How to Selling a Diamond for Cash

We could talk about the eternal values that diamonds represent and symbolize all day long. However, we also have to admit that even diamonds may not be forever.

Though most of us associate them with getting engaged and as jewelry that will be passed down in family traditions, there are situations where you would want to sell your diamond.

Now, buying a piece of jewelry is easy. You can simply walk into any jewelry store and make a purchase on the spot. The opposite holds true when you are trying to sell it.

Provide a grading Certificate From a Reputable Lab

Diamonds are serious business. If you are selling a diamond, I can guarantee that the other party will demand to see proof and authentication of the diamond’s qualities from your side.

The best and easiest way to establish a basic trust is to get it graded by an authoritative gemological lab, like the GIA – Gemological Institute of America.

In short, the Rapaport pricing is the typical “high cash asking value” that diamond buyers and sellers use as a guideline when making trades.

Some retailers also use this list as a reference to price their goods in retail stores.

Since Rap prices are calculated based on current market conditions for a particular type and grade of diamond, the ratio between the Rapaport value and the selling price of your diamond could give you an idea of the efficiency of the deal.

Approaching a Jeweler to Take In Your Used Jewelry

Besides buying from distributors, some jewelers may also take in used jewelry from individuals directly. When doing business with these jewelers, you have to go prepared with knowledge of your diamond’s appraisal value.

Now, the dump price is roughly 40% off any diamond’s Rapaport value. In my opinion, this is the value you should never go below when trying to sell to a jeweler.

Like in any other negotiation, the smart thing to do is never agree to the initial offer. It would require some negotiation skills on your part to settle on a price that works for both parties. And the truth is, if you sold them your diamond under dump value, they could easily re-sell the stone at dump value overnight.

When a jeweler proposes a price significantly lower than 40% of the Rapaport value, stay confident and keep bargaining until he agrees to a price that is closer to 60%-70% of the listed price.

Selling Diamonds On Your Own

If you are willing to spend some time or like doing DIY deals, you might want to consider sourcing for potential buyers yourself. In general, there are a handful of ways to selling different possessions, and most of these methods can be applied to gemstones and generic jewelry as well.

Consigning Your Diamond With a Local Jeweler

Selling diamonds on your own is usually harder than collaborating with a jeweler because of trust issues. Think about it, would you buy from a stranger from an online listing you found or would you be more open to buying from a store?

If a successful sale happens, the jeweler takes a cut-off from the sale. With consignment, how fast the diamond gets sold really depends on 2 factors: how much day-to-day traffic the store gets and how much demand there is for your specific type of jewelry.

Are There Other Alternatives to Sell Diamonds For Cash?

If you are looking for an upgrade, you can actually trade in your old jewelry and get a credit towards a new purchase at James Allen. Note that there are some terms and conditions which may apply depending on the type of jewelry you have. For example, JA does not take in worn rings or stones without grading reports.

You need to fill up a form and include information about the specification of the jewelry you are selling and you get an estimated valuation of the piece. If you decide to accept the offer, WP Diamond will give you the shipping instructions to ship your jewelry securely (with full insurance) and you will receive your payment via bank transfer.