Hi, I just started stacking silver then came the roll hunting right after. What I'm wondering is with all the junk silver coins out there what is the percent a dealer will pay for them? Meaning do dealers pay 80, 90, or even 100% of the silver melt value? Also, what would a good percent to buy the 40% or 90% junk silver coins if I'm buying from an individual? Thanks in advance.
You are going to be lucky to get 3/4 of melt value. I would say maybe less. I know I usually buy at close to melt, so for them to make money they must be buying at far less than that.
I recently bought for 14 x face value, but I think it's up to around 16 x face or more now. I haven't bought anything for a couple of weeks.
I pay 2 points under melt and sell it for 1 point over if I can even find any to buy. I usually don't keep any in stock very long.
Provident Metals, a large online dealer, is currently buying right at or very slightly above spot -- but you have to sell them at least $1000 worth at a time (actual value, not face value). Local dealers at their storefronts will offer less; dealers at a show will offer closer to melt, and likely sell closer to melt as well.
If melt value is 16 x face then I pay 14 (16 - 14 = 2 points under) and I would sell it at 17 (17 - 16 = 1 point over). By doing it this way the person selling me the silver coins gets a better rate and the buyer doesn't pay as much of a premium as he/she would if buying it from an online source or the local gold and silver buyers.
