Silver Coin Buying

Collecting coins is a great hobby and many people are engaged in it.  A few people are very interested in collecting rare coins.  Many people are engaged in collecting gold and silver coins.  They tend to resell it when the market rises or after a few years go by.  Silver coins are often found mixed with copper and nickel.  So those who are often engaged in silver coin collection need to look into the purity of the coin first before buying or resale.  The common question is how to tell if the coin is of pure silver?  There is also a question as how to find out the coin is silver?  The best thing to do is to make sure the coin has a certification.

There are a few test people like to do “ring test”, “Tissue paper test” and “specific gravity test” to find out whether its a silver coin or not. Many use the date and denomination mentioned in the coin to determine if its silver.  The coins like dimes, quarters, halves and dollars minted before 1965 are found to contain 90% silver.  Half dollars have found to contain 40% silver.   The coins dimes, quarters and dollars minted after 1965 have no silver in them.  They have only copper and nickel in them.  Cents have never been made in silver.  All cents are made using copper and steel.  Foreign coins are very difficult to deal with.  We can use the date and denomination as a clue in the deal.  

One Test Method:  Carefully balance the coin flat on the tip of one finger, then use something like a pen to gently strike the edge of the coin. We will hear a melodious ringing sound which should gradually fade away. If the material is copper etc we will get a higher pitched ‘tinny’ sound which doesn’t last as long. Obviously it helps to have something to compare the sounds with. I tried this method with two coins. One was a 1964 with 90% silver content, and the other was a 1980 with 0% silver content. Both coins looks the same (except for the metal color) but there was a very noticeable difference in the ringing sound produced. The method isn’t foolproof, but it doesn’t cost anything and is easy to do. 

Tweet This Post Buzz This Post Facebook Reddit This Post Stumble This Post

The best silver coins for investment, many experts say, are so-called “key date” coins issued by the U. S. mint.  These are coins of a specific date which are now rare or are available in very limited supply.  You want the very best grade you can find that you can afford to buy.  If you can’t come up with $1,000 or more per coin (for key dates in the higher grades), you can obtain more common silver coins — again, in the best grades you can afford.  However, these more-common coins will probably not appreciate in value as much as key date coins would.  Many experienced coin collector/investors choose to accumulate pre-1965 U.S. silver coins (which were 90% silver), and silver coins from foreign countries, all in high grades.  

These are probably the best choices for the average person who has to operate on a modest budget.  Most silver half dollars (50-cent pieces) — including Walking Liberty, Franklin, and silver Kennedy varieties — are thought to be undervalued at the present time; but again, buy only the higher grades.  Another area of coin investing you may wish to consider are the so-called “bullion coins,” (e.g. Silver Eagles).  The U.S. Mint sells proof and mint-marked versions of such coins on its Web site.  They contain the same bullion purity content that the regular coins do, but they were issued in limited numbers and were struck to a higher standard of quality.  These offer a double potential: the precious metal they are made from will always be worth bullion value, and in all likelihood such coins will increase in value due to their rarity.  

 

Tweet This Post Buzz This Post Facebook Reddit This Post Stumble This Post

With silver coins scarce nowadays in your pocket change, the traditional ways of beginning a collection are now lost. In the old days, kids interested in coin collecting could simply go to grandma and ask for a few coins, usually of one denomination or another. Today, kids who want to start collecting coins of a certain vintage, minted before the government removed the true silver coins from daily circulation, may have to find a piggy bank that an old relative hid in the attic. Of course, you should always have permission to take silver coins.  

They have value far beyond the coins you dump into the vending machine.  For those adults who are more solvent, there are several places to located silver based coinage, but these grab bags of coins are likely to be more expensive and also likely to have no rare dates.  Those are likely culled from any seller’s offerings.  The obvious place to look is on an on-line site.  Several well-known ones may be safe, but you never can be sure what you will receive in the mail from an online purchase.  Make sure they have a solid return policy in place. 

Let’s face it: you will want to look at the silver coins before you fork over your paper cash to purchase coins.  It is highly likely you will be able to determine if the coin meets your needs.  If you are a total newbie to the concept of coin collecting, you will want to check for a reputable dealer who is offering assorted silver-based coins for sale.  You may find specific dates, whether dimes, quarters, halves, or dollars, but these will surely cost a premium, even if the date and mint markings are not rare or collectible.  And, if you do find some silver coins, please do not use them to buy a snack in the vending machine.  So, don’t carry your genuine silver coins in your pocket–ever. 

Tweet This Post Buzz This Post Facebook Reddit This Post Stumble This Post