What You Should Know About Selling Precious Metals

Gold, Silver, Platinum as well as other household popular metals are known as Precious Metals.  Because of the recent soaring prices of these metals, buyers have popped up all over the country, wanting to buy your old or used silver and gold. They promise you top dollar for it. Some just send you an envelope in the mail and asked you to send your precious metals to them and they will send you “Top Dollar” for it. Some have found out that they sent them gold and got back enough to buy a cheeseburger on the McDonald’s $1.00 menu.  

Before you decide to sell your valued possessions, you should arm yourself with some basic information.  Because I live in the Commonwealth of Pennsylvania, we will go by Pennsylvania laws and regulations.  Unfortunately, the state and local entities charged with enforcing these laws and regulations have been pretty much missing from enforcement. Be advised that you are on your own.

So the following are some basic recommendations to follow if you decide to sell some of your valuables or heirlooms.

1.      Ask the Precious Metals Dealer if they are currently licensed with their county sheriff. If they say “no” or “I don’t know” then your next step is to leave.

2.      Ask the Precious Metals Dealer where they keep their current prices for gold, silver, and platinum. If they are not posted then your next step is to leave. 

3.      If the dealer is going to weigh your product, make sure the scale is visible so you can observe the weighing operation and make sure the scale bears a current seal of approval from the “Dept. of Weights and Measures.”   If either of these requirements is not met, your next step is to leave.

4.      Most consumers are not familiar with the metric or troy systems of weights and measures. Therefore dealers are required to post a conversion chart. That way the consumer has a chance to understand exactly how much their product weighs and how much they are being offered for it. No conversion chart then your next step is to leave.

5.      If the Pennsylvania requirements are met and you decide to proceed with the sale, make sure you receive a complete and descriptive receipt of your sell. Pennsylvania law requires the dealer to provide a receipt that includes;

a.      The name, age, and address of the seller

b.      An accurate description of the product including its weight

c.       Records are to be kept by the dealer for a period of one year and be available for inspection.

d.      A copy of all receipts must be submitted to the County District Attorney within 24 hours of the transaction.  

6.      All precious metals purchased by a dealer shall be kept in unaltered condition for a minimum of five days and be available for inspection upon request.

7.      Before you start this process with the dealer, it would be a good idea if you went to a few local jewelers to establish a baseline weight and value of your metals. 

8.      It is never advisable for you to send your precious metals off by mail to some unknown metals dealer. If you want to be ripped off, that is the best way to get it done!

Dean F. Ely, Executive Director of Pa. Association of Weights and Measures www.pawam.org suggests if you live in Pennsylvania and you have a problem or need to lodge a complaint, contact your local District Attorney, sheriff, or the local police. You can also call the State Attorney General’s Office at 717-787-3391. The number for Weights and Measures is 717-877-837-8007.   If you live in another state or country, contact your Governor’s office for the laws governing your state or country.