Gold Parties Watch Out…
In recent months we have been hearing about gold party’s you should watch out for this. What is a gold party this is when some one opens their home up for a buyer to come in, and buy gold from the people that have been invited to sell their gold. They get a commission, and the person that are buying the gold are also getting a commission. Now who is paying for these commission well you are of course it’s not going to come out of their pockets. First this is illegal unless they have a license to buy with a scale that is inspected by the city our scales are inspected by the city that we do business in, we have a license a license that is for a specific address this license is not transferable. You need to ask yourself are they buying by penny weight or gram weight, and do you as the consumer understand the difference between the two. How do they get you well the person who is hosting the party is told the more people that come to sell the more you will get in commission, in turn they tell the people that they are inviting the more people who come that more gold the more gold the more weight more weight higher buying prices. Round and round it goes, if they have played with the scale your item could be taken for less gram weight then what it is worth. I see a big problem with this kind of thing the red flags should be going up for anyone that is thinking about going and selling your gold at one of these gold party’s.
All Gold Partys are not scams as it sounds like you would have us believe. I am assuming that you are either a jeweler or a pawn shop operator. You buy gold, do you offer Spot for it, of course you don’t. What percent of spot do you pay? As whith anything else there is money to be made and there are allot of people that would not go to a pawn shop or a jewelry store to sell or recycle their gold. The in home party is a great venue for them. You are correct about some red flags but I don’t believe the sky is falling either.
Hi Dave thank you for the comment, and no the sky is not falling. The reason for the post and only reason for the post is to inform the public to possible scams not every gold party is a good ”gold party”. Yes, there is money to be made, but when we have our own customers coming in, and telling us that some of these gold party’s are not good we feel that it is our responsibility to inform people of this.
We hear stories every day from our customers about what is going on out there. They go from shop to shop, and see what each is taking the gold for we find it shocking some of the stories we hear, and people do have to be careful that they are not taken for a ride. What we want is for everyone to educate them-selves before they go to sell.
So Dave the “sky is not falling yet” I love that one you take care, and if you are buying from the public please do it responsibly give as much as you can give to them some of these people selling are selling to pay bills, put kids in school, in some case’s to save their homes. We do want to make money yes it’s a business, but we hear the stories, and see some of the tears in these peoples eyes selling every thing they own to keep going. So what if we make a little less, we will be rewarded in other ways that is at least how we think at N.J. Diamonds.
Thank you for your concern on the possible greed out there. Buyers should make it clear about the differnt weights,and purities.By the way please check your grammer and setences,they are difficult to follow. Thank you, frank
Thank you both for your comments. I like the pros and cons. I have a lot of loose gold and I want to sell it. I have gone to jewerly stores and they give so little, so do the pawn stores. I did not know that the scales were checked for only one location. I think that if I were to go to a gold party I would have to feel secure that the person giving the party was using an honest dealer. I would realize that the person giving the party would get a commission and the gold dealer would get paid for their time.
I agree that everyone should research their options before having a party or going to one.
I know people giving those parties and they know NOTHING ABOUT THEIR CREDIBILITY. Seller beware!
Leda
Thank you so much we agree.
N.J. Diamonds
From what our customers are telling us we are giving the best price around for gold. That is what they are telling us, and that is including gold oarty’s. If they are not buying from a store then they do not have a scale that is being inspected. At good luck if you live in the area stop by with your items we will be more then happy to give you a price.
N.J. Diamonds
I think everyone in these post are little worried that the business is no longer coming into the jewlery stores.
Most of these in home parties are ligit and the people I have had have been very helpful and sweet. Here is a list of in home companies that I would stay away from (I have heard bad things)
1) AdI (Goldpartyus.com) He is trying to push his store on you by giving a $20 gift certificate. Pays low gram amount.
2) Gold Getters- They have no experiance with diamonds and other gems. (Home Builders)
3) Gold exchange- Husband and with team that pay very little per gram and very unproffesional.
The list goes on Just watch out for those jewlery stores that want you to purchase items with you profits.
You can add another one to the list The Gold Refinery. Buying by penny weight, but tell you it is gram weight, pay very low prices, tell you that some of your gold is a different karat then it is. I have been to a couple of their party’s not good at all. I would not recommend that you sell to the…
I do agree that you should be certain in your decision to sell your gold because once you sell it ,it is gone. Typically we have approximately 8-12 people at a party.
