Tesco Gold Exchange Review

Posted on July 5th, 2012 in Making Money,Random Thoughts by Stephanie

A while ago I wrote a post on Tesco Gold Exchange and how you can make some extra cash by selling your unwanted gold to them. It may seem like a good deal at first considering that Tesco pay substantially more than if you sold your gold at a local jewellery shop but unfortunately I had a bad experience recently with 2 necklaces that I tried to send to them.

Tesco Gold Exchange works by sending your jewellery in a prepaid special delivery envelope to them after which you will receive a quote on the value of your gold and then you can choose whether or not to accept it. My necklaces however never even arrived and you could say that this is the fault of Royal Mail but according to the Tesco website on their Terms & Conditions page, under “Posting and insurance”, any gold that is sent to them using Royal Mail Special Delivery is insured by Royal Mail for up to £500 and in order to make a claim under the insurance you need to contact Royal Mail directly and you will need your receipt (i.e. postal receipt) but they failed to mention that you would also need a receipt to prove the value of the items that you send.

Tesco Gold Exchange Review

This is a deception on their behalf because they ensure that posting the gold to them is completely safe and insured so that customers will feel at ease sending their gold to them in the post but they witheld vital information that should anything go wrong in the delivery process, original proof of the value would be needed. Had I known this beforehand (and I probably should have looked this up on the Royal Mail website), I would have not sent my gold to them as I don’t have any proof of it’s value since they were gifts as is most gold that people have I suspect. I did take a photo of the jewellery before I sent it and I know that it was 18 carat gold and weighed 30g (including the weight of the special delivery envelope) so according to the Tesco website this would be valued at around £475 (assuming the gold weighs around 25g) at the time of writing. Unfortunately this is not enough to make a claim from Royal Mail. I think it is the duty of Tesco to have stated that proof of the value of the gold would be needed in order to make a claim and it should not be up to the customer to have to go and find out this information.

After waiting and tracking the package online on the Royal Mail website for 10 days (Royal Mail requires a 10 day wait before items can be declared lost when sent by Special Delivery) I contacted Tesco to ask for their opinion, based on their experience, what is the best way to go about trying to make a claim from Royal Mail since I don’t have proof of the value of the gold. The following is the email that I sent and the reply that I received from Tesco:

Dear Sir/Madam,
I have just checked with Royal Mail and it seems that the package is lost as it’s been nearly 2 weeks since I sent it to you. I have to contact Royal Mail to try to claim back compensation but I was wondering if there is any advice you can give me about claiming back the value of my jewellery? Unfortunately I don’t have a receipt to show the cost of the jewellery as they were presents but I did take a photo of them before I sent it off and I know that they are 18 carat gold and the weight of the envelope with the jewellery enclosed that I sent to you was 30g. Any advice would be much appreciated.
Kind Regards,

Dear Stephanie,
Thanks for your reply, unfortunately everything has to be done through the Royal Mail. They will send us a letter to ask if we have received it once you have started the claim. You can find all the information you need on how to claim on their website http://www.royalmail.com/customer-service/mail-late-lost
Kind Regards
Tesco Gold Exchange Team

I found Tesco’s reply to be extremely unhelpful and they have no interest in helping or even giving a little advice. Tesco is a brand that I used to trust but I’m starting to change my mind now based on this bad experience. I hope you found this Tesco Gold Exchange review helpful and if you do choose to use Tesco Gold Exchange, make sure you have original proof of the value of the gold you are sending in the form of a receipt, bank statement, etc.

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Comment by Adrian
2012-07-05 10:42:32

Thanks for sharing this Stephanie! Very interesting – but no real surprise – the consumer is a after thought.. You can be assured that Tesco deliberately missed off the vital information about having a proof of value receipt – and then conveniently pass the buck back to Royal Mail when it hits the fan – not good Stephanie – and I do feel your annoyance personal.

Tesco are just too greedy – and from small shopkeepers that once existed or streets to the loyal humble consumer – we all suffer in the end! Tesco’s aren’t worthy of your money Stephanie – they’re a disgrace.

2012-07-05 13:28:44

It’s very important to choose a trusted courier company and then post valuable things like jewelry.

Comment by Tom
2012-07-06 17:05:32

Huh, passing the buck or what? Such a shame that a big reputable name like Tesco offers people such a bad service on something as important as their jewellery.

Comment by Maya
2012-07-10 13:57:01

That is an unpleasant story and regret you had that experience. Thanks for the warning about tesco!!!
The thieves that stole your necklaces will be punished.

2012-07-11 19:21:07

Very well written review, thanks!

Comment by J
2012-07-12 16:52:41

It always pays to be careful and to keep notes when sending anything of value through the post.

Comment by Earl M.
2012-07-16 10:55:21

thats too bad, i hope you could either retrieve your gold back or get the insurance, atleast somehow you got it back whats had been lost from you.

Comment by Erik Johnson
2012-07-18 03:57:53

I have tried Tesco and I also had a bad experience. It seems so easy. But it is a little scary when you mail it off and hope… Plus with gold being as expensive at it is you want to be extra cautious. it takes time but there is usually a local source that will give you the going rate by weight.

Comment by Life changes
2012-07-19 08:29:34

Thank you very much for the warning! Unbeliveveable though.

Comment by jhon
2012-07-20 14:24:31

It is really unpleasant and bad story happened with you but i am sure that like you ,we can also learn a lesson from this .So beautiful and informative stuff you have posted here .

Comment by beauty tips
2012-07-20 14:30:30

bad but awesome story .

2012-07-21 02:41:49

I’m surprised people keep falling for these “mail us your gold and get cash” schemes. There have been so many reports filed against companies like these it’s disgusting.

Comment by Abhay Bajaj
2012-07-21 16:52:43

Great article. Thanks for the help. The quality of your articles makes me come back frequently and check your website for more articles!

Comment by Goomena
2012-07-25 15:55:49

What a ripoff! That’s such a shame, it seemed like a good idea, but all for nothing.

Comment by Bosgoo
2012-08-01 09:06:33

Choose a good Gold Exchange is very important.

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