Mo, (PressExposure) February 26, 2009 -- Cable and late night television viewers have been inundated lately with commercials about selling your gold for cash. Full page ads in the Sunday newspaper and Super Bowl ads promising hundreds of dollars for your old gold are hard to ignore. Yet many people wonder how the refining process actually works and if it is just a scam. Missouri gold refiner, Arch Enterprises, is debunking some of the myths in gold refining.
"Many companies right now are advertising large cash pay offs for gold," said Julie DiNatale, National Sales Manager for Arch Enterprises. "As a result, consumers are weary of the refining process. There are many companies who are extremely ethical and up front about the amount of money you will receive in your gold settlement, you just need to know what to look for when choosing a refinery."
The gold and silver refining business works by extracting pure gold or other precious metal out of jewelry, coins, dental gold, computer motherboards or other industrial material. Most metals are actually alloys, not pure gold or silver. Metal refineries separate out the precious metals so that they can be repurposed and sold. This is completed through a complex process that is expertly coordinated by a professional metallurgist.
"In order to make sure you are getting a fair price and working with a trustworthy company, every prospective gold seller should investigate refineries prior to submitting your gold," said DiNatale. "There are a couple of key things to look for to distinguish the reputable companies from the pack.
DiNatale offered some key suggestions for choosing a refinery.
1. Always receive a price estimate prior to sending your gold to a refinery. This way, you know an approximate range of your pay out based on current market prices. 2. Find out the percentage of gold price that the company pays. Many reputable refineries pay more than 80% with the remainder covering refining costs. 3. Use a company with a reputable professional metallurgist. A metallurgist with experience will be able to more efficiently and effectively extract your gold from the other metals, yielding a higher percentage of gold refined. Using an experienced metallurgist will ultimately raise your returns and profit. 4. Request payment in a paper check, as opposed to a direct deposit. Oftentimes, companies offer a direct deposit option for your payment in order to ensure a quick transaction. While the lure of the quick payout is tempting, the consequences may not be pleasant. When receiving a direct deposit, most of the time you waive your right to dispute the amount because technically, you have accepted payment. So wait a couple of extra days and get a paper check. 5. Most of all, remember that refining only accounts for the precious metal value. Remove any stones from your jewelry before you send it in for refining, or you will risk not getting them back.