1. I verify that the sellers are at least 18.
2. I do require them to sign a form indicating that they are indeed the rightful owner.
3. I calibrate the scales in front of the customer.
4. I test in front of the custoemr and allow them to see the results.
5. I make a fair offer-with the understanding that prices do change daily and that the prty host receives a commission.
6. I give all attendees a card and flyer-I want referrals not unhappy customers.
Dave
Dave I would like to thank you so much for the comment, but we do have a few questions.
1. How are you buying the gold by gram or dwt (penny weight)
2. Are you in Michigan
3. How much are you paying for gold based on 900.00 an once for 10kt, 14kt, 18kt, 21kt, and is that by penny weight, or gram weight as you are well aware there is a big difference.
4. What kind of license do you have
5 Do you explain to your customers that who is paying the 10% commission.
6. If you are in Michigan have you explained to the host that there is a 5,000.00 dollar fine, and up to 2 years in jail for them hosting one of these parties in their homes with out the proper license.
Virginia
I do not understand what complaints you are talking about, we are not complaining we are just trying to give information out to the public to protect themselves. We do not like to see people being cheated, day after day we have people coming into our store telling us how they have been cheated not only cheated, but fraud is being committed by some of these people. example when you tell the people who are selling their gold that you are buying it by gram weight, and you are buying by penny weight you are committing fraud. That is all we are trying to say.
Thank you so much for your information. I am in total agreement with you. I am a teacher in a school and I listen to these educated people talking about how much money they got in their gold parties and I shudder. No one knows how it is measured, how it is payed out, how they differentiate between karats…they don’t even know the current rate that gold is going for. How can they possibly get fair price? Like lambs to the slaughter! Thank you for your truth!
I knew you wouldn’t post my entry. Nobody likes to be exposed.
Mr. Fitzsimmons your reply was posted right in the post you replied at you left your reply under gold party scams how they do it. If you go there you will see it, I would also like to take the time to thank you for your reply, and we are so happy that you wife received the right amount of money from her jewelry items. Our intention with the post we wrote was to let good people like you know how to understand what is being done out there. We do not imply that every gold party is the same, I am sure that there are plenty of good honest people out there running good and fair gold parties, and it sounds like your wife was at a good party. If you do not mind me asking did she sell at penny weight or gram weight, and when did you sell the gold and at how much per penny weight or gram weight. In the end if you and your wife are happy with the end results then that is all that matters. If we can be of any further assistance do not hesitate to ask.
Thank you
N.J. Diamonds
Thanks for your reply. It was indeed sold at gram weight, and the buyer at the party explained the difference to the attendees, and even had the explanation printed on the brochure they used. It was explained how many grams equal a troy ounce, and that the gold was bought based on the price that day (which had actually dropped about $3 per ounce from the previous day). Very nice experience, and we were very happy with the results, especially since we did our homework prior to attending. _Bob
As long as you weigh on grams, pay on grams! Weigh on dwts., pay on dwts.!Not rocket science and shame on scamsters!
As long as you weigh on grams, pay on grams! Weigh on dwts., pay on dwts.!Not rocket science and shame on scamsters!…….what kind of license is needed? prospectors just had a pick and axe and exchanged gold for cash
Njdiamonds, i see you here being very indiscript and throwing around dwt and gram weight.
What percent EXACTLY do you pay of spot value???
Anyone with very little or no experience does not even know what spot, dwt, gram or katet means. Please sir, tell me EXACTLY what percent of spot value do you pay.. And before you go on about the differences between 10k, 14k,18k, and so on, please understand the average consumer will never know that 14k is only 58.3percent pure or 18k is 75percent pure. What percent of spot do you pay for the pure gold contained in the jewelery.?? Thank you
That way anyone with some time spent on the internet and a cheap scale can know exactly what their gold is worth before they leave their house, and can not be taken advantage of.
In fact why dont you post a VERY CLEAR formula to help people determine how much pure gold is contained in the jewelry they wish to sell. I think that would be a much better public service that warning people not to get scammed. When it all comes down to it unless the customer knows exactly what they have, or have a personal relationship with the buyer, they are still at the mercy of someone they do not know even if the scales are registered or the have a permit. POWER TO THE PEOPLE!!!
