There are good people as well as bad people associated with almost every business in the world. We can not simply judge a type of business as being good or bad depending on the kind of people that are running it. Most people regard a typical business as good or bad depending on their own experience and thus can not weigh in thoughts of others on the contrary.
Same is the case with gold buyers or owners of pawn shops. A mere thought of pawnshop gives a vague picture of a narrow and tight passage leading to some store with plentiful old and used stuff. However, things are totally different in the real world compared to what we see in cartoons and movies. A pawnshop contains almost every kind of item from electronics to general collectible items which some times worth every penny we spend on them. Also, pawn brokerage is now a certified business in almost every state in US and requires for certain prerequisite conditions set by law for an owner to register his/her business.
A very crucial aspect of pawn brokerage business is buying and selling used or new Gold, silver and other precious items jewelry. This is where people mostly lose their faith in gold buyers. General idea with people is that gold buyers are dishonest in determining the actual value or face value of the item. Also they suspect the pawn broker to assert undue interest level on the pawned item. It may be a possibility that certain people have been played upon by the pawn brokers but almost majority of such people are those who are not familiar with the tricks of trade and thus are at mercy of the broker for the whole deal.
In order to avoid being scammed in the first place, do consider to follow the following precautionary steps. You can save a lot of time and money if you know what to do from the very start of your business transaction.
DO THE BASIC HOMEWORK:
Know your area of trade. Do not engage in business that requires dealing with cash or valuable stuff with people outside of your immediate known area. Do not do business with people you do not know. Make sure you sell or buy to people or a pawn broker near your area so in case of any situation you can follow up with them easily according to the provisions of your state law.
DEAL IN PERSON:
Never ever trust anyone on phone or internet even if you know they are paying you more than what your items value at the time. They are most certainly fake or scams that will rob you of your cash or valuable jewelry. Always deal in person and face to face. Do not deal with gold buyers from other states other than yours and never ever do business with pawnbrokers who require you to send your valuables through mail beforehand for evaluation which is almost always a sign of possible fraud.
ALWAYS DO THE SIMPLE MATHS BEFORE YOU BUY OR SELL:
Get yourself acquainted with the tricks of trade for the item that you want to deal with buying or selling. Do the simple math yourself in order to analyze and evaluate the items yourself so you have the basic idea of their worth. If the items you need to sell are jewelry, better have them checked from a jewelry store or a goldsmith for a little fee so that you have the actual idea of its worth. Search the internet for related or same items for their market resale value or ex factory prices. This will help you to define a pivot line for the best possible rates you can ask for.