How to Buy Gold with Low or Zero Making Charges?

• Making charges tends to increase the total cost of your purchase in gold.

• Gold coins or bars usually don’t incur any making charges as compared to gold jewellery.

• Festival periods are often the best times to find gold jewellery deals with low making charges and additional offers.

If you’re wondering what the lowest making charges on gold are, please make sure to follow this guide. Sellers offer gold with little or even no cost, allowing you to make a valuable purchase and improve your investment portfolio. With the festive period on the cards and peak wedding season on the horizon, here’s what you want to know about gold.

Making charges are added by the jeweller to cover the skill and work that went into making a piece of jewellery from raw gold. Some patterns may cost less if they are simple, and others may cost high due to intricate designs and handmade items. A big chunk of the money does go into making charges when you buy gold jewellery.

However, when you eventually sell the jewellery again, you only get paid for the gold. The buyers don’t consider making charges at this point. In other words, the more you pay to make something, the more you lose when you sell gold (jewellery).

Also Read: Gold Making Charges: A Complete Guide

Here’s how you can reduce the making charges or pay the minimal amount while purchasing gold:

1. Gold Coins

One of the most popular ways to buy pure gold without having to pay extra is to buy a gold coin. Most brands that sell gold coins offer market prices, with few or no additional fees.

2. Gold Bars

Gold bars are also a safe and cost-effective way to buy gold. There are no making charges on gold here, as these items are carved out in a simple design and usually cannot be worn. You pay about the same amount as the gold itself plus GST and a small dealer fee.

3. Digital Gold

There are charges when you buy digital gold through sites like MMTC-PAMP, Augmont, or SafeGold. You are just paying the fair market price for gold. However, if you opt to convert digital gold to physical gold, you may have to pay a certain amount.

Here are some useful tips that will help you buy jewellery without spending too much.

1. Buy during festivals or holidays

Jewellers often offer gold without making charges during holidays like Akshaya Tritiya, Dhanteras, and Diwali.

2. Pick less intricate designs

The cost of making something goes up as the gold jewellery design becomes more complicated. Simple gold chains, bangles or rings generally cost less to make than a statement or bridal piece.

3. Visit more stores

Prices may vary from store to store. Some may charge a set amount per gram, while others take a huge cut of the gold's value. Before you agree, always ask for a complete price breakdown.

4. Buy gold in bulk

If you buy gold in bulk, stores may lower or remove their making charges. You can negotiate before completing your purchase.

5. Buy Machine made jewellery

Jewellery that is made by a machine usually costs less to make than jewellery that is made by hand. It still has the BIS stamp on it, so you don’t need to worry about the purity of gold.

Apart from a 3% GST on the value of gold, there is also an additional 5% GST on making charges for gold. This is another reason why it's important to keep prices low.

You now have an idea to minimise the making charges on gold. Buying gold coins, bars, biscuits, or digital gold may help you save a significant amount of money on your next big purchase. As for the minimum making charges on gold, shopping during the holiday season and picking out simpler designs may help you cut down the cost of gold.

Aditya Birla Capital, powered by MMTC-PAMP, offers competitive pricing when it comes to your next big investment in gold. Visit their website or download the ABCD application to know more.

Also Read: Will Gold Rate Increase