And… One more thing, anyone who has ever sold anything to a jeweler or a pawn shop knows that they NEVER tell you exactly what the gold is worth in comparison to what they are paying out. When is the last time any business lets you know exactly what their profit margins are? Everyone down the line needs to make a profit to stay viable. As with any purchase or sale if you feel the deal is good, than it is. Unless both partys know excatly what they have, someone can get ripped off. And the only way the people selling the gold can protect themselves is to have a very good idea ahead of time what their jewelry is truely worth based on the actual gold content.
Why dont you be a leader in the industry and tell your customers the exact value of their gold and then explain in detail exactly what percentage you are taking for yourself.
That my friend is the ONLY way to absolutly guarantee the best deal for the customer, and make sure that noone gets taken advantage of.
Without that happining their is absoultly no reason for the article posted above except to scare people into staying away from gold partys.
Jason As you can see we did write a very detailed post on this last April you can read all of it write here.
THE GOLD PARTY SCAMS HOW THEY DO IT 4-29-2008
THE PURPOSE OF THIS LETTER IS TO EXPLAIN WITH NUMBERS HOW YOU CAN BE CHEATED AT THESE
GOLD PARTIES WHICH ARE GOING ON AT HOMES, RELIGIOUS PLACES, SCHOOLS.
FIRST LET’S AGREE ON ONE SIMPLE THING “ NO BODY DOES BUSINESS TO LOSE”.
I WILL START WITH SIMPLE NUMERICAL VALUES.
1- ONE TROY OUNCE = 31.103 GRAMS
2- 1 DWT = 1.5551 GRAMS ( THIS IS KNOWN ALSO AS PENNY WEIGHT )
3- PURE GOLD IS 24 KARAT OR 999.9 PURITY.
4- 21 KARAT GOLD IS 0.875 PURE OR 21/24= 0.875
5- 18 KARAT GOLD IS 0.750 PURE OR 18/24= 0.750
6- 14 KARAT GOLD IS 0.585 PURE OR 14/24= 0.585
7- 10 KARAT GOLD IS 0.417 PURE OR 10/24= 0.417
THE DAILY PRICE OF GOLD WE SEE ON THE NEWS EVERY DAY IS FOR ONE TROY OUNCE . IF YOU DIVIDE THAT PRICE BY 31.103 GRAMS YOU WILL FIND THE PRICE BY ONE GRAM OF 24 KT GOLD.
FOR EXAMPLE :TODAY’S PRICE $880 PER OUNCE DIVIDE BY 31.103, THIS GIVES 880/31.103=$28.29 A GRAM
FOR 21KT , THE PRICE IS $28.29X 0.875=$24.75 A GRAM.
FOR 18KT , THE PRICE IS $28.29X0.750 =$21.21 A GRAM
FOR 14KT , THE PRICE IS $28.29X.585 =$16.54 A GRAM
FOR 10KT , THE PRICE IS $28.29X.417 =$11.79 A GRAM
SOME OF THE GOLD COMES WITH CUBIC ZIRCON OR OTHER SYNTHETIC STONES, AND SOME ARE NOT
EXACTLY ACCURATE IN KARAT. AFTER MELTING WHAT WE BUY WE NORMALLY LOSE FEW GRAMS ,
AND 0.5 POINT IN KARAT WEIGHT.
WHEN WE SELL THE SCRAP GOLD , WE GET 93% OF THE DAILY PRICE OF GOLD AT THE TIME OF SALE,
SIMPLY BECAUSE THE REFINERY WANTS TO MAKE SOME PERCENTAGE .
NOW, WE WILL SHOW IN NUMBERS HOW PEOPLE GET CHEATED !!
IF WE TAKE ONE GRAM OF 21KT AND SELL IT AT TODAY’S PRICE…
$24.75 X93/100=$23.01 PER GRAM
TODAY WE PAY OUR CUSTOMERS $19.50 PER GRAM.
THE PROFIT PER GRAM IS : $23.01- $19.5=$3.51. WE HAVE TO PAY TAXES AT THE END OF THE YEAR ON ALL OF OUR PROFITS.
