Selling Gold Coins, Bars & Biscuits — How Bullion Is Valued

If you hold gold in bar, biscuit or coin form, you are holding the easiest kind of gold to sell — and usually the most rewarding per gram. Bullion was bought as gold rather than as an ornament, which removes most of the complications that reduce a jewellery payout. Here is how each format is valued and what to expect.

Why Bullion Pays More Per Gram

Three reasons, all structural:

• Higher purity. Most bars, biscuits and investment coins are 24K (999 or 999.9). Traditional jewellery is usually 22K (916) or lower, so a gram of bullion simply contains more gold.
• No non-gold weight. There are no stones, beads, thread or lac to exclude. Essentially the whole item is payable gold.
• Nothing was lost to making charges. You never paid a large craftsmanship premium on a bar, so there is none to leave behind at resale.

Format by Format

Packaging, Assay Cards and Serial Numbers

If your bar is still in its sealed tamper-evident packaging with the assay card, keep it that way until the sale. It speeds up verification and confirms the refiner's stated purity.

That said, none of it is mandatory. An unpackaged bar or a loose coin is valued exactly the same way — by testing. If packaging does need to be opened for testing, you should be told before it happens, not after.

How Testing Works on Bullion

XRF testing works on bars and coins just as it does on jewellery: non-destructive, no scratching or melting, and the reading should be shown to you on screen. Weighing is on a calibrated digital scale in your sight. For stamped bullion, the tested purity should match the stamp — if it does not, that is worth discussing before you go any further.

A Note on Bank-Bought Coins

Many people in Chennai bought gold coins from a bank. Banks generally sell coins but do not buy them back, which surprises sellers who assumed they could simply return them. This is not a problem — the coin is ordinary bullion and any gold buyer will value it on weight and tested purity. The bank's original premium is not recoverable, but that is true of any gold purchase.

Deductions to Refuse

There is even less justification for deductions on bullion than on jewellery. There are no stones to remove and no craftsmanship to account for. Watch for:

• "Wastage" or "making charge" — these have no application to a bar or coin at all.
• A purity assumed rather than tested — insist on seeing the reading.
• Handling or verification fees — testing is part of a buyer's normal service.

What to Bring

• Photo ID — Aadhaar is sufficient for most sales.
• PAN card — only once a single transaction reaches ₹2 lakh or more. Bullion sales cross this line more often than jewellery sales, so it is worth carrying.
• Assay card or packaging if you have it — helpful, not required.
• No purchase bill needed. As with jewellery, value comes from testing.

One Exception Worth Checking

Most bullion is worth exactly its metal content. But older sovereigns, commemorative issues or rare coins can occasionally carry numismatic value above melt. If a coin looks unusual, is dated, or came from a collection rather than an investment purchase, have it looked at by a coin specialist before selling it for metal. Melting is irreversible.

The Bottom Line

Bullion is the cleanest gold to sell: high purity, no non-gold weight, simple verification, and a payout that reflects nearly the full metal value. Bring your ID, watch the weighing and testing, check the tested purity against the stamp, and refuse any deduction that does not correspond to something physically present in the item.