Why Your Old Jewellery Might Fetch Less - The Truth About Purity & Making Charges

Selling old gold jewellery can be confusing – especially when the price you get is much lower than what you originally paid.
Most customers walk in expecting “today’s gold rate × weight,” but that’s not how the industry works.

At True Gold Company, we believe in transparent and scientific gold valuation.
Here’s the real reason why old jewellery often fetches less than expected — and how you can get the best price for it.

1. Purity: The Biggest Reason Your Gold Value Drops

Jewellery is rarely made of pure 24K gold.

Most pieces are:

  • 22K (91.6 purity)

  • 18K (75 purity)

  • 14K (58.5 purity)

When you buy jewellery, the rate you pay depends on its purity.
But when you sell it, professionals calculate the actual purity using machines, not assumptions.

Example

You bought a chain marked as 22K, but when tested it shows 89% purity.
Even a small drop affects the final price.

👉 Lower purity = Lower resale value

2. Stone Weight, Beads & Non-Gold Parts Are Removed

Most jewellery contains:

  • Stones

  • Beads

  • Screw parts

  • Lac

  • Meena work

  • Temple jewellery fillers

When selling, only the pure gold weight is counted.

If your 20g necklace has 2-3 grams of stones, you will be paid for only the gold, not the decorative materials.

👉 This often surprises customers, but it’s standard practice everywhere.

3. Making Charges Are Not Returned

When buying jewellery, a major part of the price is:

  • Making charges

  • Wastage charges

  • Design charges

  • Brand premium

  • GST

These charges cannot be recovered during resale because you are selling only the gold, not the craftsmanship.

Example:

You paid ₹70,000 for a bangle.
₹12,000 might be making charges + wastage.

When selling, you get value only for the gold weight, not the labour.

👉 Making charges = One-time expense

4. Melting Loss May Reduce Weight Slightly

When gold is melted to calculate purity, there may be a 0.5% to 1% melting loss, especially in old or damaged jewellery.

This is because:

  • Dust

  • Dirt

  • Alloy metals

  • Impurities

burn away during melting.

At True Gold Company, we maintain minimal loss through advanced, safe melting technology, ensuring maximum return.

5. How True Gold Company Ensures Fair Pricing

Unlike many traditional buyers, we follow a fully transparent process:

✔ XRF purity testing

No guesswork – we show you the exact karat and purity.

✔ Digital, certified weighing

You see the weight on precision machines right in front of you.

✔ Live rate calculation

We calculate using current BIS Gold Rate.

✔ Transparent deductions

Only impurities and non-gold materials are removed – no hidden cuts.

✔ Instant payment

Cash, bank transfer, UPI – as per your comfort.

This ensures customers always get the highest possible value.

6. How You Can Get Better Value for Old Gold

  • Always sell your gold where purity is tested scientifically, not by manual rubbing.

  • Avoid shops that charge unexplained wastage or melting charges.

  • Keep your invoice if you have it – it helps with transparency.

  • Compare offers from multiple certified buyers.

True Gold Company is known for highest payouts and honest service.

Final Thoughts

Your old jewellery may fetch less due to:

  • Lower purity

  • Removed stone weight

  • Non-returnable making charges

  • Minimal melting loss

But with the right buyer, you can still get the best possible value for your gold.

At True Gold Company, we ensure complete transparency, accurate purity checks, and fair pricing – because your gold deserves honest valuation.

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