood that before purchasing the jewelry, the jewelry could have been worn by a person with a difficult life or suffering from illness. According to popular belief, this can easily be passed on to the new owner of the item.
What to do with gold jewelry bought at a pawnshop
Well, what if you saw a rare thing that you couldn’t refuse to buy? Don't be upset! Instead, you need to free the metal from negativity.
Folk practice knows and effectively applies methods that help cleanse the metal of any accumulated energy of the previous owner . They are quite simple and will not require much effort from the new owner of the jewelry model.
- It is recommended to place the purchased product in a container with spring or spring water . And then put it in the freezer overnight . It is believed that the next morning after defrosting the ring will be absolutely “clean”.
- You can take the ring to church and “clean” it with prayers.
- A bag of salt is also used to clean metal
. The ring or bracelet is placed in a dark cloth bag with salt and left for 3 days. At the end of the ritual, the ring will be absolutely “clean” energetically.
A radical option is to remelt the product. This is an effective way to get rid of negative energy. After purchasing the gold, it is immediately sent to the jeweler for alteration and soon you receive a unique and beautiful product.
How can I sell gold profitably and what is its price per gram?
In recent years, the price of gold has been rising. Therefore, investing in precious metals is the most profitable solution. You can sell gold for an average of 2,400 rubles – this is the price per gram. Although a lot depends on the product itself and international quotations for precious metals. Scrap gold includes jewelry that has become unusable, and which is much more expensive to repair than buying new jewelry or jewelry that is no longer needed or has lost its pair. Scrap gold also includes gold coins, dental crowns, and bars without documents.
Is it profitable to sell gold now?
Before selling jewelry, it is worth studying the market dynamics and choosing the right moment. This is especially true for bullion, OMC and coins, since their value changes every second along with the world gold rate.
You will have to analyze the market to get the maximum benefit. The cost of jewelry made from precious metals also depends on quotes, but to a lesser extent.
How much does gold cost and what does the price of the precious metal depend on?
The price of gold is constantly changing and depends on the following factors:
- volume of precious metal supplies to the world market,
- dollar exchange rate,
- investor interest,
- activity of state banks of developed countries,
- London Metal Exchange valuation.
In Russia, the cost of aurum is set by the Central Bank every working day after 10:00. Other banks are equal to it, only they add their own interest rates to the cost, which makes it more profitable to buy and sell it.
Gold rate set by the Central Bank for 1 gram:
Price 999 standard according to the Central Bank | Market value of the sample today | Scrap price | Price in jewelry |
Overview of selling options
Before selling jewelry, it is advisable to save it up. The greater the weight of the products being handed over, the higher the price per gram of product you can be offered.
Where can you find such a place? Where should you go to donate gold?
If you urgently need a small amount of money, you can take scrap gold and gold to a pawnshop. To do this, you must be an adult and have a passport with you. Gold jewelry should have a hallmark; if the precious metals are new, it is advisable that they have a price tag. As already mentioned, you can hand over gold at a pawnshop, where employees will tell you the value of the gold and determine the price of scrap.
Usually this cost is underestimated compared to the actual price of the product. If the gold is not bought back by the client on time, it is sold to other citizens or jewelry factories. If redeemed, the pawnshop must pay a certain percentage for each day the gold is stored. So where can you sell gold at better prices?
Purchase
You can sell gold and its scrap for purchase. Acceptance of products is carried out only from persons who have reached the age of 18 years. The buyer must have the appropriate documentation. Unlike a pawn shop, when buying, jewelry cannot be bought back. Scrap gold and gold of any standard are accepted, even if there are no hallmark impressions. Nuggets and alloys are not accepted for purchase. If a piece of jewelry has a precious stone, then it is better not to hand over this stone, since the price of the stone is not taken into account when buying. Payment to the client is made according to the price list, based on the weight of the product.
If you want to sell your gold for scrap, buyers will tell you what its price is at a given time.
Collectors
Selling antique jewelry in the form of scrap gold is very unprofitable. These products are of historical value, but collectors can get good money for the same jewelry.
However, modern jewelry has dimmed its status as a rarity and is no longer of interest to collectors. But jewelry made in the Soviet Union, on the contrary, is very popular, since they were created according to GOST standards, they contain gold of a higher standard, and there is also a very low probability of encountering a fake. Selling gold to collectors will not be difficult, because there is the Internet where you can contact the buyer and agree on how much it will cost to sell the gold.
