When it comes to precious metals, gold is the most coveted metal on earth. While this yellow coloured metal has high value, it also has a high sentimental value in India. It is considered auspicious to buy and gift gold on special occasions like marriage and festivals. That being said, gold has a very high market value in the country with people buying different forms such as gold jewellery and gold coins.
Gold is a popular choice of investment and many people purchase gold coins in the form of coins and bars. These are available in different denominations starting from as low as 0.5 grams. If you are planning to buy muthoot gold coins in the coming festive season, here are a few important points related to their evaluation. To help you determine the gold coin rate in the market, be it the selling price of old Indian coins or buying a new gold coin.
IMPORTANT FACTORS FOR DETERMINING GOLD COIN VALUE
Gold is measured in terms of purity and amount. 24 carat is the highest purity of gold where there are 24 parts pure gold in every 24 parts of the coin. The next level down from it is 22 carat where 22 parts out of 24 are pure gold. However, if your budget does not allow for it, other options like 18 carat and 14 carats are available. Anything less than 18 carats is considered to be of poor quality and purity that cannot be used for making jewellery or any application other than ornamentation.
Gold coins that are popularly bought as gifts range in weight from 0.5 grams to 50 grams. The most popular gold coins are 1 gram, 2 grams and 5 grams, although anything up to 50 grams can be bought depending on the budget. For those buying gold coins for investment purposes, the weight ranges up to 50 grams, depending on the budget.
Gold Bullion Coins are investment-grade coins containing 99.99% fine gold and are sold by weight (1 Grm = 31.10 grams).
BIS Hallmark is a mark that authenticates the purity and weight of gold jewellery, coins and other forms. BIS was set up by Government of India in 1987 and has been entrusted with the responsibility of ensuring that consumers are not cheated while buying gold. It checks all gold jewellery, coins and other forms to ensure their quality and authenticity.
1. BIS Logo
2. Purity of the gold item, in Carat or Fineness
3. Logo of the hallmarking centre
4. Jewellery identification mark and number
A gold coin’s value increases as the grade improves. When buying or selling old Indian gold coins, it is important for collectors to understand that some of these coins retain their value in spite of having defects or signs of wear. For example, if you have an old Indian gold coin with a few scratches, you may be able to sell it for less than its actual face value.
When it comes to buying gold coins for investment purposes, you need to make an informed decision about the metal rate of your intended coin. The pricing is dependent on several factors like the amount of metal present in the coin, years of issue and the year it was minted, among others.
Ease of selling
Gold coins are one of the popular forms of investing. They are considered a low-risk investment, because of their long-term capital appreciation and liquidity. Frequently, customers need to know “What do I need to know about gold coins?” The following information will help you understand how to buy gold coins, what forms there are and what is important when buying them.
The gold coin rate of INR 5000 inclusive of 10% making charge is the price at which you buy the gold coins. The gold price per gram in India, at the time of selling has been calculated as follows: [Price at which you buy] -10% (making charge) = [Price at which you sell]