Monday, May 2, 2011
Buy Silver Wholesale
One of the best ways to buy wholesale silver is with what are popularly known as junk silver coin bags. Of course junk is a misnomer. These are bags of old US silver coins. There are many dealers that will advertise and sell bags of silver coins. These are usually mixed bags of silver coins pre 1964 such as US dimes with the odd silver eagle thrown in.
You can buy 'lots' of US silver dimes in bags of 500 or rolls of coins even. Mostly they are mixed dates pre 1964 and the coins will usually contain about 40% silver.
It is a lot cheaper to buy 10 kilo bags of silver coins. In these bags will be around five kilos of silver or a bit less. Each coin, these days , has more silver value in it than the face value of the coin so they make for good value when exchanging for goods and services and you don’t have to 'break' a large silver bullion bar, instead just use whatever quantity of coins you need. Great for salting away some exchange that holds its value rather than deteriorating paper currency.
Of course you will pay at least the sot value of silver this way with a premium, but as silver increase in value this premium will be swallowed up in the increasing value and eventually be overtaken.
It can also be a bit of a hobby and interesting exercise sorting out all those old silver coins. Sometimes you can find a silver coin that is worth a lot more numismatically and that adds a bit of fun to the exercise.
Of course you can stick to buying small bars on a regular basis and pay the premium that goes with it. It is not wholesale of course and, when it comes down to it, any method of buying silver in the long run is going to be worth while. Keeping in mind the cost, one kilogram bars are easier to buy and store and the premium is not very high. The shipping and insurance costs can be high and all these should be taken into account when buying silver. If you have a silver dealer close buy you can avoid those costs by taking deliver yourself. Many dealers will store your silver for a nominal fee and this is what many people do. Usually the silver bullion is stored in bank vaults.
But what ever you decide, silver still has a long way to go yet we think, before it reaches its true value in terms of a wilting currency and the old adage, buy silver remains at the top of our list of things to do.