Silver dollars or other coins?

[okbryan]

The store I normally buy and sell my silver coins wants a premium for silver dollars over silver halfs, quarters and dimes. For example, if silver prices were $2300 for $100 worth of face value silver coins, he would ask $2450 for the $100 worth of silver dollars.

Is there a reason why any of you would not want silver common coins instead of silver dollars?

Thanks, Bryan

 

[usandthem]

A silver dollar has a little over .77 troy ounces of silver in it. Four silver quarters or two silver halves have a little over .72 troy ounces of silver in them. Hope this helps.

 

[jeff of pa]

People Naturally are drawn to silver dollars.

Size & how long out of Circulation Helps.

so a Premium is added

 

[ivan salis]

silver dollars are highly sought after by "coin collectors' and they have a bit more silver content vs $1 (face value) in quarters or dimes .---05 of a oz more (1 / 20th of an oz more ) to be exact -- .77 of an ounce silver dollar vs .72 of an ounce of silver in quarters and dimes

thus the extra cost.

 

[jim4silver]

If you really want some US silver dollars, I would recommend you search around and buy a few really nice ones graded by PCGS or NGC (MS63 or higher), and spend the rest of your investment $$$$$ in 90% halves that are not highly circulated (late year Franklins are the best since you don't have to worry about any dates being less than 90%, vs. the Kennedy halves). This is assuming you get halves for the same price as quarters and dimes, which I can get locally although I don't buy junk silver anymore since I can get .999 for about the same premiums.

Every category of US silver dollars are overpriced as far as bullion investing goes. Even the cull/damaged ones here sell for about 1 dollar per ounce higher than good condition halves, quarters, etc. For some reason people like the old silver dollars, even the crappy ones. Also, there is a higher risk of counterfeit in US silver dollars than any other US silver coin from what I have read, although that risk is probably not too great if you buy from a reputable dealer (be careful if buying on online auctions, etc).

I believe one day if/when silver prices get really high, coin dealers will start buying and selling junk silver by weight and not face value. That would make less circulated coins worth more than highly worn ones (like Walkers and most quarters and dimes). Some say the old, worn Walkers will have some numismatic value someday and I agree, maybe in 2050 or later--of course if you can get nice ones for the same price as regular junk coins get those. For this bull market I would avoid the worn down stuff if you can get less circulated for the same price. The 1964 Kennedy halves probably represent the best value weight to price wise, you just have to always check to make sure some 40%ers weren't thrown in the pile when you buy them. That is why I always bought the later year Franklins that didn't show much wear.

Just my opinion.

Jim

 

[mts]

If you really want some US silver dollars, I would recommend you search around and buy a few really nice ones graded by PCGS or NGC (MS63 or higher), and spend the rest of your investment $$$$$ in 90% halves that are not highly circulated (late year Franklins are the best since you don't have to worry about any dates being less than 90%, vs. the Kennedy halves). This is assuming you get halves for the same price as quarters and dimes, which I can get locally although I don't buy junk silver anymore since I can get .999 for about the same premiums.

Every category of US silver dollars are overpriced as far as bullion investing goes. Even the cull/damaged ones here sell for about 1 dollar per ounce higher than good condition halves, quarters, etc. For some reason people like the old silver dollars, even the crappy ones. Also, there is a higher risk of counterfeit in US silver dollars than any other US silver coin from what I have read, although that risk is probably not too great if you buy from a reputable dealer (be careful if buying on online auctions, etc).

I believe one day if/when silver prices get really high, coin dealers will start buying and selling junk silver by weight and not face value. That would make less circulated coins worth more than highly worn ones (like Walkers and most quarters and dimes). Some say the old, worn Walkers will have some numismatic value someday and I agree, maybe in 2050 or later--of course if you can get nice ones for the same price as regular junk coins get those. For this bull market I would avoid the worn down stuff if you can get less circulated for the same price. The 1964 Kennedy halves probably represent the best value weight to price wise, you just have to always check to make sure some 40%ers weren't thrown in the pile when you buy them. That is why I always bought the later year Franklins that didn't show much wear.

Just my opinion.

Jim

I agree 100%. I try to buy Franklin sand walking liberty halves for the same reasons that Jim stated above. But I'll also point out that Kennedy's have another problem associated with them: clad counterparts. People who are not "in the know" about silver really can't tell the difference between silver Kennedy's and clad ones. It will likely never come to this, but if there really is a time when you need your silver to barter with the common man, it will be harder to convince them that your Kennedy halves really are worth more than the clad ones. That's why I shy away from Kennedy's as well as Roosevelt dimes and Washington quarters. No one is going to argue that mercury dimes, liberty quarters, Franklin halves, and walking liberty halves have special value. Now don't get me wrong. I own Kennedy's, Roosevelts, and Washingtons. I just don't own as many. Diversify.

 

[Goose-0]

An easy way to value the silver content in a U S coin is to multiply .723 X the silver price.....then that answer X the U S coin. For U S silver dollars, .773 X the silver price. A silver dollar has 7% more silver in it than 10 dimes, 4 quarters, or 2 halves.

 

[jim4silver]

OK, I'm done buying for awhile. Got in today before the top and picked up some 10 oz bars- Engelhard and Johnson Matthey at 1.30 over spot (would have bought more but they only had a few). Not as cheap as Merry Christmas type bars, but I love the Engelhard and JM bars the best and the price I got them for is alot cheaper than what dealers normally want for them (at least locally and on one of the national online stores).

I decided to make my next dollar cost average purchase a bit early just in case silver starts heading up. It may fall again into the high 20s, but I didn't want to take that chance in case it goes up way fast again. No more silver buying for me over 35. Once silver gets to that point I will probably go back to gold in that I have not been buying much of that for a while. It would not bother me a bit to see silver slide again. Still would like to have more in the stack at approx 30 per ounce or lower.

You gotta diversify your diversifications.

Jim

 

[Goose-0]

Jim, what's the top premium (% over the ASG) would you pay for a gold coin? The coin is a 1981 1/4th/oz Krugerrand. It's priced at $420, and we have a 7.375% sales tax....$451 Total.

 

[jim4silver]

Jim, what's the top premium (% over the ASG) would you pay for a gold coin? The coin is a 1981 1/4th/oz Krugerrand. It's priced at $420, and we have a 7.375% sales tax....$451 Total.

Goose,

Sorry you have to pay sales tax on bullion, they don't have that were I live and adding over 7% to cost definitely affects your bottom line. However, the price you quote before tax is less than what the dealer cost is according to a site I like to frequent to check prices (see link below). They list dealer bid at around $430 for a 1/4 Krug at the time I write this. That being said, your deal does not look too bad taking into account the sales tax.

I can usually get old gold bullion like old European gold coins such as francs, guilders and sovereigns for about 3 to 4% over spot without any sales tax. I try to stay under 5% premium whenever I buy gold, unless I am looking at graded old US gold which can go higher depending on grade.

http://www.coininfo.com/

Jim

 

[Goose-0]

Thanks for the info Jim. This coin was in a pawn shop and they have to charge the tax. But in the past, I cruise our 3 pawn shops for silver and don't do too bad. A few weeks ago I saw an 1861 VF Seated Liberty half for $20....boy, did I jump on it ..... not for the silver, but for the coin itself. I'm going to pass on the 1/4 Krug due to the 7.38% premium.

At another pawn shop, I see many silver dollars (Fine) for $24.50 ea + Tx.....$26.30. As of today, the silver content in the silver dollar is worth $25.52, so the premium would be around 3%. Hmmm.