Planning To Buy Gold During Dhanteras, Diwali? Here’s A Guide To Help You Save Money & Not Be Fooled

Over the years, there have been reports of some clients being hoodwinked by certain gold merchants. In order to avoid that, here is a five-point guide to ensure you don't get cheated.

New Delhi: Dhanteras and Diwali are two of the most popular Indian festivals where people and stock gold. Traditionally, the yellow metal is also considered as display of richness and a symbol of flourishment. Over the years, there have been reports of some clients being hoodwinked by certain gold merchants. In order to avoid that, here is a five-point guide to ensure you don’t get cheated.

PURCHASE CERTIFIED GOLD

Make sure you that you are purchasing gold that bear the Bureau of Indian Standards (BIS) hallmark. This standard set by the Indian authorities guarantees the purity and quality of gold. Apart from the trademark, you  should also consider the immaculateness code, testing focus’ imprint, the gem specialist’s imprint and the extended period of stamping.

CROSS-CHECK GOLD PRICE

Gold price has a tendency to fluctuate continually. So, the buyer should keep a tap on the gold prices and choose to make the purchase whenever he/she believes is the right time, ideally, when the cost seem to hit its lowest. The cost of gold also depends on whether it’s 22 carat or 24 carat or 18 carat.

CHECK MAKING CHARGES

Check the making charges that include in the final cost of the jewellery before GST which is non-negotiable at all jewellery stores across the country. Check these charges at your jewellery store and ensure that they are based on the design and the market rates. Luxury jewellery stores usually have a higher making charge, resulting in a high cost for the gold item.

AVOID CASH PAYMENT, GET INVOICE

When you buy gold, ideally you should make the payment through credit/debit cards or UPI or other financial channels. There’s a blanket ban on cash purchases above Rs 2 lakh. Also, acquire a receipt for your gold purchase. On account of web based purchasing of gold, you ought to guarantee that the conveyance bundle has not been altered.

GET GOLD FROM TRUSTED VENDORS ONLY

Make sure you buy gold only from trusted vendors. You should guarantee the authenticity and credibility of the seller prior to the purchase.

EVALUATE THE RESELLING PRICE & ASK ABOUT BUY-BACK POLICY

Before you make the purchase, you ought to evaluate the resale value of the purchase and confirm the buy-back policy of the seller. Certain merchants deduct a certain percentage from the gold’s price at the time of reselling, while certain merchants buy back at the same rate.

If you have decided to buy gold for investment purposes, you could also try the possibility of buying Sovereign Gold Bonds (SGBs) presented by the RBI. They are a lot more secure and furthermore give yearly interest.