Value of gold is determined by several criteria: the London Afternoon Gold Price on the day of settlement; and the karat which indicates the amount of actual gold in a piece; and the weight of the items. By multiplying the percentage of gold in a piece by the gold price, we can easily determine the value of gold of that karat. For example, at a $1,000 gold price, 14K gold which is .583 pure would have a value of $583.00 – or 58.3% of $1,000. That would be the value of “new” gold.
But, scrap gold is not “new”. The value of gold scrap is lower since there are costs associated with turning scrap gold back to “new” gold. Scrap gold jewelry must be melted and refined to recover the fine gold content by separating the gold from the other metals like silver and copper, used to create the karat gold alloys. There are costs associated with these processes on top of the cost of doing business. GoldFellow® pays between 55% and 95% of recoverable value of gold to its customers and the prices it pays for scrap gold by pennyweight are posted daily on its website.
Consumers can also determine the value of their gold by using GoldFellow®’s Scrap Gold Value Estimator tool located on the same page as the daily gold prices. If consumers know the karats and total weight of each karat lot they have to sell, that information can be entered into the calculator to obtain the estimated value of their gold on that particular date. Consumers should keep in mind, GoldFellow® and other gold buyers do not pay for the weight of stones set into jewelry and will deduct some weight if pieces being sold contain stones. Since GoldFellow® does not consider semi-precious or precious gemstones (other than diamonds over .25 ct) in the value of the gold, we are happy to remove and return them for a nominal shipping fee. Please see the gemstone policy on our ”What we Buy” page or your packing slip for further details.
Another tool to assist consumers in determining the value of gold is GoldFellow®’s exclusive Gold Payments Gallery which features hundreds of pieces of jewelry GoldFellow® has purchased. Each photograph includes the karat of the item and its weight in pennyweights and grams. Once you have a better idea of your gold’s value, you can sign up to ship your gold to GoldFellow® using our free FedEx® service – or visit a local GoldFellow® store or by-appointment office to sell gold in person.