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5 Common Myths About Selling Jewelry

Are you thinking of opening your own jewelry shop, or simply looking for more ideas since you want to sell your own stash of jewels? You would think that for something that is in abundant supply, selling jewelry would be a walk in the park. Unfortunately, doing so actually has so many intricate layers that you would need to tap an expert to understand how much each piece of jewelry is actually worth.

Today, we’re going to help you debunk some of the misconceptions about selling jewelry, whether it is for commercial purposes or if you are simply trying to sell your own pieces.

Myth 1: There are no standards when it comes to selling gems

“Semi-precious” is a word used to denote many gems, yet it turns out that the word has been removed from the terminology of jewelers. According to CIBJO, the World Jewellery Confederation, which considers itself as the “United Nations of the jewelry business,” “semi-precious” stones do not exist.

On February 2017, CIBJO released its latest version of the Blue Book, which contains standards and nomenclature on gems. “Semi-precious” is considered as a “misleading” term, because calling a gem “semi-precious” demeans its quality—in the sense that a demantoid garnet is more valuable than a poor-quality diamond. In this case, the garnet which is made of better quality is actually more valuable than the diamond.

The Blue Book also covers the issue about synthetic diamonds, the proper terminology for selling gems and jewelry, and other qualifiers for gems, among other important details. It also talks about how some stones are being renamed by sellers because they seem more attractive to buyers. An example of this is the topaz vs. citrine, two gems that can look similar but have different quality. Since topaz is more recognized by buyers, then the seller would rename a citrine gem as topaz even though it is nothing like it, except that it may have similar hues. This is also being used for “popular” stones or the ones that are easily recognizable, such as jade, amethyst, and ruby. Other stones that just have a similar color are being passed off by some resellers as the same thing.

Myth 2: All gold jewelry are created equal

Gold is sold in karats, with the popular 9k, 10k, 14k, 18k, 22k, and 24k variants. The higher the karat, the nearer it is to a pure amount of gold. In layman’s term, a 10k gold jewelry is 10 parts pure gold, out of 24 parts. On the other hand, a 24k gold jewelry means it is 24 parts pure gold. Of course, the higher the percentage of pure gold, the more valuable the jewelry is.

You may be wondering what is added to your gold jewelry to complete the 24 parts—the answer to this is that mixed metals are added into the mixture to produce it. For instance, an 18k white gold jewelry may be mixed with silver and nickel, while copper may be added to give you that beautiful rose gold tint.

So if you’re thinking that the 9k gold chain given by your ex-beau is your ticket to getting rich, think again. The chances of it getting you more than $100 depend on the quality of the chain and how heavy it is.

Myth 3: The bigger the diamond, the more expensive it is

This is a myth that most men would applaud to be debunked — the truth is, size is not the only determinant of how valuable a piece of diamond is. Rather, the value of a diamond is based on its cut, color, carat, and clarity. The rarer the color of the diamond is (in the natural setting, that is), the more valuable it is. Majority of big and elaborate cuts of diamonds (particularly those used in engagement rings) are lacking in some of these aspects, particularly in terms of clarity and color.

Most diamond rings or jewelry are sold with a certificate, which contains information that determines how valuable a piece of jewelry is. If your diamond is given as a gift or if it is a family heirloom, you can tap the American Gem Society or the Gemological Institute of America, which can do it for you for a fee.

Myth 4: The longer an heirloom is within your family, the more valuable it will be.

Well, this is a yes and a no. Your grandmother’s favorite cocktail ring, for instance, can be a priceless piece of jewelry worth thousands of dollars—if it is the real deal, that is. Unfortunately, many trinkets that have been passed from generation to generation are not actually valuable. If you rummage through your granny’s trunk, you’re bound to find a few duds that are actually just baubles or costume jewelry, which was designed in such a way that they mimicked real jewelry so well.

Yet if it is the real thing, then you are on your way to scoring a gold mine. Go to a trusted jeweler or an estimator to find out how much a piece of jewelry is worth. Unfortunately, the majority of jewelers would charge you to examine your jewel, but you can consider this as an investment since if it turns out to be valuable, then you’ll be enjoying the windfall pretty soon.

Myth 5: You get the best prices for sold jewelry in pawnshops.

Unfortunately, this isn’t the case. If you’re in a pinch and you need to pawn a necklace or a ring, remember that you won’t necessarily get how much you think it is worth. Rather, the loan you would be given depends upon the pawnbroker’s assessment of how valuable your property is.
What’s more, it is worth remembering that pawnshops think of your property as an investment. If they pay a specific amount of money for your item, then it should be beneficial for them in the long run. As such, if they give you $100 for an item that is actually worth $200 in the market, then that gives them a $100 profit.

There you go. Hopefully, you are on your way to understanding more about selling jewelry.