THE PROFIT PERCENTAGE PER GRAM=3.51/23.01=0.152 OR 15.2%
HERE IS THE SCAM………… IF THOSE PEOPLE SPONSORING THE PARTIES AND PAY WITH CASH, PAY
10% COMMISSION TO THE HOST AND 5% TO THE PERSON REFERRING THE HOST TO THESE PEOPLE, AND TO PAY THEIR EMPLOYEES WHOM ARE DOING THE ACTUAL BUYING THE NUMBERS WILL SHOW
A DEFINITE LOSS EVERY TIME EVERY PARTY, THIS IS IMPOSSIBLE………
IN ORDER TO MAKE A PROFIT THESE PEOPLE MUST CHEAT ON THE WEIGHT, THEY BUY YOUR GOLD BY DWT OR PENNY WEIGHT WHICH IS EQUAL TO 1.555 GRAMS, THEY PAY YOU FOR 1 GRAM (ONE GRAM),
THIS MEANS THEY CHEATED YOU OUT OF ALMOST 1/3 OF YOUR MONEY.
THE SECOND WAY IS TO CHEAT ON THE KARAT, BY TELLING YOU THAT YOUR GOLD IS LESS KARAT THEN IT ACTUALLY IS, SOME OF THE PEOPLE WHOM ALREADY WENT TO THESE PARTIES WILL HAVE TOLD US THAT THIS HAS BEEN DONE TO THEM INCLUDING MY OWN DAUGHTER.
THE THIRD WAY IS TO PUT ALL THE DIFFERENT KARATS TOGETHER ON THE SCALE AND PAY YOU FOR
LOWER KARAT PRICE.
THE FOURTH WAY IS TO OFFER YOU AN AMOUNT OF CASH FOR YOUR GOLD LOWER THEN ACTUAL VALUE AND SEE IF YOU WILL ACCEPT IT.
THE FIFTH WAY IS TO CONVINCE YOU THAT THE KARAT STAMPED ON YOU GOLD IS NOT CORRECT,
BECAUSE OTHER COUNTRIES MAY HAVE A STAMP ON THE YOUR GOLD THAT YOU DO NOT UNDERSTAND, HE CAN THEN TELL YOU THAT YOUR GOLD IS NOT THE KARAT YOU THOUGHT IT WAS.
ONE OF THESE GOLD COLLECTORS WHO IS CALLING HIMSELF
( REFINER) DOES NOT HAVE EVEN AN ACTUAL ADDRESS FOR HIS REFINERY,AND DOES NOT REFINE ANYTHING, HE SELLS $500,000.00/WEEK TO THE SAME REFINERY WHERE WE SELL OUR GOLD, WE RECEIVE 93% FOR OUR SCRAP, HE RECEIVES
92% FOR HIS GOLD BECAUSE HE WANTS CASH FOR HIS GOLD.
FINALLY, WE LIVE IN THE COMMUNITY THAT WE ARE DOING BUSINESS IN JEWELERS, WE ARE LIKE LOTS OF HONEST JEWELERS IN YOUR COMMUNITY,WE SUPPORT LOCAL SCHOOLS, LOCAL RELIGIOUS AND NON PROFIT ORGANIZATIONS, WE ARE HERE TO STAY, NOT TO CHEAT, AND RUN WE PAY OUR TAXES LIKE ALL OF YOU DO.
MY ADVISE TO ALL CUSTOMERS, BEFORE YOU SELL YOUR GOLD AT THESE PARTIES, WEIGH YOU GOLD AT YOU JEWELER, DIVIDE YOUR GOLD INTO BAGS ACCORDING TO KARAT WEIGHT, AND ASK FOR THEIR PRICES , THEN COMPARE BETWEEN THE TWO.
In an attempt to always keep you informed, and to keep with our store policy of honesty, and the best customer service we can offer at N.J. Diamonds we are adding the fallowing notice to this post.
Notice:
As of today 1-1-09 we are unable to offer you our customers the same rate as when this post was written. The company that we sell our gold to is no longer offering the same percentage as they were at the time of the this post. We still offer a very good rate, but you will see in our store that it is not as high as it was. We are sorry for this, and when, and if we find a company that is willing to offer us more for our scape gold we will be passing this on to you as well.
As always we want to keep you informed as to what is going on, and we like to be as open with you as we can. As always make sure you take your gold to as many places as you can to get the most you can for your jewelry items
Thank you
N.J. Diamonds
To: NJ Diamonds
I do Gold parties and i pay the host $1.00 dollar per gram. I make $3.50 per gram based on that days spot price. I know you will say at those numbers i am more than fair compared to what is going on out there. However, if you will email i will be happy to help you get 95 -97% for your gold if you are not getting that already.
