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Feb 10, 2009 -- Is turning your old jewelry into cash a viable option?

RIP-OFF ALERT: We've all seen the ads running constantly on bad late-night TV that promise you can turn your unloved gold jewelry into cash.

The Los Angeles Times recently ran a piece on Cash4Gold.com -- one of the most popular of these outfits that make such promises. The newspaper found that the amount of money you get is pitiful compared to the jewelry's worth. In one instance, a man sent in $150 worth of gold and got a check back for 15 cents!

Cash4Gold.com isn't the only company running such an operation. Others include Dollars4Gold, GoldKit and GoldPaq, according to the newspaper.

In a separate investigation, Inside Edition had a jewelry expert grade the value of the raw material in 23 samples before sending them off. The assessment came in at nearly $1,000…and Cash4Gold sent a check for $209.81 -- roughly 20 cents on the dollar!

It's like the Midas touch in reverse.

Be particularly wary of turning to an "insta-answer" option like selling your old jewelry online when you're feeling desperate. Payday loans and early tax refund loans also fall into the "insta-answer" category.

The truth is that a piece of jewelry is never worth what you originally paid. Part of what you buy is a sentimental attachment. Remember that jewelry is not an investment…unless it's an investment in the heart.

Unfortunately, Clark won't be able to answer any questions submitted via commenting. If you have a question, please try posting it to our message boards.

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What others are saying

  • cash for gold jewelry
    Go to a reputable jeweler, who weighs and sorts right in front of you.I was amazed that all those broken twisted chains, odd earrings etc got me $800!
  • Found a nice place in Decatur
    I usually shop at Alexia Gallery and found out they buy old gold. It was much nicer than going to a pawn shop type place.
  • selling gold in Phoenix
    We went to 4 different gold buyers, and SW Jewelry Buyers offered the most. They were triple the lowest offer! Be careful out there - a lot of rip offs! www.swjbuyers.com is the website, but i think they only deal with locals...
  • Valley Goldmine
    I took my stuff to the Valley Gold Mine in Arizona after mailing it in. They offered me $750 when Cash4Gold offered me $165.82 for everything. I was very happy with the outcome - do not mail your gold. Go to a reputable jeweler in your area.
  • Cash for Jewelery
    The Rachel Ray Show had a rep from RedSwan.com who took jewelery from audience members and gave them cash on the spot. They also have jewelery parties and offer commissions, and return if you're not satisfied. Sounds legit... People need to do their homework!
  • How Dumb Can You Get?
    Why would anyone send off valuables in the mail? That's dumber than leaving car items in view for crooks.
  • Cash 4 Gold
    That's crazy that these companies would give a return so little. Times are hard but it's even harder when you get dealt not one bad hand but two. There should be tighter restrictions on companies that tend to take advantage of the consumers in a way that they have with this cash for gold issue. The really sad thing is that even with the bad media coverage, these companies will go on doing this after a new story breaks and people start to forget or the unknowingly fall for it as well.
  • Gold Kit
    See Cockeyed.com for a story about this. He got a check for things from his junk drawer that he painted gold! http://www.cockeyed.com/citizen/goldkit/gold_kit.shtml
  • gold for cash
    Folks I have been a bench jeweler for 30+ years. What consumers recieve for the gold they sell varies widely. I have been asking jewelers all around for years. The range normally from 10% of true value to about 66%!!!!! Average is 33%. To know what your gold is really worth is your first step. First to get the actual percent of gold in your piece of jewelry divide the carat stamp by 24. 14k is 58.33% gold. Next reallize that in 1 oz. of gold and there are approx. 31 grams per oz. by standard measure used by the jeweler. At $1000per oz. thats about $32 per gram. So if you have 10grams of 14k and gold is $1000 you are holding $185!!!!!

    WOW!!!!!
  • Gold private party
    I went to a home "sell your gold" party run by Golden Glitter LLC and brought only 5 small items (one ring they took the pearls out) I received $270 cash. The hostess was given $150 toward food/snacks and made $20 on every $250 worth of gold sold. A good way to get rid of things you don't need anymore, have fun with friends, and walk away with cash. (and how nice to see my wedding band from my dissolved marriage weighed away!!) I know the value of my items, so I made out quite well, but would never send any jewelry away in the mail! I understand hotels have these events and you can even bring in sterling silver platters (the old coffee servers, etc.) but I would ask first.
    ps: dig out those old cuff links few wear anymore...and just fill a bag or box if you're unsure to one of these events, as they check each item.
    double ps: One woman walked away with $1100 cash and a big smile to pay her bills!!
  • Selling your Gold
    For those of you who want or need to pick up a little extra cash by selling you scrap gold, go to your Local Independent Jeweler. They have a vested reason to keep you happy and maybe have you come back in the future. So most of the time you will get the fairest price for old gold or silver with them. Just remember it is scrap and not worth what you paid for it. But can be extra cash for that bill or money for a needed vacation.
  • Gold Parties
    While I appreciate Clark's comments, we are all adults and understand that the economy is based on buying for one price and selling for another. I have gone to two gold parties done by Golden Girls (www.GoldDoesGood.com). They paid a very good price, but even more I learned that they are a national women-owned company that has contributed more than $100,000 to charities and organizations. They were informative and never pressured me to sell. I think that the thing we need to learn from Clark on this is to make sure that you trust who you deal with and feel good about the transaction. My personal experience with Golden Girls made me feel that I got a fair deal and did something good for an organization in need at the same time. Golden Girls provided me an option to sell something of value, which has ultimately helped me to survive this tough economic time.
  • carforcash
    send me your car truck or boat title and i will send you cash the next day. (the small print) it must work and drive or you will be charged to make the repairs and i still get the car truck or boat. i am joking but did you beleive this crap.
  • Gold Parties
    I have heard that people are having gold partied where some one will come and buy. My neighbor said she went to a praty and came home with almost $800.00.
  • gold rip off
    glad I read this article. I had invested in a great deal of jewlery. Thought it would be a good idea. I had part of it assessed for insurance purposes. It was assessed for $14,ooo if stolen and that was only a few pieces. I paid approximiately $900 for it. Now I need the money. I almost sent it in. Then I thought, it has diamonds, emeralds, opals, rubies and what do they do with that? They only said they pay for GOLD! What a rip off they have going. Mary
  • seeing ads on this page
    If you're seeing ads on this page then do what most intelligent people do and get Firefox with AdBlockPlus. Of course that might ruin your day, since you'd have nothing to complain about on the website of a man trying to help you.
  • Gold/jewelry
    Yes, part of the value of jewelry is in the artistry of the piece, which is worth what a buyer decides it is worth. No more no less. When you melt it down you destroy whatever worth is in the artistry. Try selling it at auction as estate jewelry if it is really classic stuff.

