Thursday, June 9, 2011

What is scrap gold?

See more about gold and silver

That piece of gold chain that broke, an inherited piece of unfashionable or broken jewellery, an old coin or just a bit of thoughtless jewellery you though was junk may all have a resalable value.

This type of gold is known as scrap gold. Scrap gold is any gold item regardless of size or functionality. The only useful function left for the precious metal is to be melted down and remade into other gold objects.

Recycled gold is not a new idea, in fact throughout history conquered nations would have to give up their own gold and offer it to their new masters. This would then be refined and re-formed to add to their new ruler’s wealth. This is one meaning of the term “the spoils of war”

Scrap gold has a value because it is cheaper to melt and then refine used gold than the huge costs involved in the process of mining and getting it out of the earth.
As there is a relatively small amount of gold on the earth so by collecting scrap gold you are recycling the metal and are able to earn a small income from re selling it.

With the value of Gold so high there has never been a better time to start collecting and trading Scrap Gold.