The worth of 1 gram of scrap gold is not a single fixed amount, as its value depends significantly on its purity (caratage) and the prevailing market price of gold. Scrap gold prices can fluctuate daily, reflecting changes in the global gold market.
Understanding Scrap Gold Value by Purity
Scrap gold is valued based on its purity, which is typically measured in carats (ct). The higher the caratage, the more pure gold is present in the item, and consequently, the higher its value per gram. For instance, 22ct gold contains more pure gold than 18ct gold, and thus commands a higher price per gram.
Here's an overview of approximate prices per gram for various common gold purities:
| Gold Purity | Price per Gram (£) |
|---|---|
| 12ct Gold | £29.45 |
| 14ct Gold | £34.34 |
| 18ct Gold | £44.17 |
| 22ct Gold | £53.95 |
What do carats mean?
Caratage indicates the proportion of pure gold in an alloy, out of 24 parts.
- 24ct gold is 100% pure gold.
- 22ct gold means 22 parts gold and 2 parts other metals (approx. 91.6% pure).
- 18ct gold means 18 parts gold and 6 parts other metals (approx. 75% pure).
- 14ct gold means 14 parts gold and 10 parts other metals (approx. 58.5% pure).
- 12ct gold means 12 parts gold and 12 parts other metals (approx. 50% pure).
Factors Influencing Scrap Gold Prices
Beyond purity, several elements can influence the amount you receive for your scrap gold:
- Live Gold Market Price: The global market price of gold changes constantly. Buyers of scrap gold base their offers on this live price. When the market price of gold is high, the value of your scrap gold increases.
- Buyer's Processing Costs and Profit Margins: Companies that buy scrap gold (such as refiners, jewelers, or pawn shops) need to cover their operational costs, including refining, testing, and administration, and also make a profit. Therefore, they will offer a price that is typically slightly below the melt value of the gold.
- Weight and Volume: The total weight of your scrap gold, measured accurately in grams, directly impacts the overall value. Some buyers might offer better rates for larger quantities.
- Testing Accuracy: The method used to test the gold's purity (e.g., acid testing, XRF analysis) can affect the perceived value. Reputable buyers use precise methods to ensure accurate assessment.
How to Maximize the Value of Your Scrap Gold
To get the best return for your 1 gram of scrap gold, consider these practical steps:
- Identify Purity: If possible, check for hallmarks or stamps on your gold items that indicate their caratage (e.g., "18K", "750" for 18ct, "22K", "916" for 22ct).
- Weigh Your Gold: Use a precise scale to get an accurate weight in grams. This will help you estimate its value before approaching buyers.
- Research Current Prices: Check reputable online sources for the current market price of gold per gram.
- Get Multiple Quotes: Contact several different scrap gold buyers or reputable jewelers to compare their offers for your specific purity of gold.
- Understand the Offer: Ensure you understand how the buyer calculated their offer, including any deductions for refining or processing.
By understanding these factors and conducting a little preparation, you can ensure you receive a fair price for your 1 gram of scrap gold.
