A weak economy often creates a need for cash. Do you have any broken or unwanted gold or jewelry? If you do and you are in need of cash there are several options open for you to get cash for your jewelry. Each option has positive and negative attributes and the one that will work best for you will depend on how quickly you need cash. You should be very clear about the time frame for your need.
Once you know your time frame then the next major problem in getting cash for jewelry is that most people have no idea what their jewelry is worth and what they can realistically get for it. Jewelry can be valued at Retail, Wholesale, Liquidation and Breakout. The definitions don’t matter much. The first principle to understand is that the more desperate your need for cash the less you will generally get. The second principle is the more immediately saleable your jewelry the more you will generally get. Sellers who need money immediately and who have broken or undesirable pieces will get the lowest offers for their jewelry.
There are several different options available for you to get cash for your jewelry. You could get immediate cash from a second hand dealer, you could get a loan for your jewelry from a pawn shop, you could sell or consign your jewelry to a jeweler or you could sell the jewelry on your own.
You could approach a second hand dealer who will offer you immediate cash for your jewelry. Second hand dealers include local and internet companies and home gold selling parties. Although you will get immediate cash the offers for your jewelry will be extremely low.
If your need for cash appears to be temporary and you value your jewelry pieces than you would approach a pawn shop. A pawn shop will loan money based on collateral you bring in. The jewelry you bring in will be assessed and a loan amount and monthly interest payments presented to you. If you agree you walk out with cash, a redemption ticket and an obligation to make timely interest payments. If you do make the interest payments on time then you retain your right to redeem the ticket by closing the loan---paying the principal and interest outstanding and get your jewelry back. If you fail to make the required interest payments you could lose the collateral that you offered for the loan. Be aware that the interest rates from pawn shops are high.
You could sell your desirable jewelry to a local jeweler as some of them may purchase your jewelry items. Much like a second hand dealer they will offer you cash. Jewelers who do this are required to have a Second Hand Dealers license. The advantage of selling your jewelry to a jeweler is that you may get more than just breakout value as the jeweler may be willing to pay more since he can clean up the piece and sell it at retail. The disadvantage is that the jeweler may not see the pieces as saleable and would not buy them. Taking these pieces around from store to store may just be wasting your time. If you are not in a hurry to liquidate the jewelry pieces and you want to get as much as possible you could place the pieces on consignment with a jeweler. Make sure that the jeweler can be trusted! You will generally get more by consigning a piece but it may take a while before the jeweler sells it.
To get the most money for your jewelry you could try to sell it privately by finding your own buyer. The advantage is that you can set or negotiate your own price. Generally you would get a much better return than any or the above methods. The greatest disadvantage is that you may be putting yourself at risk of being robbed, scammed or cheated especially if it is a valuable piece. Special precautions must be taken. This method takes the most work, some risk management and it could take some time but you should get a lot more than from the previous options.
You have many options to get cash for your broken or unwanted jewelry. The time frame of your need for cash is important in your decision on which choice to take. And while you cannot expect to get retail value for your jewelry you also don’t want far less than a fair liquidation price for the pieces. Your expectations of how much you get must be balanced by how much you need the money. Weigh the positives and negatives of each choice to determine what would be best for you to deal with your situation. Please feel free to contact us for advice.
Mahalo,
Russell Oshita
inquiries@thediamondspecialists.comwww.thediamondspecialistsinc.com
