14k Gold Jewelry Supplies

How Internet Precious Metals Buyers Determine Gold Value

Internet buyers of precious metals, receive numerous inquiries about how they determine the current value of the gold, platinum and silver items received from sellers. Sellers apparently don’t understand how the buyers arrive at the value of the property they send in..

There are two primary factors that the buyers use. The first is what an ounce of gold is worth on the commodities market at any given time and the second is the actual amount of pure gold that any jewelry item contains.

The Current Value of Gold

Gold is a commodity traded worldwide. The price at any given time depends mainly upon supply and demand. When the demand exceeds the available supply, the price rises; when the supply is greater than the demand, it falls. Supply and demand are affected by several other factors including the value of the U.S. dollar; the price of oil, inflation rate, etc. These factors are too complex for discussion here. Currently, gold is valued at all-time record-high prices. And while the actual price varies over any given trading day, this price has remained high for many months now and is predicted to continue rising well into 2011.

Gold Purity

When an Internet precious metals buyer receives a seller’s gold, platinum or silver items, they have to be assayed to determine purity. Most gold jewelry is marked with a symbol such as 24K, 18K, 14K or 10K that indicates just what percentage of the total weight of a setting is gold. The rest is other alloys added to improve the hardness, color and durability of the jewelry. Buyers only pay for the gold content because the other alloys have little if any value. Here’s another point: Precious metals are measured in Troy Ounces which is a bit more (1 Troy Ounce = 1.097 Avoirdupois Ounce) than the familiar ounces we use in everyday life. Therefore, if the current spot market price for gold is $1,400/ounce, it is a Troy ounce. Moreover, while there are 16 ounces in each pound under the Avoirdupois system, a Troy pound contains just 12 ounces.

A Troy ounce can be expressed as smaller quantities known as Pennyweights or DWT. 1 Troy ounce contains 20 DWT. That means, for example, that at $1,400/Ounce, each pennyweight is valued at 1/20th or $70.00.  Therefore, if a seller sends-in a heavy gold chain that contains 20 DWT of 24K gold (99.99% Gold) it would have a total current value of approximately $1,400.00.

One other factor influences the assay process, the actual percentage of pure gold content in a given piece. If a piece of gold jewelry is marked 18K, for example, it contains 75% gold; 14K contains 58.33% gold; 12K has 50% gold and 10K has just 41.67% gold. Therefore, if the gold chain mentioned in the paragraph above was marked 18K instead of 24K, it would be worth 25% less or $1,050.00. As the Karat number goes down, the amount of gold content goes down and the value drops correspondingly.

Internet buyers generally buy gold of any age, type or place of manufacture and also buy platinum and silver, which are valued through the same basic process. Sellers then some percentage of the actual value of their property since the buyer must take some deduction for their company overhead along with a small profit.

Regrettably, there are some buyers who only return 10-25% of the actual assayed value to the seller. That’s one important reason for sellers to check out any company they plan to sell to with the Better Business Bureau and other Internet sites that record customer complaints. I suggest an impartial review site that shows the Better Business Bureau records for the top 10 Internet precious metals buyers.

This site can be found st: http://cashforgoldcomplaints.com/ .

 

About the Author

Barry Briskman is a freelancer provider of SEO website content and copywriting for PR, articles and more. He spent his entire working career as an Account Manager and Copywriter for major U.S. ad/PR agencies. Mr. Briskman holds a BSEE degree and an MBA-Marketing and has more than 35 years of employment history. His website can be found at: http://writerpro1.com/ .

 

PHYSICAL SILVER SUPPLIES RAZOR THIN – SILVER PREIMIUMS SOAR!!!

5 gold filled 14k Filligree safety clasp Rio Grande jewelry supply findings $8.99

Jewelry Making Findings Supplies 14K Gold Pin Joint $12.00

5 Bali 14k Gold Filled S hook clasps very nice bead & Jewelry making supplies $14.99

Jewelry Making 14K Yellow Gold Bails 7x3mm Design Supplies Findings $15.00

14kt Gold Spring Rings Clutch Backs Split Ring Crafts Jewelry Supplies Findings $24.95

14kt Yellow Gold Split Ring O 5mm Crafts Findings Jewelry Supplies Necklace Art $24.95

