When it comes to selling your gold, knowing what type of gold you have can significantly impact how much you get paid. Gold dealers in Melbourne receive a variety of gold items daily, from hefty bullion bars to delicate bracelets. But not all gold is created equal. Different types of gold carry different market values and appeal to buyers in distinct ways. Understanding these categories helps sellers make smarter choices and get the best price possible.
Gold Bullion: The Heavyweight Champion
Gold bullion refers to bars or coins made from pure or nearly pure gold, typically 99.5% or higher purity. These are the gold items that most closely track the spot price of gold, meaning their value fluctuates in line with the global gold market.
Gold dealers Melbourne often pay the most for bullion because of its high purity and ease of resale. Bullion bars usually come with certification that guarantees their authenticity, making them highly desirable. Gold coins, such as the Australian Kangaroo or the American Gold Eagle, also fall under this category and may carry a slight premium due to their collectibility.
Market Value: Because bullion is nearly pure gold, the price per gram tends to be closest to the current gold spot price. Dealers deduct a small fee for refining and assay but generally offer top dollar for bullion.
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Scrap Gold: The Most Common Seller’s Gold
Scrap gold includes broken jewellery, outdated pieces, or any gold items that are no longer wearable or sellable in their current form. This type of gold is often mixed metals with varying purities, typically ranging from 9K (37.5% gold) to 18K (75% gold).
Gold dealers Melbourne buy scrap gold by weight, paying according to the karat value and the current gold price. Because scrap gold requires melting down and refining, dealers offer less per gram compared to bullion. However, selling scrap gold is a quick way to turn unwanted gold into cash.
Market Value: Scrap gold’s price per gram is lower than bullion due to impurities and refining costs. For example, 9K gold commands a much lower price than 18K gold.
Gold Jewellery: Value Beyond Metal
Gold jewellery is a popular item sellers bring to dealers, but its value is a little more complex than bullion or scrap. While the metal content matters, the craftsmanship, brand, condition, and style influence its resale price
Designer pieces or antique jewellery can fetch higher prices if they have collectible value or demand in the secondhand market. However, if the jewellery is costume-like or heavily worn, dealers might only pay based on the gold content.
Market Value: Pure gold content defines the baseline value, but unique or branded jewellery can bring premiums. Still, generally, jewellery prices fall between bullion and scrap gold in terms of payouts.
Gold Coins and Numismatics: The Collectible Edge
Some gold coins have numismatic value — that is, value beyond their gold content due to rarity, age, or historical significance. While gold dealers Melbourne do buy these coins, they often work with specialized numismatic dealers to assess the coin’s collectible value.
Coins that are rare or in pristine condition might pay significantly more than their bullion value. But for common modern bullion coins, the payout aligns closely with the gold spot price.
Market Value: Numismatic coins can pay a premium, but only if correctly identified and authenticated. Common bullion coins sell near spot price.
Industrial Gold and Electronics: Less Common but Valuable
Gold used in electronics, such as circuit boards and connectors, is highly refined but usually in tiny amounts mixed with other metals. Gold dealers do buy electronic scrap, but prices reflect the recovery process complexity.
This type of gold usually pays the least per gram but can be profitable in bulk.
Which Type Pays the Most?
In general, gold bullion pays the highest price because of its purity and liquidity. Scrap gold comes next, depending on its karat and condition, while jewellery and coins vary widely based on collectability and craftsmanship.
