Okay, you want to buy or sell gold and are curious if you need to provide personal identification. We know how you feel as you still want some privacy. So to answer your burning questions, you will find the answers here, whether you’re a customer or investor, with the exemptions that apply to make sound, intelligent decisions.
Precious Metal Bullion and Coins
The bullion industry is regulated by AUSTRAC, a federal government body looking at money laundering or counter-terrorism financing. Under their mandate, all bullion companies must implement a system to comply with and control anti-money laundering and the counter-terrorism act.
The most crucial part is that gold dealers need to know their KYC (Know Your Customer) identity to verify you. Therefore, it needs to happen whether it is a purchase or sale. Yet, there are exceptions where identification and verification are exempted, and that is for transactions below the $5,000 mark.
As a result, if you want to buy or sell gold or silver under $5,000, you do not need to provide identification unless asked. Still, there is a limit for buying and selling gold and silver without needing personal identification up to $4999 every 24 hours.
Broken Gold Jewellery, Nuggets, Scrap, etc.
Any other product that is not bullion or coins sold is mandated by law on how transactions are conducted. So, when selling gold to local gold buyers in a state, each has a set of rules. Therefore, the Office of Fair Trade mandated that the dealer complies with the secondhand dealer’s act.
Hence, if you are selling gold, silver, or other precious metals, you must provide identification before a transaction. So, what does this mean for you? If you sell precious metal to a gold dealer, you need a government-issued ID with proof of address.
This can be in the form of a passport, driver’s licesne, firearms license, student ID or KeyPas ID cards.
There is No Limit on Selling Gold
On the other hand, there is no limit on how much gold you want to sell. Whether it is a kilo gold bar, old coin, or gold ring, there are no restrictions on your precious metal’s weight or value. But gold dealers have rules in place to meet their legal obligations to provide you with the best service.
Find a Place to Sell Your Gold
The rates on your gold are based on the live market prices. If you have scrap jewellery to sell, it helps to deal with local gold buyers who specialize in gold, unlike pawnbrokers. Doing this enables you to maximize your profit to bet the best value for any type of gold or other precious metals.
Gold dealers do not charge commission or have hidden costs to cut the sale price. Still, do not expect to get your price in gold as per the spot price, as dealers will present you with a buyback price lower than the live market price.
In addition, visiting a dealer with your identification will allow you to get a maximum return on your sale to receive instant cash or choose a bank transfer.