Jewelry Making Findings Supplies 14K Gold 40mm Pin $27.00

Jewelry Making Findings Supplies 14K Gold Cuff Links $173.00

600g Digital Flip Cover Pocket Findings Scales with Blue Backlight $5.96 The scale features weigh modes in gram (g), ounce (oz) penny weight (dwt) and grains (gn). The insides cover also features a label listing the key function and calibration steps. The hinged hard cover protects the scale so no pressure is applied to the weighing platform while the scale is not in use or carried in your shirt pocket. The amazing small size ( 5″ x 3″ x 0.75″) of the scale makes it a …

1 New DigiWeigh DIGITAL POCKET SCALE-Gram/Ounce/Carat/Grain-PERFECT FOR Gold/Silver Coin/Jewelry, Diamonds/Gemstones & More!! WARRANTY & Accessories! $10.95 GRAM mode makes this scale perfect for virtually any small item. OUNCE mode is great for postal shipments. The VERY accurate CARAT mode is perfect for cut or uncut diamonds/gemstones/crystals. The GRAIN mode is perfect for archery tips, reloading powder, and many other uses! High quality strain gauge load cell system makes it accurate in full capacity range. High density ABS housing and metal su…

NEW! Weigh Your Scrap Gold/Silver with this DIGIWEIGH Digital Jewelry Scale! Measures over 1000 Grams, over 40 Ounces! Jewelry, Coin, Bar, Bullion Oz! $23.94 The durability, accuracy & reliability of this DigiWeigh DWP1001 has made it a favorite among professionals and hobbyists alike. The variety of modes offered makes it perfect for weighing gold & silver scrap jewelry, coins, bars & other bullion; mined treasures like crystals & gemstones; food portions for dieting; even packages for postal shipments! It also has a piece counting mode which is great…

MOROCCANOIL Gold Glimmer Shine 3.4oz $17.20 An invisible veil of pure luminous shine, infused with Argan oil and UV filters to provide instant shine and protection against the elements….

Cross Classic Century, Black, Pen and Pencil Set (250105) $50.00 Versatile writing instruments accommodate a wide variety of uses. Molded resin body features seamless construction for strength and aesthetic appeal. Detailed with 23K gold plated appointments. Lifetime mechanical guarantee….

Bulk Lot Professional Jewelers Diamond Loupes-30x Optical Magnifying Glass-Diamond/Gemstone Testing, Jewelry Settings and More $29.99 Ideal when handling loose diamond & gems, gemstone jewelry, scrap jewlery, coins, bullion & more. Genuine PuriTEST “Triplet” 30x high power large lens jeweler’s loupes. Large 21mm double glass lenses for best optics. Golden finish with all metal housing. Used by professionals and amateurs alike. Excellent value. Great gift idea….

Krylon 1000 Premium Metallic Spray Paint, Gold $3.73 Crafter’s metallic spray is safe for most surfaces, even styrofoam or plastic….

Complete PuriTEST Metals Testing Kit with Digital Scale, Stone, File, Gold Loupe and Free 5gr Solid Silver Bar $28.99 This is the perfect testing kit for anyone who handles precious metals. Includes 10k, 14k, 18k, 22k, Silver and Platinum Solutions (1 bottle each). Each bottle contains 1/2 fluid ounce (0.5 fl oz) test acid. Test stone measure 2 inches x 2 in. DigiWeigh 600BL scale weighs in Grams (g), Ounces (oz), Carats (ct), and Grains (gr), and includes Lifetime Warranty. FREE solid silver bar is 5-grains of f…

Silver Fineness Testing Set by PuriTEST! Test Jewelry, Antiques, Coins, Spoons, Flatware & More 999 985 950 925 Sterling Silverplate $17.99 Trusted by professionals.. easy enough for beginners. The acid test kit enables you to safely and accurately test the purity of silver items such as coins, jewelry and antiques. Test stone measures 6 inches x 3 inches; rubber backing holds stone in place while you test. This “scratch stone” is wonderful because it helps you acquire a sample to test (do not apply acid directly to your coin/jewle…

Gilty Couture 14k Gold-plated Bezel Faceplate with Clear Swarovski Crystals for iPod touch 1G $125.00 Sparkling and glamorous, the Gilty Couture iPod touch bezel adds irresistible style while surfing the web, browsing through pictures and listening to music around town. Decorative rear table with Gilty Couture engraving Micropolish storage and cleaning pouch Gilty Couture Wardrobe Box Dimensions – 4.35 x 2.5 0.4 (111x62x10mm) Weight – 20 ounces…