Investing in gold bullion is always a good idea, but it makes even smarter business sense when the economy is down. During these times, the price of gold tends to shoot up. Selling your gold at these times can earn you a tidy profit, provided that you know the right way to sell. If you have bullion that you are interested in selling or if you’re thinking of buying gold bullion coins, it is important to keep the following tips in mind.
Know Your Gold
First of all, it’s important to understand what gold bullion is. Bullion is generally sold in the form of either bars or coins. Gold jewelry, watches, and other items are not considered bullion. If you have these kinds of coins or bars, it’s important to remember that this is considered investment-grade gold. Its purity may vary—some bullion may be 22 karats, while others might be 24 karats. With this kind of gold, the purity isn’t the most important factor. You need to consider how much gold the coin or bar actually contains. This is what the buying or selling price is based on.
While purity of the gold bullion may not be of paramount importance, there are other matters of purity you need to watch for. For instance, gold that is worn or has been touched a lot will be worth less than untouched gold. If you buy bullion in a protective cover, don’t remove it. Untouched bullion has a higher resale value than gold that has been touched. If your coin or bar has fingerprints on it or visible scratches or markings, this can lower the value as well. Do not clean bullion, even if it looks dirty. This too can lower the value of your gold.
The Right Buyer and Seller
When it comes to buying or selling gold bullion, it can be confusing to know where to go. There seem to be thousands of dealers out there, all claiming to offer top dollar for your bullion. They may also say they have the best rates if you’re looking to buy. To ensure that you get the best price for your gold, opt for a dealer that publishes its prices for precious metals. This proves that they operate in a manner that is trustworthy and reliable. There is no need to go to unsafe pawn shops in order to buy or sell gold. There are reputable businesses out there that are registered with the Better Business Bureau. Working with these kinds of companies ensures that you can buy or sell your gold with complete confidence.