In these economically constrained times many people are thinking about the next pay check and anxious over what bills to pay. A recent report by Experian pointed that 7 million working people in the UK are officially “working poor”, this means that they face a severe shortage of money to pay the bills at the end of each month.

For this reason more and more people are turning to selling their scrap gold for cash. According to the Financial Times over 70 tonnes of gold jewellery was scrapped in 2010 this was up from 4.5 tonnes in 2005.

Speedycash4gold.com have introduced revolutionary new features on their website, where the value of gold calculated is done so on the live spot price, this has meant that their cash for gold calculator is now and industry leader, in giving the most accurate prices for scrap gold, in that hour.

Recognizing that the scrap gold market is full of people looking to take advantage, Speedy cash 4 gold are also just announced that they will be using an open policy, where by a customer can have a video of their gold being weighed, and coupled with the live spot prices this is aimed at making sure customer feel that their cash for gold value is fair.

When you are looking to sell you scrap gold it is very important to understand the difference between the scrap gold price and the retail price forgold. In principle it is a very simple concept but it is one that allot of people forget and so this leads to disappointments and a feeling that they have been hard done by, especially if they have sold the item to a cash for gold website or postal gold company over the internet. Firstly let’s look at scrap gold prices to understand the factors that influence this price.

The scrap gold price is based wholly on three numbers. These numbers are; the international gold price, the carat value of the items in question and the total weight of the gold alloy parts of the item in question. Nothing else influences the scrap gold price and generally it is lower than the retail gold price.

The retail gold price really has very little to do with the weight or the global price of gold, although sometimes the carat of a particular item can have a bearing on the retail price. The most important factor when it comes to the retail price is how much a jeweller could sell the item on their shop window – this is the retail value. Factors that influence this are the design, who designed the item, who made the item, does the item have gemstones so on and so forth. Secondly, the retail price is always higher than the scrap gold price for a particular item. The reason is simple, the jeweller must cover their cost of sale and so they add a profit margin to the price.

It is very important to understand the differences between these two prices. Many people get confused over this whole topic which usually ends in disagreement. A simple solution would be to use a gold calculator on a postal gold website such as speedy cash 4 gold. Here customers will be able to get a good idea the scrap gold price and compare that against what other companies are offering.