Internet auctions
They have their own selling rules. There is a high chance that you could be scammed.
Thrift stores selling gold
You can take gold and its scrap to thrift stores that sell gold. However, in these stores you will not receive money for the yellow metal immediately, as happens in pawn shops, but only after it is sold. The period during which the gold will be sold is unknown. It can range from several days to several months. Or it may turn out that the precious metal will not be sold at all. You will also have to pay the store for their services in selling gold items.
Banks
It is profitable to hand over gold to a bank, since the prices they offer when buying jewelry are higher than those offered by pawn shops. But they only accept bullion and investment coins with certificates.
Scrap gold exchange
Both pawnshops and jewelry stores provide services for exchanging scrap gold and jewelry for new ones. But it is still advisable to exchange scrap yellow metal in the showrooms of jewelry factories. There you will not be weighed down or deceived with the sample of the precious metal. The surrendered metal is valued at the price of scrap, and the cost of new jewelry includes the market price of gold and the work of the jeweler. Your old jewelry will be exchanged for a new and modern one of the same sample and weight. If the new piece of jewelry weighs more than the old piece, you will have to pay the difference. If, on the contrary, the difference can go towards the work of the master.
When accepting new jewelry, you must follow some rules. It is necessary to pay attention to the quality of the material. If the product contains precious or semi-precious stones, then those that were processed by hand are of particular value. The design of the decoration also plays a special role, and most importantly, its historical value. The older the jewelry, the more money you can get when you trade it in.
However, you should not exchange jewelry at the first place you come across. In a pawnshop, on the contrary, they can offer you a much better deal. There is a place where you can donate gold and get a significant gain in such an indicator as the price.
Where to sell gold is more expensive and profitable
It all depends on the time frame within which the jewelry needs to be sold, the ultimate goals of the owner, and the region. In order to sell metal at a high price, you should take the choice of organization seriously, since certain types of jewelry are valued individually in different establishments.
In bullion
Lyudmila PesterevaOur most experienced investor in goldAsk a questionThe correct decision would be to sell the products to the bank where it was purchased. The weighing procedure takes place with the buyer, who can control the accuracy of determining the mass of the product (the discrepancy should not exceed 0.01 g).
Before selling, you should familiarize yourself with the rules established in the selected institution regarding the condition of the product.
In the form of jewelry
Earrings without a pair, deformed chains, broken rings and other unnecessary gold items can be taken to a pawnshop, jeweler or melted down.
Items of artistic and collectible value can be sold through auctions or sold to a private person.
Gold watch
Gold watches are expensive, they can be divided into several groups:
- Copyright. They have a unique design and are best sold to collectors.
- Pocket. If small mechanisms do not have historical value, then you can take them to a pawnshop, put them up at auction, or use the services of consignment stores.
- Wrist. The most common. Sell it to a pawn shop, consignment store or put it up for auction.
- Rewards. They are produced in limited editions, so it is more profitable to sell to collectors.
In the form of scrap
Vsevolod Kozlovsky6 years in the jewelry business. Knows everything about samples and can identify a fake in 12 seconds. Almost any precious item can be turned in as scrap. Jewelers accept deformed jewelry, scratched, unmarked, even small fragments - gold is suitable for scrap in any condition.
There are several structures on the scrap buying market that accept precious items from the population on attractive terms:
- jewelry factories and factories,
- pawnshop,
- purchase points.
Golden coins
Gold coins, like wine, must be aged for years to return at a profit. Banks purchase items at a cost three times less than they sell, and collectors only charge high prices for items that have value.
You can use the services of an auction, but there is a risk of receiving a smaller amount than the owner expects.
Dental gold, crowns
You can donate your gold teeth to a pawnshop that specializes in purchasing such items. Prices are market prices and depend on the exchange rate for the 850 standard precious metal.
To read: 18 carat gold, what hallmark is it and how much does 1 gram cost today?
Before returning your gold items, you need to make inquiries and read reviews. Even in large cities of Russia, for example in St. Petersburg, prices in different establishments will differ.
In the form of antiques and other items of historical or artistic value
Antique items are items that have historical or artistic value and must be more than 50 years old (items that are 300 years old are considered antique).
To determine the value of such products, it is necessary that the person buying it has sufficient knowledge of the culture, social customs and fashion of the relevant era. It is worth selling such jewelry to collectors.