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Making money trading in Gold.

Discussion in 'Making Money' started by Ste Fishkin, Oct 9, 2011.

  1. Ste Fishkin

    Ste Fishkin "I'm watching you.." - Apricot Jr. VIP Premium Member UnGagged Attendee

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    Just thought I would share a little method I've been semi involved in on and off for 5 years or so.

    It will not ever be too crowded, this is a method used for 1000's of years. Just made easy with modern communication.

    This has been used through the recession but now as we look to be going into ANOTHER dip worldwide prices will only climb, they are lower now than they have been in recent time.

    You will need cash to start up here. Also common sense and a decent calculator and head for figures.

    Also go and hit ebay for a cheap set of precision scales. You want it to measure grams but also grains can't hurt.

    Basic method:
    1. Go to yell.com and grab all the phone books you can. Your going to spend 2/3 days on the phone looking for the best price you can on a gram of scrap gold. Try pawn shops, jewellers and even some places jsut do this! Prices will vary month to month slightly. After the first month keep the names of the top 10 prices and focus on these to see how prices are changing. Get a price for 9ct and 18ct. These seem more common. (I'm no expert)

    Stay local, if you can get paid cash it will help you with taxes. ;)

    2. Once you got some prices go hit ebay. Search for scrap gold or broken jewellery. Condition does not matter, you want proof of how much it weighs and whats the gold content (9ct ect)

    3. Work out whats your maximum you can spend per gram to make a profit locally. Don't go above this and head to ebay. Typically the more scrap in an auction the better price you will get per gram as less people will bid, because of the increased price. You want to target this. Remember to consider delivery charges.

    4. Win the auction under budget, take the gold to the store. Cash in

    Rinse and repeat.
     
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    Last edited: Oct 9, 2011
  2. jtgjustin

    jtgjustin Junior Member

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    Melting the gold down and reselling online would be way more profitable, you can get the equipment for less than 1k
     
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  3. Roparadise

    Roparadise BANNED BANNED

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    Personally I'd go with the trading method first,and then get into smelting,after I attend a class about it,so I dont end up injuring myself.

    What do you guys think about selling it to this company instead of a pawn shop? https://www.sellyourgold.com/
     
    Last edited: Oct 9, 2011
  4. cyberflax

    cyberflax BANNED BANNED

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    Great method, never thought bout it !!
     
  5. facebookdude

    facebookdude Elite Member

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    Yeah not a bad idea at all, i've been looking to get into it but it seems like a massive learning curve.
     
  6. criticalmess

    criticalmess Regular Member

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    melting the gold is problematic as you need to:
    1. spend time & enegry (=money)
    2. it will be hard to sell your own gold bars (no one knows you)
     
  7. Nookie Monster

    Nookie Monster Senior Member

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    How about silver? I see local ads all the time of people buying silver, silver coins, etc. Also don't forget about the lowly copper. There is more than a penneys worth of copper in a penney these days.
     
  8. BreakAllTheClocks

    BreakAllTheClocks Regular Member

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    If you're just doing arbitrage and not adding any value to the product there is no reason to limit yourself to gold. Find anything people are willing to buy locally and get it cheaper on ebay.
     
  9. Roparadise

    Roparadise BANNED BANNED

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    But if you could verify that you got the copper legally,you could make alot of money doing it. Its like $3.27 per pound right now, IDK how much a house contains in copper,but if its enough you could buy a cheap fire ravaged house in Detroit and get all the copper out melt it down and then sell it.

    http://www.bloggingstocks.com/2008/04/01/are-your-homes-copper-pipes-worth-more-than-the-entire-property/

    For those interested in melting metals and reselling them,check out this site about safety information.
    http://www.business.com/directory/industrial_goods_and_services/machinery_and_tools/heat_treating_and_processing_equipment/furnaces/metal_melting/
     
    Last edited: Oct 9, 2011
  10. Ste Fishkin

    Ste Fishkin "I'm watching you.." - Apricot Jr. VIP Premium Member UnGagged Attendee

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    I never even thought of copper... I have a 50KG table made in coper and brass with a glass top doing nothing...

    Gold has always done me well when looking for a bit of quick cash.
     
  11. Roparadise

    Roparadise BANNED BANNED

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    Gold is the best,because it is more in demand,since its a "panic investment".
     
  12. seocontent

    seocontent Newbie

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    Thanks for useful tips.
     
  13. Getwhatchuwant

    Getwhatchuwant Jr. VIP Jr. VIP Premium Member

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    The problem is that most of the ebayers and Clist gold sellers are wanting top dollar. They seem to be pretty educated on the process and are charging a pretty penny for the gold they are selling. I was a DM for a gold buying company for a year with 9 stores total, trust me I looked around and the prices they want suck..
    Also the local gold buying places dont pay as much as a refinery would.

    I am not affiliated with these guys but they pay over 90% spot price: hxxp://usgoldbuyers.com

    You may be able to make money by being Blackhat in the real world. What I mean is get with the employees of these local shops and let them know that if they have a customer they cant buy from to call you. Then give the employee a referral fee on the side.

    Most of the gold buying stores pay 50% or less to start but may negotiate to 60%...after that they usually let the customer walk unless they have a HUGE amount of gold. Those walking customers are YOUR customers especially if you can go directly to the refinery (like in the link I posted) and get a good price. Just DONT get burned.

    There are alot of BH gold sellers out there too so you have to know what you are doing or you will end up with worthless metal and paid for gold!
     
  14. Roparadise

    Roparadise BANNED BANNED

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    Melting gold

    http://www.youtube.com/watch?v=sbbgWPt3G1Y
     
  15. stressfree

    stressfree Senior Member

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    yeah i want to get into an offline biz with my profits but not found one yet. Something completely 100% offline that I can scale big. No BH B*S*.
     
  16. veejayshakthi

    veejayshakthi BANNED BANNED

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    rellay its a good idea, there are lot of gold melting shop in my area, let me try.............thanks
     
  17. Fireboltgirl

    Fireboltgirl Regular Member

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    http://www.tigermetalsexchange.com/main/
    These guys will send you a free jewelery Appraisal Kit (includes scale, eye loupe, packaging to send them your jewelery, freight service + insurance cover up to $75,000). They are an exchange and will want to buy your metal - hence the free kit.
     
  18. Roparadise

    Roparadise BANNED BANNED

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    Is there any way to estimate the weight of a ring from a pic?
     
  19. Getwhatchuwant

    Getwhatchuwant Jr. VIP Jr. VIP Premium Member

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    Where do you see that? What type of scale?

    If it is an electronic scale some of those got for hundreds of dollars...LOL..they can be scammed pretty easy into sending you the items and then selling the gold buying kits on Clist.

    They must have you sign something saying you will send it back or pay them some odd fee if you dont generate xx amount of $$ for them.
     
  20. mockba

    mockba Junior Member

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    interesting, I remember this knife selling company from NY (I forgot the name) that used to do presentations of their "amazing" scissors by cutting a penny into a cork-screw form. They were sure that in Canada you are allowed to tamper pennies and 5 cents, but not 10 and higher. If that is true, Penny being 2.3g, it would take ~$2 to make a pound...which was selling in $3.50-$3.90 range. If that is really true, just got to figure out the paperwork in case you being checked for where it came from..

    then again, I am not 100% sure what the purity in those coins..
     
    Last edited: Oct 11, 2011