Looking into freeing up a bit of money by selling your old gold? You aren't alone! Lots of people in the UK are starting to see the potential in their old gold, however, they go into it not knowing about second hand gold prices. Well, we don't want you to get ripped off, so let's take a look.
Before you start, it's vitally important to know both the weight (Commonly measured in grams) and carat of your gold before you try and sell it. On average, nine carat gold is worth £7 per gram. However, many "Cash for Gold" style stores will attempt to pass off paying £4 per gram or thereabouts.
Working out the price of your gold yourself can be tricky, however there is a way to do it. Retailers deal in "Troy Ounces", and there are 31.1035 grams per troy ounce. If you divide the Troy Ounce price by 31.1035 you'll get the price per gram.
All you have to do then is multiply by the caratage and divide by 24 to get the "Intrinsic value" of the gold. A good tip is to aim to get around 90% of the Intrinsic value, as no merchant will pay 100%, as there is no margin in the sale for them then.
A lot of retailers will try and scam you on this figure, often offering only around 60%. With a little research, and your eyes open, you can go into the sale knowing you've got the best price possible!