Many people ask me what the difference between bad and good scrap and how to cash in at the highest scrap metal prices possible. The answer is the consistency and quality of the element within the item you’re collecting. Metal that is rusted or has other elements inside of the metal will not sell very well. The dealer will need to take an estimate on how much of it is actual usable and how much of it isn’t; typically the dealer will low ball in order to make sure he doesn’t get ripped off. This is only fair. You can cut down on getting poor scrap metal prices like this by only gathering high quality material. This requires that you take a bit more time rather than just going to a place and scooping up a large hunk of something that looks like it could have something valuable in it. As time goes by you will get better and better at finding exactly what you’re looking for and can cash in at highest scrap metal prices.

Using Location to Increase Scrap Metal Prices

The key to doing this is to find a place that produces only pure high quality scrap metal through and through. Many mechanic shops are a good place to start. They have parts from cars that have gone bad and are virtually worthless to them, but if retrieved you can get a great scrap metal prices for them. One thing to consider when picking up the parts is that they are indeed worthless. Some mechanics simply do not have the space to store their bad scrap  pieces / parts so they throw them out. There are times where the part can actually be sold as is as a part rather than taking it to a  scrap metal prices dealer who would pay you by the pound. Certain mufflers weigh a pound and you would get 20 cents or so for it, where as if the muffler is still good you could sell it for 70 dollars depending on what kind it is. So it helps to develop some knowledge in whatever type of place you are collecting in so that you can recognize when the value of that item is actually higher being sold as is or if it should be taken to a scrap metal prices dealer.

Another thing that’s important when collecting  is that you check it for rust.  Dealers really hate rust and if you bring them a bunch of rusted scrap metal they most likely will not want to deal with you anymore. Rust is like a fungus or growth on metal and it can get on other pieces and really ruin it so just stay away from it. This is especially important in places that rain a lot. This is why if you could fly your scrap metal over to the UK you would really make a lot of money for it. Scrap metal prices in the UK are high because the weather there is often rainy which leads to more rust than usual. A lot of people don’t know this, but the problem is how would you ship your scrap metal over there!? Unless you had an absurd amount to make it worth it, probably just better to stick within your community.

High Quality =  High Scrap Metal Prices

Another aspect of collecting and getting the best scrap metal prices is the quality of the  metal. Just as diamonds can come in different karat scrap can come in different qualities. The scrap metal prices are going to be almost directly dependent on this variable. Once again the key is WHERE you’re collecting your scrap from. This just comes with experience and driving around and more specifically word of mouth. If you are specializing in collecting one type of metal and you know other collectors which are focusing on a different type, you can help each other by communicating locations that you know where they can find what they’re looking for. This is a good way to build your network and increase your earnings over time.  If you really want the best price then put in the time and research and once again..location location location!!

 Other Strategies

Because scrap metal prices can vary so greatly from place to place it’s really important you get involved in the community. You can get online and search for forum boards or websites and view the scrap metal value but that’s only one piece. There’s far too much to discuss on one page but we will try and cover this more as we document and post new articles. The entire purpose of collecting scrap metal is to get a great scrap value per lb and if you’re getting ripped off (as many do) then it’s just a waste of time.  Nobody likes to waste their time because as the saying goes, time is money and in this business that is truly paramount.  You can usually tell if you are getting a poor estimate on your collections by looking at your local scrap metal prices list for your area.  If you don’t know how to read these lists then there are online manuals, make sure that you check the date so that you are getting current prices. But what is it? It’s like the blue book for scrap metal value current and old so you can see where it’s going and where it’s headed. There’s really a lot more to it than most people realize. Let’s talk about that.

Let’s say that you’ve collected several hundred pounds of metal and the value indicates that right now scrap metal prices are at 10 cents a lb. You could go immediately and cash in for that price but if you see that in the scrap metal prices list the past four months the value has gone up gradually, maybe you want to hold out for a couple of months and see if you can get a little more cash. Everyone would like more cash but you have to take the right steps in order to make that happen. On the down side of that scrap metal value can also just as easily go down. This can take time and be confusing to a lot of people but as with anything research is key. Look at scrap metal prices list as a mini stock market; as with anything it can fluctuate and you want to sell at just the right time. The longer you collect  the better you will be at predicting what’s going to happen to the current scrap value in your area. Some things that can affect scrap metal prices is the area.  Take your time and don’t rush so that you can make the right decision for your business. If you live in a place where scrap metal is easy to come by then the demand is not so high so they will not have such a good price for it.  Adversely if you live in an area where scrap metal is very difficult to come by (Alaska!) then the scrap value in your area may be great.

Here’s another thing to consider. If the scrap metal value in your area is very high because there isn’t a lot of scrap metal in your area you may want to speak with your scrap metal prices dealer and set up some sort of program where he gets it from you only. Remember, a  dealer can only hold so much at a time, once he reaches that point he can’t buy anymore until he sells it and makes his profit. What this means is you’ll have to work harder to collect to keep him full. Doing this will discourage people from other cities and towns from coming to yours and selling to their scrap metal prices dealer and taking away some of your profits. It really just comes down to how much time and effort you want to spend and put into collect it.