How Does Cash for Gold Pay?

The payout is usually the final part of any cash for gold transaction. It is also what determines if you have been able to get enough substantial value for your gold that can justify its sale. Therefore, you must be well prepared before selling and understand how cash for gold pays.

So how does cash for gold pay? Most cash for gold businesses offer you the ability to choose what form you would like to receive your payout. Options typically include -but are not limited to -cash, checks, bank transfers, and payment solutions like PayPal.

This article will cover the pros and cons of each payment method, and the best practices to stick to when it comes to receiving payment for gold.

Cash

Receiving cash as a payout form is most popular with brick-and-mortar cash for gold stores or pawn shops. With this form, the transaction is like many other transactions. Once you accept the buyer’s offer price for your gold, they give you the exact amount offered in paper currency. In Canada, you’ll most likely receive your cash in Canadian dollars. However, some banks might give you the option to get paid in US dollars.

Pros

  • It’s fast because immediately you drop your gold off, you get the cash in your pocket.
  • It is, perhaps, the simplest way to get a payout.
  • You get exactly the offer price, nothing less.
  • You can immediately spend the cash on something else.

Cons

  • If you just received a huge payout, moving around with large amounts of cash might not be the best option for your safety. 
  • Once you receive cash, the value stays the same.  
  • Depending on how big your payout is, you might still have to deposit it in the bank.

Check

Checks are another very common payout method with cash for gold transactions. However, when you get paid with a check, you eventually have to go to a bank to cash that check. As with all the other payout methods, checks also have pros and cons. Let’s check them out!

Pros

  • Checks are easier to mail, so with a check as a payout option, you can deal with businesses that do not have a location close to you, provided that’s a service they offer.
  • Buyers will directly address checks to you, so if a thief steals the check, they won’t be able to use it.
  • When dealing with a huge payout, you won’t have to carry large amounts of cash around.

Cons

  • Checks might not clear immediately.
  • There’s always the risk of a check bouncing, especially when dealing with a fraudulent cash-for-gold buyer.
  • You can’t use a check you receive to pay for something else with another vendor.
  • You always have to go to the bank to cash your check.

Bank Transfer

Bank transfers (or wire transfers) involve the electronic transfer of money from one bank account to another. Of course, this is another option you can use to receive your payout from any cash for gold trade. Though this may not be as popular or offered by all vendors, you can still request a bank transfer to do business with them.

Pros

  • Transactions are safe, and the security of your payout is guaranteed
  • Money is almost always received instantly
  • This payout option allows you to deal with cash for gold businesses abroad

Cons

  • A bank transfer might be fake, so you should ensure you receive some confirmation that the money has indeed been transferred into your account. 
  • You might also be charged some fees when receiving bank transfers.

Payment Solutions

Payment solutions, in this sense, mean alternative means of electronically sending money like PayPal or Apple Pay. This payout method can be described as a bank transfer. You can store your money in the application’s wallet, cards, or your bank accounts with these payment solutions.

Pros

  • Payment applications are really easy to use.
  • They also provide speed and secure your transactions.
  • They allow you receive payouts from international buyers.
  • They are a very popular payout method with most cash for gold buyers.

Cons

  • Not every buyer might provide alternative payment solutions. 
  • The payment solutions charge you fees for use.

Another alternative payment solution method that is gaining popularity are cryptocurrencies. Suppose you are interested in owning some cryptocurrency, you should ask your cash for gold buyer if they could offer a payout in that form. Of course, you should also be aware that the volatile nature of cryptocurrency means that its value could subsequently increase or decrease.

Best Practices when Receiving Payouts for Gold Payments

  • The payment you receive should always be exactly what the seller offered (except when some fees are charged on the amount with a bank transfer or when using an alternative payment solution)
  • You should not receive checks or bank transfers from businesses that do not have a constant location.
  • You should not settle for a price range from the buyer. They should always provide you with an exact rate and how much they are willing to pay per gram.
  • Most importantly, before receiving any payout from a buyer, you should have gotten offers from other buyers to determine just how much your gold is worth.   

At 401Gold, we guarantee that you receive the accurate value for your gold when you approach us to sell your gold. How? With our payout calculator, you know our offer before even entering the store. 

We also offer the same price you got online through the payout calculator when you come into the store. That is, provided that the price of gold is still at the same level since when you used the payout calculator.

Also, our cash for gold transaction pay by offering various payout methods, so you can always choose the most convenient one. The options include but are not limited to cash, checks, and PayPal.

FAQs

What does Gold Plated Mean?

Gold-plated jewellery is only covered with a thin layer of gold. This means that they are not real gold and are made of other metals, often copper. Most of the time, they are cheaper than real gold, and most cash for gold buyers will not purchase them from you.

How do you convert gold to money?

The only way to convert gold to paper currency in this day and age is to sell it for paper currency. Many places will offer you cash for your gold, and at 401Gold, you can get the most cash for your gold in Canada.

Is gold easy to sell?

These days, gold is quite easy to sell. Physical cash-for-gold businesses like 401Gold are always available to buy your gold. You can also sell it at pawn shops, some banks, and other online cash-for-gold businesses.

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