Is buying broken and used gold better than new?

The gold market is witnessing widespread prosperity these days, and gold prices have made jumps over the past two days, by about 250 pounds per gram, according to the prices of the General Division of Gold and goldsmiths’ shops.

The increasing demand for the gold market is due to global crises, especially what is happening between Russia and Ukraine, and recent events in the Middle East

Investing in used and broken gold is one of the most profitable ways, as it is not only an investment, but also an adornment. It is also considered better than investing in new jewelry because its workmanship is significantly lower than new gold.

Avoid buying used gold from the Internet

Nadi Naguib, Secretary of the General Division for Gold and Gold Jewelry at the General Federation of Chambers of Commerce, said that it is preferable to buy used gold directly between the merchant and the buyer, to ensure the validity of the gold, and not to deal with sellers via the Internet and social networking sites.

Naguib added that broken and used gold is better in terms of the price of workmanship. If the price of workmanship on new gold is 200 pounds, then for broken and used gold it may be reduced by half or more. He explained that used gold does not have any stamp duty imposed on it, as the first buyer pays it upon purchase.

The Secretary of the General Division for Gold and Gold Jewelry at the General Federation of Chambers of Commerce confirmed that buying gold, apart from bullion and coins, and at a price lower than the offered jewelry, is a good investment with low weights. It is also an adornment for those who want to wear it and at the same time an investment and preservation of the value of money.

He explained that when buying broken gold, it is necessary to check with the jeweler, and it is better for him to be a well-known person, preferably a jeweler who has dealt with him more than once in the past and is reliable.

Is buying gold bullion better than buying rings and chains?

People who want to invest buy gold bullion, because it maintains the price, and achieves a large profit in the event of a rise in gold prices, because it is free of workmanship. As for whoever buys gold rings, chains, or gold jewelry in general, he will be threatened with deducting a percentage of the profit. It is the workmanship, upon sale.

In order to guarantee your investments in gold, some conditions must be observed, which are as follows:

- The length of the investment period, because trying to invest the amount of savings in gold investments requires a relatively long time to achieve a return.

- Stay away from buying gold jewelry: Choose a specific form for your investments in gold, such as buying gold bullion, which is available in different -sizes, and has the advantage that when selling it, the customer does not lose the full value of the workmanship.

- Invest in buying gold coins: Buying the gold pound is preferable, after investing in bullion, due to the high return on sale, and the ease of liquefying it, that is, converting it into circulated money.

- If you decide to invest in gold bullion, you must consider purchasing them from well-known gold stores and companies whose market name and brand are reliable.