Based upon recommendations from this forum I have sold my gold to Midwest for a year now because they pay at 95%.
WELL MAYBE.
I recently questioned why my calculated value differed from what I actually received from them. The following is their response to my inquiry
"Dan, orders under 3 troy ounces are purchased outright, as it is not cost effective to do an assay on small amounts. The items are tested and purchased on averages of similar karat as follows: 10K = 39%, 14K = 55% and 18K = 71% (no karat gold comes out to be plumb). There is also a 2% to 4% after melt weight loss factored in, because eventually small orders are combined and melted at a later date, after we settle with our customers. The settlement report is not filled in, in all the boxes, when we purchase small lots outright. Lots over 3 troy ounces are melted and assayed to get exact numbers. Either way, you receive 95% of the amount of pure gold contained and whatever the spot price is, at the time of settlement.
Regards, Gary Frenkel
Midwest Refineries
"
I guess if we use .583 for 14k estimates we are mistaken because K markings are not accurate.
The response explains a lot and gives the reason why I have always been disappointed when I receive a check for my gold sales. First deduct 3% for the melt loss....then deduct another 6% for the k difference .... only then multiply the result by the 95%
95% IS NOT 95%
I think this probably is fair but all should know up front that:
18k is not .75 it is .71,
14k is not .58 it is .55
and 10 k is not .416 it is .39
WELL MAYBE.
I recently questioned why my calculated value differed from what I actually received from them. The following is their response to my inquiry"Dan, orders under 3 troy ounces are purchased outright, as it is not cost effective to do an assay on small amounts. The items are tested and purchased on averages of similar karat as follows: 10K = 39%, 14K = 55% and 18K = 71% (no karat gold comes out to be plumb). There is also a 2% to 4% after melt weight loss factored in, because eventually small orders are combined and melted at a later date, after we settle with our customers. The settlement report is not filled in, in all the boxes, when we purchase small lots outright. Lots over 3 troy ounces are melted and assayed to get exact numbers. Either way, you receive 95% of the amount of pure gold contained and whatever the spot price is, at the time of settlement.
Regards, Gary Frenkel
Midwest Refineries
"
I guess if we use .583 for 14k estimates we are mistaken because K markings are not accurate.
The response explains a lot and gives the reason why I have always been disappointed when I receive a check for my gold sales. First deduct 3% for the melt loss....then deduct another 6% for the k difference .... only then multiply the result by the 95%
95% IS NOT 95%
I think this probably is fair but all should know up front that:
18k is not .75 it is .71,
14k is not .58 it is .55
and 10 k is not .416 it is .39