Additionally, I want to warn the general public in every forum I can that these national companies(all of them no exceptions)that say they are coming to your city and they pay the highest price at such and such hotel ect ect are complete ripoffs and that gold sellers are much better off dealing with a local reputable dealer who will explain the gold business.
Thanks Fred
Fred
Thank you so much the way you are buying your gold is very fair. We thank you so much for your honesty, and thank you for the offer, but we did find a place that is taking it at a higher rate then we were getting. Keep up the good work, and we could not agree with you more about the national companies that are swooping in like vultures on communities, and city’s across America.
N.J. Diamonds
Hi Fred,
where do you do parties out of? I would love to talk with you off line for some advice.
Very interesting information. Just so you know, I sell the equipment used to manufacture jewelry and one of the items is a gold analyzer. I have checked quite alot of jewelry with this machine and have found that many pieces are under or over karat. Normally they are right on but I do come accross some items that could be 4-6 % under what it should be. I have checked my own jewelry and found some to be higher or lower than it should be. You can never be exactly sure of what you are buying or selling based on scratching the jewelry on a stone and doing the acid test. If you do buy that much gold, it would be in your best interest to look into a machine like this one. Another thing, I think you should be able to get better rates than 93% return on your gold. If you want some names, let me know.
Thank You Peter we will take a look at your site might be something we would like, and if you have a list of people in Michigan Dearborn Area let us know
N.J. Diamonds
peter i work at a coin and bullion shop out of ohio, and we have turned awat “gold” that was checked with the machin. your comment on the acid and stone is quite the opposite. the stone and acid is much more efficiant when checking for real gold, because the machine can be fooled by a piece that has had a thick electroplate. experienced gold buyers with stones and acid are much more accurate than some expensive machine, hands down.
What do you know about The Gold Refinery out of Michigan? They have agents doing gold parties in SC. We heard that in SC, you don’t have to have a license, but in GA, you do. One lady tried to have a party in GA and was told if she did, she’d be arrested unless she had a license. Also, we hear that they deal only with CASH. Where’s the accountability and who reports it to the IRS?
Belle
There are so many coming out of Michigan it is hard to say who it may be, and they change their names so often we can not keep up any more. Licensing is done state to state so you would have to see your local city what they require. We also give cash, but we, as are they required to give a receipt for every transaction that they do with a driver licenses, and date of birth. As for accountability, and who reports it to the IRS? We as a jewelry store must have a business licenses, and we have a second hand dealer licenses, most of these gold buying companies that go from home to home do not have the same thing. They can operate with a computer, and some cell phones, we on the other hand have a business in a community we have a reputation to up hold. If you want to get a hold of these companies you call a cell phone there is no brick, and motor building you can go to.
Thank you
N.J. Diamonds
Maybe with your complete honesty that only you have, you would like to explain to everyone.
1. That there is only one system for weighing in penny weights, that is why most reputable jewelry companies use it. That would be Troy system.
2. That the gram unit of measurement is the most scammed, since there is two systems that use grams and they are not equally in weight, hence the riddle; “What weighs more a pound of feathers or a pound of gold?” The answer, is feathers, because they are weighed in the avoirdupois system and not troy system. So one can show when selling a cheaper price per gram, or when buying a higher price per gram.
If the gold is weighed in penny weighs and the equal amount of gold is weighed in troy grams the price paid would be the same, so in being a straight honest person, don’t miss lead them or confuse them, as with the blogging saying penny weights are bad. That is not true!!!!!!
Todd
Thank you so much for the information, this information we have known for the past 25 years. You are not telling us anything that we do not already know, but your comments are just a wee bit misleading. To reassure all this is what we have to say, it is not the system of weight that is the problem Todd penny weight (dwt) or gram weight it is how that system is being used to cheat the public. Let us show you how it is being used.
At N.J. Diamonds we are at this moment giving 20.00 per gram for 21kt gold. That would be the same as giving 31.00 per dwt or penny weight if they wanted to give the honest price per penny weight that is what it should be. Everyone get a calculator, and do this 20.00 multiply by 1.55 = 31.00 that is what you should be giving by penny weight, are you I dare say not.
