Best way to sell silver--eBay, refinery, or locally?

I was curious about this, as I have been collecting silver for about 2 years. I have a nice amount, and for the first time will need to unload a bit to pay for some unexpected bills. I see that silver goes for above-spot on eBay, but I'm sure that's to counter the enormous fees. Refineries will pay you below spot, but that, again, is to offset their costs (not to mention shipping, etc). I may try locally, but everything I've seen so far indicates that local people want a GOOD deal, i.e. 70% or 75% of spot.

I've got approximately 25 ounces I'd like to sell, but I don't want to just give it away. I'd love to get somewhere around 90% of spot if at all possible, but is that wishful thinking? I know for sure that pawn shops are out of the question. I almost passed out last time I went in one just to test the waters. I got offered a whopping 50% of spot! That should be illegal. I can't even imagine the money those thieves make from stealing people's silver and gold.

Any help would be great. Also, if anyone is interested by some chance in buying silver, feel free to shoot me a message and we can talk! Thanks, guys!

 

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I feel like eBay would be the best bet, if the shops and refiners pay 75% at max, you can get spot on eBay and then pay the 11% fees and have the buyer pay shipping, so you get 89%, close to what you are looking for.

 

ebay is a good venue for selling silver. I sold a bit of silver bullion earlier this year when silver was spiking. My experience is that I got very close to melt on average. Some coins sold for above, some sold for slightly below. Subtract around 12% for ebay and paypal fees.

I was still averaging over 95% of melt while I was selling mainly silver rounds. I also sold some circulated Peace and Morgan dollars as well, these would go for about 10% over melt, so I was getting real close to spot on them, even after subtracting the fees.
I think you'd be hard pressed to go to a dealer and get get him to pay you that.

A couple of pointers; sell when the price of silver is appreciating (like right now before they reach a deal on the debt ceiling, or even better a week from now if they don't), list all your auctions as no reserve pure auctions, make them seven day auctions(generates more views, and more interest, thus more bidders), end the auctions on Sunday evenings(maximizes exposure).

Good Luck!

 

Race just gave you some awesome advice!

 

I have A question about eBay. What if you start a listing at melt, then silver goes up, say $5 an ounce, but you already have bidders so you can't close the listing?

 

Hope that it's bid higher. That happens often.

 

Your question isn't very clear. If you start an ounce at melt and then silver goes up an additional $5 an ounce, well that's more money coming your way. In other words you gotta learn to take some risks. No risks, no money. That's how ebay works. Another thing is bidders prefer bidding on 0.99 cent auctions. In other words, it's not that good of an idea to start selling at melt prices, I mean in this market it may work but better to start low. If you can't see yourself starting with minimum auctions, join a coin club and sell there. good luck!

 

I have to concur with that point. When I sold silver Maple Leafs on eBay, I started off with 99-cent auctions. They always sold at a little above melt.

 

I like selling to kitco. Good prices and the only fee is the insured mail.

 

Have you done any ebay selling before? A lot to learn if you haven't. But it can work great for small quantities. Given the risks of taking paypal, & possible scammers, personally I wouldn't sell more than $100-$250 worth of bullion at a time on feebay.

Lately I've been using 3-day auctions, & pricing the silver at roughly what it's worth, & after looking at "completed auctions" on feebay. (The "start at $ .99 thing", that can work, but I'd rather just price it for what I want. If you've priced it fairly, someone will buy it. I don't need the drama/uncertainty). And with a 3-day auction, less risk the silver price will go down.

Don't forget to price for your shipping & ins. cost. Then there's having enough mailing & packing supplies.

 

I've always started auctions at $0.99 for all kinds of coins and bullion and have never been dissapointed. They always sell above spot.

 

Agree.

In fact with a commodity like bullion, you actually scare away more potential buyers by trying to limit your losses using a Buy it Now price, or setting a reserve. I set all my auctions for bullion coins to start at 99 cents, haven't been dissappointed yet.


Too many buyers won't even look at an auction with a Buy It Now price or reserve. Ebay makes it very easy to filter out these type listings. It's all about exposure to the maximum number of bidders.