Gold and Platinum Prices

The recent and dramatic price increases in both the gold and platinum has not, as yet, been fully felt by the consumer as retailers and manufactures both work through older inventory purchased at lower market prices.

With the coming of the New Year, however, the full effect of higher precious metals prices will begin to be felt as retailers replace inventory.

With the increased pressure on both manufactures and retailers to keep the cost of fine jewelry as low as possible there is going to be an even greater temptation for some to lower the quality and amount of materials and workmanship even further in an attempt to appear like a “great buy” is being offered.

It is more important than ever that the customer do their research and be aware of the quality of what they are purchasing. I hate nothing more than having to tell a customer that their “deal” is in reality money poorly spent.

Because fine jewelry often does not have a brand name and because very subtle differences, not apparent to the untrained eye, can mean huge differences in value; fine jewelry has been a playground for those who wish too deceive for years.

Here are a few tips that I hope will be of help.

• Be extremely wary of any discount above 20% , any claim of selling “wholesale” or any sales pitch claiming the item is worth substantially more than you are asked to pay – it’s not.

• Question the perception that jewelry is somehow a better buy in the NY Diamond district, the internet, the Caribbean, etc. - its not.

• Ask what the return and service policies are BEFORE you buy. NEVER buy form a company that will not offer a return policy or service their product.

• Unless it is a jeweler you know and trust – always pay with a credit card.

• Shop only at reputable stores with a trained and knowledgeable staff.

• Compare similar jewelry in different price points and ask questions about the difference in value.

• NEVER buy from a pushy salesperson or presentation.

• No matter how matter how good the deal sounds always remember this old saying –

   You get what you pay for.

Until next time - that is how I see the world of jewelry from Rochester NY

David West Nytch CGA  www.westandcompany.com
 

Comments

[anne]

I have a related question about platinum jewelry - I read online somewhere that platinum jewelry is supposed to have a "hallmark" indicating the purity of the metal (ex. PT 950), is this true? What does it mean if you have a piece of platinum jewelry that does not have a hallmark?

Thank you.

Hello Anne,

Platinum, Palladium, Gold and Silver jewelry should all have, by law at the time of sale, stamps or markings that indicate what the quality of the metal alloy is as well as a trademark or the name of the manufacturer. Platinum (PT) in usually marked 900 or 950 indicating that the alloy is 90 or 95% pure.

It is possible that the stamps have been filed out during a repair or sizing - which is a fairly common occurrence.

Dave

[Sell Gold]

Hi,
Is there a possibility of fall in gold prices due to the financial crisis in U.S?...

[tungsten carbide rings]

I agree that it is more important than ever that the customer do their research and be aware of the quality of what they are purchasing. Keep posting!

by: rhianne

[yalingjewelry]

I think the gold price will fall down soon.jewelry is jewelry,gold is gold.