Saturday, 6 February 2010

Don't be fooled into gold rush, say Plaid

Don't rush headlong into taking instant cash from firms advertising on television what they claim are good prices for gold items. Plaid Cymru Clwyd West candidate for Westminster Llyr Huws Gruffydd has warned that these tempting offers might be far from the best available when people need cash.

He said:

"Rather than rush headlong into selling gold jewellery and other items, perhaps to make ends meet at a difficult time, shop around first. It may be that a local jeweller can offer better prices for gold.

"These are difficult economic times and people may be lured by one of the many television advertisements being broadcast at the moment, sometimes featuring well-known personalities.

"But there ARE other options. Some of these companies advertising on television are effectively taking advantage of people needing extra cash, or struggling in the aftermath of Christmas expenses."

These comments coincide with a Which? report which found that gold buying services advertised on television often do not provide good value for money and recommended that they should be avoided. ‘Which? sent three pieces of brand new gold jewellery to four gold buyers that advertise on television, three independent jewellers and three pawnbrokers. The television gold buyer gave the lowest quotes consistently.

Llyr Huws Gruffydd added:

"The research carried out by ‘Which?’ showed that on average they paid far less than the prices offered by high street retailers, and in some cases the difference is startling. The message is clear - it's worth looking nearer to home for a better deal."

Which? Money warns consumers who want to sell their unwanted gold that the companies advertising their postal services on TV offer bad value for money and should be avoided. Which? sent three pieces of brand new gold jewellery to four gold buyers that advertise on TV, three independent jewellers, and three pawnbrokers.

The TV gold buyers consistently gave the worst quotes, offering on average only around 6% of the retail price for gold compared to around 25% offered by high street retailers. Which? was also concerned that the envelopes used to send jewellery were indiscreet. Further information is available from

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