Beware the TV gold scammers, warns Which?
Date:
2 February 2010, Author:
Steven Jackson
TV adverts offering people the chance to sell their unwanted gold by post are paying “shockingly low rates”, an investigation by consumer advice group Which? has found.
Cash-for-gold firms advertising on TV pay an average of just 6% the new retail value of gold, Which? discovered.
CashMyGold gave the lowest quote of all, offering £6.43 for a gold bracelet worth £115, and £22.50 for a gold necklace worth £399.
One TV gold merchant, Money4Gold, held the £399 necklace to ransom, claiming it was “not gold” and demanding a postal order for £9.95 to return the item.
High street pawnbrokers and jewellers both offered better value, Which? found.
Pawnbrokers quoted an average of £26 for the bracelet and £80 for the necklace, while high street jewellers offered on average £33 for the bracelet and £102 for the necklace.
Which? said the research raised “serious concerns” about the unregulated cash-for-gold market.
“People should be wary of buyers’ adverts, as our research shows that they certainly could get more money for their gold elsewhere,” said Peter Vicary-Smith, Which? chief executive.
Source:
Finance Markets 