If you want to turn jewellery, coins, or bars into cash at a strong price, treat the process like a small tender. Standardise your information, compare it with a trusted reference price, and create real competition between serious buyers. The steps below follow UK rules and how the London market actually works.
Two quick realities to keep in mind: market prices move throughout the day and quotes can expire quickly. Every number you calculate is a guide, not a guarantee. Your priorities stay simple: protect your net proceeds, avoid legal or security issues, and cut down on wasted time.
Your Sale Price Is Spot Value Minus Costs and Risk
Your net payout depends on the fine metal content, minus costs, margins, and risk allowances. You control how accurate your item details are, how much competition you create between buyers, and when you ask for quotes.
Buyers in the UK usually work from the LBMA Gold Price, a benchmark set by twice-daily auctions at 10:30 and 15:00 London time. They then adjust for purity, form, volume, and their own resale or refining costs. Expect deductions for testing, refining, and handling, plus a small reserve for price movement if you wait before accepting.
What Drives the Offer You Will Receive
Understanding a few key terms helps you compare quotes fairly. Spot price is a live market indication, while the LBMA Gold Price is a formal benchmark used to settle large trades. Asking everyone to quote from the same benchmark makes their offers much easier to line up.
Core Terms You Need to Know
- Carat vs fineness: 24ct is pure metal; 18ct equals 750 fineness (75 percent pure); 9ct equals 375 (37.5 percent pure)
- Troy ounce vs grams: 1 troy ounce equals 31.1035 grams
- Melt value: fine grams multiplied by the benchmark price per gram
Prep Your Items to Remove Uncertainty
Create a simple list of every item with clear photos from several angles. Gather receipts, certificates, or grading reports that prove what each piece is. This paperwork can help you earn resale premiums for signed or antique pieces instead of scrap value.
Hallmark Basics in the UK
Any item described as gold and weighing more than 1 gram must carry a legally recognised hallmark under the Hallmarking Act 1973. Look for a sponsor’s mark, a fineness mark, and an Assay Office mark. You can still sell unhallmarked items, but buyers will usually insist on testing.
Weighing Tips
Use a digital scale that reads to at least 0.01 g on a level surface. Remove dirt and any non-gold parts before weighing. Record the net weight by carat group in a simple log, and keep items grouped by purity to speed up quotes.
Estimate a Walk-Away Number
Calculate your fine metal grams by multiplying the total weight by fineness. Then work out a ceiling value using a recent LBMA benchmark price. Set your walk-away number by subtracting realistic deductions for the type of buyer or channel you plan to use.
Request quotes shortly after the 10:30 or 15:00 London benchmark to limit price movement risk. Ask each buyer to confirm the price basis and how long the quote is valid. Note the benchmark time you used and refresh your ceiling before any meetings or calls.
Choose the Right Channel by Item Type
Bullion dealers are usually best for standard bars and mainstream investment coins. LBMA Good Delivery bars carry marks such as serial numbers and refiner stamps, which support tighter spreads. Specialist jewellers can unlock brand or period premiums for signed or design-led pieces.
Online mail-in buyers offer convenience but demand extra care over insurance and timeframes. Pawnbrokers provide fast cash but usually price more conservatively. Choose your route based on what matters most, speed, certainty, or squeezing out the highest realistic return.
London Options in Practice
London has heavy competition, especially around areas such as Hatton Garden, which can lift prices if you shop around with consistent information. Booking appointments helps you avoid queues and usually leads to faster settlement.
Bring government-issued photo ID and recent proof of address. Many shops operate to High Value Dealer standards and will need these documents. Compare the net amount to you after all deductions, not just headline rates. If you want a face to face appraisal with immediate payment in central London, consider Suttons and Robertsons; see where can I sell gold in London for their service details and locations.
Run a Mini-Tender for Quotes
Send a short one-page quote brief to several buyers with your item list, purity, weights, preferred settlement method, and decision deadline. Use the same format for everyone so you can compare offers side by side.
Build a simple comparison table with columns for price per gram of fine metal, fixed fees, shipping or handling, and settlement time. Remind buyers that you will choose based on the best net amount to you, not the loudest headline rate.
Verify the Buyer and Their Process
Check for any required authorisation with the FCA if the buyer offers credit or operates as a pawnbroker. For larger cash deals, High Value Dealers must run due diligence checks on transactions of 10,000 euros or more under UK Money Laundering Regulations.
Ask to see calibrated trade-stamped scales that have been verified by a Weights and Measures Inspector. XRF testing is non-destructive and shows the surface composition of the piece. Insist on written receipts showing purity, weight, price basis, all deductions, and the total net amount to you.
Jewellery vs Bullion Tactics
Do not melt a premium piece if it has brand, design, or collector value. Signed pieces from respected houses can command strong resale premiums with specialist jewellers compared with scrap prices. For standard investment bars, focus on bullion dealers that publish live buy-back rates.
Certain bars and coins classed as investment gold are exempt from VAT in the UK under VAT Notice 701/21. UK legal tender bullion coins such as Britannias are exempt from Capital Gains Tax for UK residents, according to The Royal Mint. Keep clear records of how and when you bought and sold each item.
Conclusion
Prepare carefully, present consistent information, and anchor your expectations to a regulated benchmark so you can compare offers on a like-for-like basis. Running a mini-tender increases competition and nudges quotes closer to your calculated ceiling.
Check the buyer’s credentials, equipment, and paperwork, then choose the route that fits your item type and timing needs. Refresh your market reference just before asking for quotes, and treat all numbers as guide figures until you lock in a trade. Follow this playbook, and you will protect your downside while improving your final result.
FAQs
How do I check carat and fineness at home?
Look for hallmark fineness marks such as 375, 585, or 750 next to a sponsor mark and an Assay Office symbol. A simple jeweller’s loupe makes them easier to read. If marks are missing or unclear, ask for a non-destructive XRF test at a reputable buyer.
When do I need to show ID?
Most professional buyers must follow anti-money laundering rules and need to verify their identity, especially for larger or cash transactions. Showing ID also protects you by creating a clear transaction record in your name.
Should I remove gemstones before selling?
If stones have independent value or certificates, consider selling them separately. For low-value stones, many buyers will either remove and return them or discount the weight fairly. Always agree in advance how stones will be handled before any testing starts.
Is it better to sell coins to a bullion dealer or an auction house?
For standard bullion coins in good condition, bullion dealers usually pay stronger immediate buy-back rates. Auction houses can work better for rare or highly collectible pieces, but their fees and slower sale process reduce and delay what you receive.
