Scrap Jewelry Trading Explained!
Scrap jewelry has long been recognized as a cheap source of this precious metal.
Private dealers and large recycling companies are involved in buying countless numbers of gold rings, bracelets, necklaces, pins, brooches, etc.
All these pieces will have to be assayed before being thrown into the melting pot.
However, the process of selling the scrap jewelry is not as straightforward as it seems.
There are many dishonest agents and intermediaries, who try to earn their commission, by positioning themselves between the scrap gold's owner, and the gold processor.
This results in the former realizing lower selling prices, and the latter paying inflated prices for the recycled metal.
Scrap jewelry's quality is an all too common problem, with the sellers expecting high prices, for what often is a mix of low karat gold pieces, with substantial additions of soldering materials and ordinary metals, like bronze and copper.
At the same time, there are cases where one or more units have value far greater than the intrinsic value of the scrap gold. Dealers often come across estate jewelry, which appreciates very high, due to its rarity, or being classified as an antique. An honest buyer will make the seller aware, that there's much more money at stake, than the simple "per weight" calculation would indicate. And while the great majority of dealers would do exactly that, some will actually take advantage of the inexperienced scrap owner, and make a huge profit re-selling the highly valuable piece to antique collectors.
Practice indicates that this kind of trust abuse rarely happens when dealing with large, established gold merchants.
Why not all scrap jewelry is suitable for re-manufacturing?
It's all got to do with poor quality raw materials, particularly recycled scrap that leads to contamination and even embrittlement.
Often, in some earlier production processes, poor melting lead to casting defects, incorporation of impurities, excessive shrinkage porosity, and segregation of the layers when rolled.
Another source of faults is incorrect annealing practices, being the result of a less than satisfactory knowledge about karat gold combinations.
Quench cracking and stress cracking can continue in the recycled product, making the affected scrap gold useless.
When the time comes to sell or buy scrap jewelry, the interest shouldn’t be limited to gold. There are also some fine pieces made from platinum, rhodium and even silver.
All these metals are highly in demand from scrap buyers and processors. Searching in your local phone book will deliver plenty of contacts.
Better still, use any of the leading Search Engines, to access loads of relevant information, including spot prices and their fluctuations, and also buying and selling services that may be useful in your scrap jewelry interest.
After all, the more you know, the more profitable your deals will become. 
Scrap Gold
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