Why Not Gold Parties?

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If it’s a garlic press you’re after, or that perfect shade of lip gloss, this home party isn’t for you. Got a single gold hoop earring? A gold ring from an ex? A soft gold crown with your tooth still attached? In the spirit of Pampered Chef and Mary Kay parties, those hoping to cash in on the high price of precious metals are throwing “gold parties” in North Georgia and other parts of the country.

The concept: Invite friends who have unwanted gold to join a consultant in your home to learn how much Grandma’s brooch is worth. Those who work for various gold party companies say their events are the safest way for consumers to cash in on gold. Rather than packaging and shipping your gold only to wait for a check in the mail, or stopping by a seedy pawn shop, friends gather for a relaxed, casual party.

“I wanted to sell my gold but I didn’t want to walk into a pawn shop,” says January Thomas, founder of Michigan-based My Gold Parties. “That, to me, felt a little desperate. I’ve never had anyone at a party come up to me because ‘Oh, I really need to do this.’ It’s actually a very light, very fun party.”

But not everyone agrees. Because there is no industry standard for how much a buyer must pay someone for their gold, critics say gold party hosts are little more than scam artists trying to make a buck.

Bob Mason, who owns Rone Regency Jewelers, doesn’t advertise the fact, but he occasionally buys gold, purchasing it from customers when asked. When it comes to gold parties, he says it’s “buyer beware” and offers tips to those who decide to go.

“The people who are holding the parties, what they’re paying for gold is probably well below the price the gold is worth,” he cautions. “You need to go to someone who has a reputation in the community for being honest and straightforward. Ask them to show you the price they’re willing to pay you, and make sure they’re weighing it accurately.”

Thomas says what her company offers to customers—65 percent of the current price of gold—isn’t a ripoff . She insists that her party reps always test jewelry digitally to make certain it contains real gold, before weighing it. Reps offer a price they’re willing to pay, and sellers can either accept the price and take the money, or reject the off er. “There’s no obligation to sell,” she adds.

The first time Christina Pink of Atlanta hosted a gold party, she walked away with $1,100. Known as “the party girl,” the stay-at-home mom had thrown handbag parties, jewelry parties and makeup parties, but couldn’t shake the feeling that they were a scam. “You feel obligated to buy things to help your girlfriends move up steps,” she says. “I’m a consumer, and I know what things are worth. Those parties are a rip off .”

But after throwing a gold party, she felt she’d found a gem.

“You can have your friends over, have a few refreshments, catch up with your neighbors who you never get to talk with because you have kids, and you leave with cash in your pocket,” she says. “Having a gold party was the easiest sell in the whole world.”

Sandi Staiti, a My Gold Party rep from North Georgia, says for some reason gold parties haven’t caught on in the Chattanooga area. She says local partygoers attending events she’s thrown, have asked her to come north, and she plans to expand her business.

“It’s so unlike any other party I’ve ever been to, where you have to buy the $50 pizza cutter none of us want,” she says. “We hear great stories, we hear funny stories. It’s the only party where the ex-boyfriends and husbands aren’t the big jerks.”

But Louis Brody, owner of Brody Jewelers on Rossville Boulevard, remains skeptical. Salesmen have pitched him and dropped off fliers, he says, trying to get his firm involved in gold parties. People who are hosting the events are making money, he says, along with those actually buying and refining the gold. “But you come out a lot better if you take it (gold) to a jewelry store because you take out the middle man,” he adds. “For my customers, I’d rather just give them the extra money.”

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