There has been alot of talk about cash for gold in the news lately. There are new
businesses popping up all over town advertising cash for gold. There are even infomercials on this cash for gold trend. There must be huge money in it for so many people to jump aboard this business opportunity. People are hosting cash for gold parties at their homes. Some even have fund raisers for charities where people bring their old and unwanted jewelry to sell for money. The gold buyers turn around and sell it for a profit. everyone makes some money off the gold.
The question is, are they committing a scam in offering you a fraction of the value for your gold? It depends on how you look at it. There are some who mislead and take advantage of unknowing sellers of their gold jewelry. Many look at this as a cash for gold scam and illegal. The other way to look at this is as a creative way to make money in this tough economy. Yes, this is America and people have been creative in making money since the beginning of time. Is this just another current trend of recognizing an opportunity and making money from it? I think so.
There may be other laws pertaining to buying and selling gold. For instance, there may be a local law stating that you need a business license to go door to door buying gold jewelry for resale. Some people might commit theft of jewelry and sell it, which is of course illegal. However, on its face, it does not appear to be illegal to offer someone money for gold jewelry for the purpose of making more money by selling it to a gold liquidator. Its just good old fashioned American spirit finding new ways to make money and is not a scam.
If you are looking to buy or sell gold, contact a legitimate business. To check for an honest cash for gold buyer check out Rip Off Report or the Federal Trade Commission. The federal goverment investigates many cash for gold scams that cross international boundaries. You can also file a complaint about a cash for gold business by calling the Federal Trade Commission at 1-877-FTC-HELP.
Gold is always worth its weight in, well, itself. Sometimes, it’s worth even more. A gold nugget, weighing 100 troy ounces, sold at auction in Sacremento for $400,000 Wednesday night. This is more than its weight per gold ounce. The value was around $200K and it sold for nearly twice as much money. Security is important when you’re dealing with lrge quantities of gold. On Wednesday, gold closed at $1,396.10 an ounce on the New York Mercantile Exchange, making the nearly 7-pound nugget worth about $140,000, if it were melted down. An estimated 500,000 people traveled to California between 1848 and 1864 in search of instant wealth.
It is rare and valuable piece of gold country history. The nugget will be on display this weekend at the Sacramento Convention Center, she said. The California Natural Resources Agency says the largest nugget ever mined in the state was found in 1854 and weighed 195 pounds.
I’ve used Gold Experts in Canada on a few occasions and have been very happy with their payouts.