When people decide to sell gold jewellery or silver coins in BC, the first thought is often: I wll just take it to the pawn shop. Its familiar, its nearby, and it feels simple. But for most sellers, a pawn shop is one of the worst places to sell gold — and the difference in what you receive can be hundreds or even thousands of dollars.
This post breaks down exactly how pawn shops and professional gold buyers differ, so you can make an informed decision and get the best possible price for your precious metals in the Lower Mainland.
Pawn shops are generalist resellers. They buy and sell everything from guitars to power tools to jewellery to electronics. Gold is just one of dozens of item categories they handle. Because their staff needs to be generalists rather than specialists, and because they need a wide margin to cover the risk of sitting on diverse inventory, pawn shops typically pay far below market value for gold.
Most pawn shops in BC pay sellers anywhere from 30% to 60% of the actual precious metal value of their gold. That means if your 14K gold chain is worth $900 at current market prices, a pawn shop might offer you $300–$500. They need that margin to make money on the resale.
A professional gold buyer — like Five Star Gold Exchange in Coquitlam — specializes exclusively in precious metals. Every tool, every process, every piece of training is focused on one thing: accurately evaluating and fairly purchasing gold, silver, and platinum.
Because we buy to sell the metal (not to resell the jewellery), our cost structure is different from a pawn shops. We dont need to display items, maintain retail inventory, or speculate on whether a ring will appeal to a buyer next month. We assess the metal content, pay for the metal, and operate on a tighter margin that benefits the seller significantly.
At Five Star Gold Exchange, our buying prices are based on live spot market rates — the same prices used by refineries and commodity traders worldwide. These prices are posted publicly on our website every day.
| Feature | Pawn Shop | Five Star Gold Exchange |
|---|---|---|
| Specialization | Generalist — buys everything | Precious metals specialist only |
| Pricing Basis | Discretionary, often 30–60% of spot | Live spot market rates, posted publicly |
| Transparency | Process rarely shown | Full process shown to client |
| Staff Expertise | General knowledge | 20+ years precious metals experience |
| Payment | Cash, same day | Cash and e-transfer — same day |
| Accreditation | Varies | BBB-accredited |
| Obligation to Sell | Often pressured | Never — evaluation is always free |
Travelling buyers who set up for a weekend in hotel ballrooms, and mall kiosks that pop up near the food court, are generally the worst option for sellers. These buyers have high overhead costs (hotel rental, travel, short-term staffing) and must recover them in a very short window. The pressure to make quick profits often results in very low offers.
They also have no accountability — if you feel you were underpaid, there is no permanent location to return to, no BBB record to consult, and no local reputation at stake. A permanent, accredited business like Five Star Gold Exchange is accountable to its community every single day.
For anyone in the Lower Mainland who wants to sell gold or silver, a specialist gold buyer will nearly always offer significantly more than a pawn shop, a mall kiosk, or a travelling hotel buyer. At current record gold prices, that difference can be substantial — sometimes hundreds of dollars on a single item.
Five Star Gold Exchange has been serving Coquitlam and the Lower Mainland with transparent, professional gold buying for years. We are appointment-only, which means you get focused, private service — not a lineup at a pawn shop counter.
Five Star Gold Exchange — Coquitlam, BC | By Appointment Only
#230 – 1140 Austin Ave, Coquitlam, BC | View Live Prices at fsge.ca