What they will offer you will seem so much higher then a jewelry store like ours if that jewelry store is conducting themselves in the right manner that is. What you will be told by them is 23.00 now do you want to know how much you are really getting well lets try it, and see. Take the 23.00 and divide it by 1.55 and see for yourself you get 14.83 so as the person who may be selling your jewelry what would you rather get 20.00 or 14.83 its up to you, but the last time I looked no one would like to get less for the same amount they are selling.
So dear readers its not the measuring system that is the problem it is the way the measuring system is being used. If you want to buy by penny weight buy for the honest and oh yes I used the word that I like so much honest amount of money by penny weight.
We are going to be doing a post today about this in more detail we feel that it is important for you are readers to have a full set of tools at your disposal.
Penny Weight vs Gram Weight
Thank you
N.J. Diamonds Diamond engagement rings and more.
what about the stones in the gold jewelry what is done with them ???
Betty
In the area we are in most of the gold we take is 18kt, and 21kt some of this gold has a lot of synthetic stones, all the stones are taken out of the gold jewelery before we scape it. Stones do have weight to them, and we do deduct for the stones before we buy the scrape gold from the customer. Some we can keep for repairs, but most are broken so they are thrown away.
I own a jewlery store these people are making bank and ripping people off it can promise it. Plus it takes one person to come and pull off a robbery and it is very easy looking at how these events go.
Do I understand correctly that you are suggesting that everyone should be buying in grams? Gold is bought and sold in troy ounces around the world. As you know, 20 pennyweight equal one troy ounce. This system is very clear and a seller can easily understand. Buying in grams is much more difficult for a seller to understand because there are 31.1 grams in a troy ounce; the odd number and decimal adds confusion. A dishonest buyer can manipulate scales and conversions between grams and pennyweights to take advantage of any seller. This has nothing to do with grams vs. pennyweights.
Additionally, because a buyer chooses to pay a smaller percentage of the actual gold content than you suggest doesn’t make them dishonest. The refiner that you use pays a much smaller percentage than the refiner I use, but this fact does not make them dishonest. They very well may have a different cost structure that doesn’t allow them to pay a competitive rate. The same can be said of gold buyers who pay less than you claim.
I operate an establishment that buys gold and also hosts gold parties. You seem to be upset about the competition of those around you that are paying much less. I suggest that you advertise the amount you pay versus the amount that others pay. If price is the only reason that sellers are choosing your competition, they will flock to you.
I’d like to suggest the possibility that not everyone who pays less than you or I is a con-artist. It is possible that that they have a different cost structure, have a more favorable environment for a potential gold seller or are otherwise operating in a manner that allows them to earn a higher margin. More power to them.
Some folks are taking advantage of the ignorance of some sellers and that is wrong. However, please don’t paint everyone not doing business exactly as yourself as a thief.
Regards,
Douglas
Douglas
We would like to thank you for your comment, but just to clear up a few things let us say this. No, and no we are not saying that everyone should buy in gram weight if you read the post what I do say is that it may be that every one that is selling their gold may not under stand that they are losing one third of the weight of their gold, and that the price by penny weight may not be what you should be getting. If you look at this post here http://njdiamonds.wordpress.com/2009/02/28/penny-weight-vs-gram-weight/ I explain in detail about penny weight, and gram weight, and I have a post about what happened when we sent someone to a gold party, and how they tried to cheat them http://njdiamonds.wordpress.com/2008/04/20/undercover/. As we have said over, and over everyone can operate their business as they see fit, but we have a responsibility to tell the public what they may not be aware of. We did not nor ever have thought of the gold parties that were being operated in our area as competition, we did, and still do think of these type of scam artist as thieves, and people that are taking advantage of a public that is hurting right now. We consider these fly by night operations as disgraceful to all the honest jewelery store operators, and to those of you who are trying to have an honest gold party business. I will paint someone as a thief if as in most case around us at the time they where taking in penny weight way below what we where paying by gram weight, but because the price looked so much higher people thought they where getting a much better price, but the fact was it was way below what we had been paying at the time, and in some case’s still are. As you say “some folks are taking advantage of the ignorance of some sellers” we are trying to make sure that the seller is not taken advantage of for that we do not apologize. We have been buying scrape gold from the public from day one of opening our doors 12 years ago, this is not a new thing to us. All of the jewelery stores around us buy gold, and we have never had a problem with them, it was not even an issue until the vultures entered into our community, and raped it. It was not until all was said, and done, and people started talking, and asking questions that the public in this area realized what had happened, and just how much they lost.
