Weddings, festivities or a shield against financial uncertainties, gold can serve various purposes. Having said that, buying gold jewellery can serve a dual purpose – it can be a fashion accessory and act as an investment.
The sparkles of gold jewellery might entice you, but it is crucial that you do not make any hasty decisions. Purchasing gold jewellery might seem easy, but it is important to stay up-to-date to make an informed buying decision.
The following sections mention a few tips on how to buy gold jewellery. So, read on.
Gold’s price varies by city due to demand, import costs, and other factors. Cost of transportation, octroi charges, taxes, and other charges incurred in obtaining it determine its daily rate. Gold rates, for example, are lower in port cities than in interior cities. Every city's gold price is updated twice a day (morning and evening). Further, labour cost in the production of ornaments varies across cities, influencing gold rates for each product. Before purchasing gold, it is critical to understand the current gold rate in your city.
Gold’s price depends on its weight or per gram. It fluctuates daily across different locations. You must check the rate on the date of purchase using various sources, including reputable websites. Jewellers also provide the daily gold rate based on the charge per gram. When purchasing an ornament, carefully inspect its weight and calculate the cost based on the gold price on the day of purchase. You must exercise extreme caution if you purchase a piece with precious stones, such as diamonds. To avoid paying extra, ensure the gold is weighed and billed separately.
Jewellers provide an option of buyback to allow you to exchange your old jewellery in order to stay current with fashion. Although gold’s value remains constant, the jeweller will deduct making charges when accepting the gold. They will calculate gold’s value on the buyback date based on current rates. You will only receive a return based on the current gold rate, regardless of the date of purchase. One of the best tips to buy gold jewellery is to consider the seller's buyback policy. As a result, you must discuss and comprehend your jeweller's buyback policy. According to the RBI, the buyback option is unavailable if you buy gold coins from a bank.
Since gold is a precious metal, it is essential to indulge with caution while buying gold jewellery. Consider the above-mentioned tips before you embark to purchase this yellow metal.
Frequently asked questions
Is it better to buy gold bars or jewellery?
The comparison between gold bars and jewellery depends upon your individual preferences. These gold forms exhibit different characteristics and are an excellent investment option. However, when it comes to gold bars, they are more expensive to buy, and it can become difficult to sell them. Additionally, they do not work in barter.
How can you tell if jewellery is good quality?
To determine whether gold jewellery is authentic or not, you need to search for a hallmark sign. If a piece of jewellery misses this sign, it indicates that it might be a fake.
What month is the best time to buy jewellery?
In India, the best month to buy gold jewellery is around the time of Dhanteras, as this is when Goddess Laxmi is worshipped.
What are some things to keep in mind before buying gold jewellery?
Here are some things you should consider when buying new gold ornaments:
Consider making charges and GST when calculating the cost
Ensure that the gold has a BIS hallmark and comes with a certificate of authenticity
Ask for a physical receipt that consists of all details about the gold and lender
Purchase gold from authorised dealers and stores
Make sure that the claimed weight of the gold is accurate
Check the latest gold rates to budget better and make financially wise decisions
Explore More
