How your old gold is valued
The jeweller assesses purity — by XRF machine, touchstone or by reading the hallmark — weighs the piece net of stones, and applies the prevailing rate for that purity. Ask to see both the purity reading and the weighing.
A hallmarked HUID piece should need no purity discount. Unmarked older jewellery may be assessed slightly lower, and any deduction should be stated in rupees, not waved away as 'standard'.
Resale versus exchange
Cash resale usually attracts a slightly lower rate than exchange against a new purchase, because the jeweller must refine the metal. Exchange typically credits a higher percentage but locks you into buying from the same shop, where making charges on the new piece may absorb the benefit.
Compare the two on the total outcome, not on the headline percentage.
What you will not get back
Making charges, wastage, GST and hallmarking fees are gone at purchase. This is the single largest reason a piece bought years ago can sell for less than expected even when the gold rate has risen.
Council member obligations
Members must state their buyback basis before the transaction, show the purity assessment, deduct stone weight correctly and issue documentation for the settlement. Disputes can be raised through the Council's redressal process, which carries a 48-hour first response.