Douglas let me tell you one women who found out only to late that she estimates between the 5 gold parties that she went to she lost more then 30,000.00 dollars on 18kt, and 21kt gold jewelry why because she did not know what penny weight was, and did not under stand how it was being bought from her, she did not weigh her gold, and get a price before she went. I will say it again readers get different prices in your area before you go to a gold party, if you get more for your gold at the gold party sell. We are not getting anything to our pockets by telling you these things, we are not putting out an E-Book for you to download for 50.00 to learn how to sell your gold, and get the most for it.
Most of us out here are working on paper thin margins, the ones who are not working on these margins are those who are running a shady gold party operation that simple. If you are a clean gold party business you welcome what we are saying this gives you a step up on your competition out there. This gives you the opportunity to point out what others in your business may be doing, it gives you the chance to say this is what could happen at other party’s, and this is how we do ours. You should be using these post, and printing them adding links from your web sites to let the public know just how you will not operate your gold party, you should be welcoming the light being shined on these people for who they are. You who are doing it with ethics, and integrity should be part of the solution, not part of the problem, we should be joining hands to fight this kind of stuff, but all we get from some not all is screaming at us that we think of them as our competition and blah, blah, blah, that is all. You want to help fight then help fight for the seller help keep our business clean, spread the word, post links, your customers will appreciate it we know from our own store, and the hundreds of calls we have gotten that they do appreciate it, and they thank us for it.
Douglas you give one tiny little statement in your whole comment about buyers who take advantage of sellers this is wrong one word “wrong” the rest of your comment is dealing with how wrong we are for trying to help the seller under stand what, and how they are selling their jewelry. Instead of you saying good job N.J. Diamonds this is my company this is how we buy the gold, this is the price that we give to our clients. Thanks N.J. Diamonds for helping us show every one what is going on we got one word from you “wrong”, at the very bottom of your post, and that Douglas is why I will keep writing, and letting my readers know what is going on thanks for your help. You would think after one year of writing about this subject that we would find a way to get on the right side of things, to work together to flush out the bad ones, but that’s ok Douglas we will keep doing it, and will not let it get us down.
N.J. Diamonds
I live in London and am interested in starting a gold party business in the UK. Can anyone help me find a buyer/gold refinery in the UK so that I dont have to be exposed to currency fluctuations of doing business with the US? I’d also be very appreciative of any advice you can provide about the type of scales and testing equipment recommended. Many thanks!
So there is a license necessary to do a gold home party? What if you own a pawn shop? I think there is a pawn shop owner in our area that is doing this. Is that legal?
ck
This is probably the worst case of lies I heard in awhile. I am a gold rep for gold parties and you are absolutely wrong on all accounts. I also have worked for jewlers. You are trying to discredit us that are trying to make a few extra dollars in the time of need and make you and your industry seem squeeky clean. Not gonna happen. I will put you in the same class a used car salesperson. You can’t be trusted. I will also tell you that it has been know to have a stamp of a higher karat on a clasp and have the chain test out at a lower karat. I see it all the time. Jewelers has mislead the consumers for years. I found in my own collections of gold jewelery that it is not what I paid for. After testing what I was told was an 18k gold chain I found that it actually was 12 Kt. How’s that for honesty? I can speak for myself and most other gold reps. We do not mislead our customers. We do not weigh in penny weight , we weigh in grams only. Where did you get that info from? I am honest with my cust and show them every move I make. I also will go to their homes and test the gold and give them commissions and money for food Do you do that?
This is a pretty lame attempt at trying to run us out of business so that you can continue to rip customers off. I guarantee our pay-out for gold is much more than yours. After all you have to pay all your over head which I don’t have so therefore I can afford to give a bigger pay-out per ounce than you.
Why don’t you try a business that you are good at. Maybe farming
mimimaam
Before you want to call us liars I would like you to go to the post I wrote called Under cover at a gold party, and read what happened there, we still have the paper work in their own writing on their card in the store you can stop by, and see it any time. You can also talk to the person we sent to the gold party, and ask her first hand what happened, and no she does not work for us.
