Shipping your old gold to an Internet gold buyer may seem quick and convenient, but in reality, it is very costly.

Selling your old gold isn’t something most people do very often. For most of my customers, it’s a one time event. They go through their old gold jewelry and pick out a few pieces they don’t use in order to turn it into quick cash. Even though there can be significant money involved, a lot of people don’t want to spend a lot of time investigating the ins and outs of the gold buying industry.

In many ways, the Internet has made a lot of things more convenient. I do my banking and bill paying on line. There are a lot of things that I buy online. The savings in time, gas and energy makes these activities worthwhile. Sometimes, it’s a little bit of a hassle to wait for an item – like a book – to be shipped. But if I can pay half the price for the same book as I would get at a local bookstore, why not?

But selling your old gold isn’t like buying books online. There are a lot of factors to consider and a lot of variables that come into play. In my opinion, it’s always better to deal with someone face to face. It may seem convenient to order an envelope, pack up your gold,  drop it into the mail and then wait for a check. But how do you know that the check you get back is what your gold was really worth?

In all honesty, you don’t.  So why use the Internet buyers? Many people don’t want to go to their local gold buyers and spend the time shopping. Some people think first of pawn shops – who have long been traditional buyers of jewelry – and they don’t like the treatment or atmosphere. They like the idea of the convenience of doing the whole business by mail. But that convenience has a price.

In November 2009, Consumer Reports investigated the Internet gold buyers. What did they find? That they were offered between 11% and 29% of the value of their gold. You can read their article Cashing in gold? Here’s the catch. on their website. By comparison, South Kansas City Gold Buyer payouts are usually in the 60% to 65% range. That’s quite a difference.

Should you sell your old gold jewelry through the mail? Consumer Reports doesn’t think s0. Neither do we. Take the time to find a reputable, local gold buyer. You’ll be much happier with the results.

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