If you have gold jewellery of different karats at home — some 22 karat pieces and some 18 karat — you may be wondering whether the karat makes a meaningful difference to how much cash you receive when you sell. The short answer is yes, it does — and the difference can be significant depending on the weight involved.
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But it is not just about which karat is higher. Understanding exactly how karat affects your payout, why the rates differ between karats, and what to expect when you sell pieces of different purities helps you make a more informed decision before visiting any gold buyer in Madurai.
What Karat Actually Means
Karat is a measure of gold purity. It tells you what percentage of the metal in your jewellery is pure gold versus other metals like copper or silver that are added during manufacturing to improve strength and durability. Pure gold on its own is too soft for everyday jewellery — it bends and scratches easily — which is why alloys are used.
The karat scale goes from 1 to 24, with 24 karat representing the highest possible purity. Here is what each common karat means in terms of gold content:
- 24 Karat — 99.9% pure gold — used mostly in coins and bars
- 22 Karat — 91.6% pure gold — the most common standard for Indian jewellery
- 18 Karat — 75.0% pure gold — used frequently in diamond-set and lightweight modern designs
- 14 Karat — 58.5% pure gold — less common, mostly in imported or designer pieces
Most traditional Indian gold jewellery — bangles, chains, necklaces, temple jewellery — is made in 22 karat. Diamond-set rings and earrings are typically 18 karat because the lower gold content makes the metal harder and better suited to holding stones securely without deformation.
How Karat Directly Affects Your Selling Price
When you sell gold, the payout is calculated using the formula: Weight x Purity % x Today’s Gold Rate per gram. A higher karat means a higher purity percentage, which means more of your jewellery’s total weight is counted as pure gold in the calculation. This directly results in a higher payout.
As of March 2026, the approximate rates in Madurai are:
- 22 Karat: Rs. 13,000 per gram
- 18 Karat: Rs. 10,200 per gram
The 22 karat rate is approximately 27% higher than the 18 karat rate. This difference directly reflects the difference in gold content — 91.6% versus 75%. The rates are not set arbitrarily — they track directly with the proportion of pure gold in each karat.
A Side by Side Comparison with Real Numbers
To see the actual cash difference, consider two scenarios with 15 grams of gold each:
15 grams of 22 Karat Gold: 15 x 91.6% x 13,000 = Rs. 1,78,620
15 grams of 18 Karat Gold: 15 x 75.0% x 10,200 = Rs. 1,14,750
On the same 15 gram weight, 22 karat gold gives you Rs. 63,870 more than 18 karat. This is a direct result of the purity difference — more of the 22 karat piece is actual gold. On larger weights the difference becomes even more pronounced.
Why 18 Karat Jewellery Is Still Worth Selling
While 22 karat clearly gives a higher payout per gram, 18 karat jewellery should not be dismissed as a poor option to sell. Several factors make it a worthwhile transaction:
18 karat diamond-set jewellery contains stones that are removed before weighing and returned to you as part of the transaction. The gold payout covers the 18 karat gold content only, but you retain the diamonds which carry their own value separately. The combined return — gold cash plus retained stones — is often quite favourable.
Additionally, many people who bought 18 karat jewellery several years ago at much lower gold rates will still receive a significantly higher payout today than what they originally paid for the gold content — simply because rates have risen so strongly since then.
How to Check Which Karat Your Jewellery Is Before Visiting
Before visiting a buyer, identify the karat of each piece you plan to sell so you can follow the calculation accurately when you are there. There are two simple ways to do this:
Check the BIS hallmark stamp: Look for a small number stamped on the jewellery itself — 916 means 22 karat and 750 means 18 karat. This stamp is present on all BIS hallmarked jewellery sold in India after 2000.
Check the original purchase bill: The karat is clearly mentioned on the bill for most reputed jewellers. If you have the bill, this is the quickest way to confirm.
If neither option is available, the buyer will confirm the exact karat through machine purity testing when you visit. You do not need to know the karat in advance — the machine determines it accurately.
Sell Your Gold at Yellow Gold Point, Madurai
Yellow Gold Point accepts both 22 karat and 18 karat gold — as well as 24 karat coins and 14 karat pieces — at the live market rate with zero deductions. Whether you have traditional jewellery, diamond-set pieces, broken ornaments, or a mix of different karats, each piece is tested individually and the full calculation is shown to you clearly before payment.
Address: 1st Floor, SMR Complex, 72/205, S Masi Street, Madurai Main, Madurai – 625001
Call: 9344307004
Walk in with your gold and a valid ID. No appointment needed.
Frequently Asked Questions
Q1. Does 22 karat gold always fetch more money than 18 karat when selling in Madurai?
Yes, per gram. The 22 karat rate is higher because it contains more pure gold — 91.6% versus 75% for 18 karat. On the same weight, 22 karat will always give a higher payout than 18 karat at any transparent gold buyer. The difference in rate directly reflects the difference in pure gold content between the two karats.
Q2. Can I sell both 22 karat and 18 karat gold in the same visit to a buyer?
Yes. Bring all your gold together regardless of karat. The buyer tests each piece individually, confirms the karat for each, and calculates the payout separately per karat group. The total payment is combined and made in a single transaction at the end of the process. There is no need to make separate visits for different karats.
Q3. How do I find out if my jewellery is 22 karat or 18 karat before visiting a buyer?
Look for the BIS hallmark stamp on the jewellery — 916 indicates 22 karat and 750 indicates 18 karat. You can also check the original purchase bill where the karat should be clearly mentioned. If neither is available, the buyer confirms the exact karat through certified machine purity testing when you visit.
Q4. What happens to the diamonds in my 18 karat jewellery when I sell the gold?
Diamonds and precious stones are carefully removed before the gold is weighed and are returned to you at the end of the transaction. They are not included in the gold weight calculation in any way. Your payout is based only on the 18 karat gold content of the piece and the stones remain your property throughout.
Q5. Is it worth selling 18 karat gold now or should I wait for a potentially better rate in the future?
Gold rates in Madurai are at historically strong levels in 2026. Waiting always carries the risk that rates could move lower before you decide to sell. If you have unused 18 karat jewellery that you are not wearing and you need cash, the current rate represents a strong return — particularly if the jewellery was purchased several years ago at significantly lower gold prices than today.