Gold is a great investment to help balance your portfolio. However, you have to know what you are doing, and you have to think about the choices available to you. Keep reading to learn more about how to make good investment choices when it comes to gold.

Stay with reputable firms when selling gold. You are able to find out more about their reputations with the local BBB and through online reviews. A reputable buyer will typically pay you a fair price for your gold, and they will offer better customer service than less reputable buyers. Don’t let yourself be taken advantage of.

Prior to doing anything with gold, be it buying or selling, you must become knowledgeable about how pricing operates. With silver, platinum and gold the prices vary wildly throughout the day, and in order to get the correct price you must spot check it on the day before making a purchase. You may have to pay higher prices, though, for pieces that have a small fractional measurement.

Always do your homework to find an honest and reputable gold buyer. Check online reviews, BBB.org and their websites. When you get bids from multiple buyers, you may be able to get top value for the gold.

Market Value

Always check out the up to date market value for gold before you seek your gold jewelry. Doing so will help you figure out if a dealer’s offer is a good one or not. Many dealers will pay market value, however others rely on people desperate for cash to get the most for themselves.

You can get into the gold market with just a small investment in scrap gold. Invest small amounts of money in scrap gold. After a few months, you will have accrued a significant store of gold. Store your gold in a secure location until enough to cash in has been amassed.

Comparison shop when selling old gold jewelry. Bear in mind that the market price for gold you can find online (the “spot”) is only an average; different dealers will offer you different prices under (or even over) the spot. Look for stores off the beaten path as they often have lower overhead and better deals.

If you intend to convert your gold jewelry into cash, you’ll have to choose between selling it as jewelry or for the “melt” value of the gold it contains. Many private buyers and pawn shops are only willing to give the melt value. Don’t let this discourage you, because you will eventually find the buyer you are looking for.

Licensed Buyers

Sell to licensed buyers only. Licensed buyers are generally more reputable than unlicensed buyers. Never sell without doing research and verifying the dealer is licensed.

Understand what you really have. Even though the item looks like gold, it may not have much value. Quite often, other metals are mixed with gold to give some strength to the metal. This will lower it’s worth. Gold plate is also not very valuable. When you don’t know what you’ve got, have it appraised ahead of selling it.

With luck, you now feel comfortable adding gold to your portfolio. It’s a good investment that can help tide you over beyond your current retirement funds and other types of investments. Understanding the different options and how they will affect your investments will help you buy and sell gold confidently.