Having said that I will say that I am sick, and tired with people like you that come on here, and tell me that we are so bad that we do not know what we are talking about, that we are liars, and all the other silly stuff that you had to say. Here is what I can not understand you claim you are up front with your clients, that you buy by the gram, that you show them every thing, that you pay such a great percentage. So what the hell is the problem with what we are saying if you are all of those things you say you are you should be great full for what we are saying, and doing. You should be spreading the word to every one, you should be linking to the several post that I have here on this subject. Oh no not you, you would rather insult if what you are saying is how you really do your gold parties then I guess you are a liar because the way you say you are doing them is how we say they should be done. Did you even read what I have written here did you bother to look at the rest of the post on this site. Did you happen to notice that we have been writing about this for one year. Did you notice that we have been buying gold from the public for 12 years, long before you, and your gold parties. No what I think is the problem is that the truth hurts, and that you just may not be doing your gold parties the right way, and just maybe you are not paying out that great rate you say you are. If your rate is so great why did you not post it here, along with your company name, and what state, and city you are doing your gold parties in.
Like the rest that can not stand to have their dirty little secert exposed you run for the insults, and I am better then you shit, and all Jewelry stores are evil and bad. Well for the oh hell I do not know how many times I have said it NOT ALL GOLD PARTY’S ARE BAD…. do you get it yet is it going in your head. I will continue to tell the public what to look out for, what they should do before they go to a gold party, and how they can protect them selves from gold party’s, jewelry stores, or pawn shops.
You are right these are very bad times for many many people, and while they are just hanging on trying to find away to pay their bill’s we all of us in this business should make sure that while they are down they are not kicked. If you care, and if you do not want people to get cheated do something to stop the people who are doing the gold party’s that I describe here on this blog be part of the solution not part of the problem. If you can not do that then shut the hell up, my readers do not want to here your whining, and the people that have already been cheated do not want to here about how great gold parties are, what they want from us at N.J. Diamonds is to do what we have always done, be fair, and honest.
nj diamonds, im afraid that this post has shown your true colors, there is not a profesional out there that should lose their cool,about someones comments. this guy got to you and YOU couldnt handle the truth. of course you have been writing about this for a year, because you cant handle the compitition in the market.you are basically slandering anyone that has ever hosted a gold partie. you say that not all parties are bad, but by saying this, you are making people feel wary about going to any of them, which makes them feel uncomfortable unless they are in a jewelry store.and no profesional should use profanity, even if a customer has you worked up
Kyle
Thank you so much for your comment we enjoy hearing from all sides of this issue. I did not lose my cool I simply notified the public what to watch out for when going to a gold party, as I have said over, and over again. We stand by our commitment to our customers, and to the public to always keep them informed, we do not apologize for that. As for slander, the gold buying company’s have said far worse about jewelry stores, and we have said that not every jewelry store will give you the best price when it comes to buying gold. Things are tough out there right now, and even more so here in Michigan so forgive me if I would not like to add to the peoples problems, and I would like to see that they get a fair shot. We should all be helping each other to get through these times, and when we can help we will, if you would like to consider what we are doing as anything else is up to you that is fine with us. I do not believe that I use profanity here if I did I am sorry for that, my intention never has been to make anyone feel wary about going to a gold party. The opposite, we would like everyone to feel informed, and confident before they go sell their jewelery any place. As for competition, gold buying party’s are not competition to us we are doing just fine, come in and see for yourself if you would like.
Just for my own information what do you think about someone who sets up shop in their basement, has a scale, and sells, and buys gold with no receipt, pays no taxes, does not have a registered business,no business licenses, cash only sales, this man is buying, and selling gold this way out of his basement so that I suppose would be alright with you just some healthy competition RIGHT THAT IS WHAT IT IS JUST COMPETITION. It is illegal simply, and easy, and that is the kind of stuff that all of us here deal with daily. More, and more people opening up their homes to have nightly gold parties in them, not a business mind you no receipts, no paper work filled out nothing, no taxes just some women getting together to have a good time right, and this does not hurt anyone right ok if you say so I guess. Those are very good places for the thieves to get rid of what they steal from the homes in this area, and by the way the home invasions has gone up over 100% in our area do we have to steal the public once more. You say we can not handle some competition, come live here, and see what is going on, come, and talk to the police and hear what they have to say they have never seen anything like this before, and they do not know where to start looking, they can start with the basement buyers.
Thank you N.J. Diamonds diamond engagement rings, and more.