    There is a mystique about jewelry as "money" especially among women, and that is because in our great-grandmother's generation, a woman could not own property. If she left or was thrown out she went with only what she "stood up in". Jewelry could be worn and also sewn into "traveling clotches", and even if it brought 20 cents on the dollar it was better than leaving without any "money" at all. Thank God that women have the right to jobs now and to own property and take it with them. That of course is small comfort to women who have now lost their jobs and their homes and have had to sell any other property just to try and feed themselves and their children.
    But such a condition used to be considered "normal" for women when we men's chattels.

    The economy won't do this forever. We WILL get other jobs eventually, and we will have homes again, and money in the bank and property. And if our husband loses his job the whole family does not face the "workhouse", because many families do have working wives/mothers.

    Maybe that's the biggest difference between now and the Great Depression. Most women were not employed outside the home, and if the man's job went down, the whole family income crashed in one fell swoop!

    Men, count your blessings. That this debacle is not worse than it is, is due in large part to strong, talented, determined women. Who no longer need to sell their jewelry just to survive.
  • ads
    Clark,
    I suggest you either stop advertising with Google adsense or adjust your filters to eliminate potential rip offs like the ones you talk about
  • Shame on you Clark!
    There is an ad for comprogold on the page. You need touse the Google AdSence tool if you are going to allow Google ads on your site!
  • Sorry to be harsh, but anyone blindly sending in the jewelry like that should expect to ripped off.
  • Ads
    It's also ironic/shameful that ads for gold buying, credit repair, and debt reduction can all run during Clark's shows!
  • sold gold
    Wow this is funny...my wife and I just sold our gold at a local antique shop(for a great price!). She wanted to use cash4gold, but I told her no. My problem was if we didn't agree on the price...to many things can go wrong. For instance if I didn't like the price, how do I get it back? I like the fact that at a local dealer you can say yes or no, and walk away that day with your product!
  • Selling Gold
    I think in is interesting that right next to this article are ads to sell your gold.
  • Aqua Owl Gold
    I went to a gold party one of my friends was hosting and had a great time. I took my jewelry to a local jeweler first to see if they were going to give me a fair price. They paid me more than the jeweler was going to! I don't think they are national, but I know they are in the Milwaukee area. Their website is www.aquaowlgold.com
  • Gold Kit
    I sent a watch vauled between $4K and $5K and they sent a check for less that $300.00, Which I immediately returned.
  • Is RipOffReport Real?
    How long does it take for them to post my post???? And if you check into International Profit Associates-you can't hardly even find the complaints, they are so buried in the bs buyout/ contribution. Is RipOffReport even for real? Starting to wonder.
  • So any reputable places you can mail your jewelry?
    I'm not one to host or go to a golden girls party. So any reputable places you can mail your jewelry to? I'm just trying to get money for my broken jewelry. I heard of Red Swan. Anyone deal with them?
  • Gold Buyers of America
    I went to a local event held by Gold Buyers of America and received a fare value for my gold; and yes the check cleared.
  • Golden Girls
    I went to a Golden Girls party in January and loved these women. I started researching options for selling some gold last year and talked to a lot of people including Cash 4 Gold and a few local jewelers. When my friend hosted a gold party with Golden Girls I attended with my gold, but wasn't going to part with it unless I was comfortable with the price and the people behind the company. I was pleasantly surprised to see that the company is women-owned, extremely professional and very approachable. Their price was considerably higher than anyone I researched. Plus, they appraised everything in front of me and did not pressure me to sell anything. I know that there are options out there, but for those who want to feel as if they are being treated fairly I would recommend Golden Girls. I believe that their web site is www.GoldDoesGood.com.
    Carrie Sullivan, Marietta
  • Gold Buying
    My wife works for a small company called Golden Girls in which an individual will host a "gold party". The "Golden Girls" will test the gold on the spot and offer a much higher purchase price that pawn shops or mail-in gold companies. Checks are written on the spot and the individual has the option of selling or not. Plus the host will receive 10% of the party total and their charity will received 2.5% up to $15K then 5%. At the last Gold Party my wife held, a lady had a pawn shop offer of $540, Golden Girls paid her $1152. So I agree with Clark on the mail-in and pawn shops not offering a good price but the Golden Girls organization has a better approach to buying your unused gold. Just google "Golden Girls" for their web page.
  • Watches
    I think watches fall under the same category as jewelry. So, the same applies. After all, you can tell time with a perfectly good $10 watch so an expensive watch is no more functional that a cheaper one.
  • selling old watches
    Clark didn't mention the commericals about selling old watches. I have an old watch that belongs to my grandmother that I would like to sell. I would keep it and use it but the numbers are so small I can't even read them with my reading glasses on.
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