Selling gold can be a smart move when you need quick cash or want to offload old jewelry, but it’s not always as simple as walking into a shop and getting paid. Many sellers walk away with less money than they should—or worse, get scammed—because they made common and avoidable mistakes. If you’re thinking about selling your gold, here are the 8 most common mistakes you should avoid to ensure you get the most value for your items.
1. Not Knowing the Current Gold Price
One of the most common errors is walking into a gold-buying business without knowing the spot price of gold. The price of gold fluctuates daily based on the market, and buyers use that rate to calculate how much they’ll offer you.
Not being aware of this number puts you at a disadvantage because you won’t know whether an offer is fair or not. Take five minutes to check the current gold price online before going in. Sites like Kitco or the Wall Street Journal offer live prices.
2. Selling to the First Buyer You Find
Another big mistake is selling to the first business you talk to. While it’s convenient, it’s not always the most profitable move. Different buyers have different profit margins, overhead costs, and evaluation techniques.
Even if you’re in a hurry, take the time to compare offers from at least two or three buyers—especially if you’re selling larger quantities or higher-karat gold. One shop might pay 50% of the gold’s value, while another might pay 75% or more.
3. Not Understanding Karat Values
Gold purity is measured in karats—24K being pure gold. Many sellers don’t realize that the karat of their jewelry significantly affects its value. If you’re selling a 10K gold bracelet, it’s worth less than a 14K or 18K piece of the same weight.
Make sure your gold is properly sorted by karat before selling. Don’t assume all your pieces are the same, and don’t let them be lumped together in a single offer unless the buyer explains how they’re accounting for the differences.
4. Selling Gold with Sentimental or Collectible Value as Scrap
Sometimes people unknowingly sell items that have collectible or antique value as scrap gold. For example, vintage jewelry or branded items (like Tiffany & Co. or Cartier) may fetch more as jewelry than as gold weight.
Before selling, especially older or designer pieces, it’s worth getting a second opinion from a jeweler or vintage specialist. You might be leaving hundreds—or even thousands—on the table.
5. Failing to Check the Scale and Process
When your gold is weighed, it should be done on a calibrated scale in front of you. Some unscrupulous buyers weigh jewelry out of sight or use scales set to pennyweights instead of grams to confuse sellers.
Watch the entire process and ask questions. A reputable gold buyer will always be transparent and willing to explain how they arrive at the offer. If someone seems evasive, trust your instincts and walk away.
6. Not Knowing the Difference Between Grams and Pennyweights
Many sellers don’t know that a pennyweight (dwt) and a gram are different units of measurement. One pennyweight equals 1.555 grams, so if a buyer quotes a price per gram but weighs your gold in pennyweights, you could be paid much less than you think.
Always make sure the weight unit and price match. Ask: “Are you paying me per gram or per pennyweight?” If they can’t answer clearly, that’s a red flag.
7. Not Bringing Proper Identification
Many states require gold buyers to verify the identity of sellers to prevent the sale of stolen items. Forgetting to bring your ID can delay the process or result in your gold not being accepted.
Have your driver’s license or a state-issued ID with you. It keeps the transaction legal and legitimate on both sides.
8. Assuming All Gold Buyers Are the Same
Not all gold-buying businesses operate with the same level of honesty or experience. Pawn shops, jewelry stores, online buyers, and “cash for gold” pop-ups all have different reputations and methods. Some pay fairly. Others lowball you or pressure you into a sale.
Check reviews, ask for recommendations, and don’t be afraid to ask questions about how they evaluate gold, what percentage of market value they pay, and how they process payments.