SCARBOROUGH could experience a new gold rush in the next few days with customers hoping to take advantage of a predicted record high price for gold.
The price of gold peaked in the autumn and, although it has dipped since then, market analysts have predicted that the slump could be temporary and the commodity is due to reach a record high in the near future.
Jacqui Lambert, the branch manager of the Cheque Centre in Aberdeen Walk, said there had always been a good trade in gold and the current price was quite high. She said: “I think the price is on the increase and I think there might be a chance that it will go higher.”
Karen Wells, the assistant branch manager of Herbert Brown jewellers and pawnbrokers in Newborough, said that there were quite a few people coming through the doors to sell gold. She said: “I think it’s the time of year. It’s just after Christmas and people have got bills coming in.”
She added that the price had been dropping over recent days since a high last October and there was a demand for Asian gold –which is of a better quality. “I think they are predicting a rise, like in October, but that’s all down to the recession. The more gold that is sold then prices will go higher,” she said.
The news follows this week’s warning from the Office of Fair Trading which told three companies advertising “cash for gold” services to treat their customers better.
CashMyGold, Cash4Gold and Postal Gold all agreed to change their business practices after concerns were raised that people were being locked into accepting offers for their gold.
Previously customers sent their unwanted gold items in pre-paid envelopes and received a cash offer by post – but there were concerns that they were given a very short time period to reject the offer.
David Patrick, the chief executive of Cash Converters, said this could explain why more people were choosing to shop around for the best prices locally.
He said: “We’re right here on the high street so it’s easy for customers to compare our prices. We have calibrated scales on the counter so you can see for yourself what your gold is worth and we always strive to offer the most competitive price.
“It is also worth remembering that your gold may be worth more if you sell it as jewellery, rather than for scrap, and we can offer that as an option in our Scarborough store.
“The key thing is we ensure that we are giving customers the correct weight value. Some companies offer an attractive rate per gram to catch your eye but often do not meet this.
“It’s in our best interests to offer customers the very best deal we can. If customers are happy with the service they receive then they’ll recommend us to friends and family. As part of a large, experienced chain, customer satisfaction is our number one aim.”