Postal gold-buying companies get rap on knuckles from OFT
We’d always assumed that the plethora of ‘cash for gold’ companies that have sprung up of late were the epitome of fair trading and geared only towards the absolute satisfaction of their customers. It appears that may not be the case and we are distraught.
The Office Of Fair Trading have ordered three such companies to improve their customer service following an investigation of the gold-buying-by-post industry. CashMyGold, Cash4Gold and Postal Gold have agreed to smarten up their act as a result.
The OFT found that companies were paying out on gold that customers had sent in for evaluation and leaving too short a period for the payment to be returned if the customer decided to reject the offer. In many cases, the gold was melted down before the customer had a chance to consider the offer and reject it.
Previous research by Which! showed that some postal gold companies offered an average of just 6% of the gold's retail value, compared with an average of 25% offered by pawnbrokers and high street jewellers. Which, as research done by Bitterwallet has shown, is ‘shit’.
The lesson here is that you probably shouldn’t deal with one of these postal gold companies, but then, you knew that already didn’t you? Send it to us instead.