Why Condition Does Not Affect Melt Value
A gold chain snapped in three places contains the same number of gold atoms as an intact chain of identical weight and purity. When a refiner melts down gold, the result is pure metal regardless of what form it arrived in — polished bangle, broken earring, or loose fragments. Buyers pay for the gold content, and gold content is not diminished by physical damage.
The only legitimate reason for a buyer to offer less for a specific piece is if the damage reveals that it is not what it appears to be — a hollow chain with a base-metal core, or a gold-filled piece rather than solid gold. These are purity and composition issues, not damage issues. When intact solid gold is damaged, the offer should not change.
Identifying Solid Gold vs Gold-Filled or Gold-Plated
Solid gold is the same metal all the way through. When broken, the cross-section shows the same colour and properties as the surface. Gold-filled (also called gold overlay or rolled gold) is a base metal — typically brass — with a thick layer of gold mechanically bonded to the outside. When broken, you see the base metal exposed. Gold-plated jewellery has only a micron-thick coating of gold over a base metal, and it appears in the market looking identical to solid gold but is worth a fraction of the price.
XRF testing is the definitive tool for this distinction. It reads through any surface treatment and reports the underlying alloy composition. A gold-plated item will show the XRF reading for the base metal (often brass or stainless steel) rather than gold. Never accept a verbal assurance of purity without the XRF evidence behind it.
Aggregation tip: Collect every fragment of scrap gold — broken chain links, bent bails, small earring posts — into a single sealed bag. Bring them together to your appointment as a single lot. Buyers are more attentive and competitive on larger aggregate weights, and even small fragments contribute to your total payout.
Getting the Best Price for Your Scrap Lot
For scrap gold, all the same principles apply as for standard jewellery: insist on XRF testing for each significant piece or group, watch the weighing process, and verify the purity-adjusted calculation. For a mixed scrap lot with pieces of different purities, ask the buyer to test and quote each group separately — mixing 916 and 750 pieces together in a single weight average calculation disadvantages you if the 916 proportion is higher.
Reputable buyers will separate your scrap by purity group and pay accordingly. If a buyer insists on treating your entire lot as a single average purity without testing individual pieces, that is a flag. A 5-minute sort and separate test for each purity group is not onerous and is the correct practice.
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