silver bullion investing

This topic has been spread into a few different posts. Since you are relatively new to the forum, I did not take that into account. I sincerely appologize if I offended you.

 

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About the dealer thing I was just wanted to know more about being a silver dealer and I was interested in it but National dealer said you really can't make much.
thanks

 

yes..........but they dont cover boullion except the 1 oz collectables.

Youd have to call to get current prices.

I didnt realize you were trying to become a dealer........if thats the case.........my advise is void ......ND is youre man.

I am a small investor.........as such i look for 50-100 bars........not truckloads.

 

Okay my email address is isaac@aperkot.com

 

So do you buy from them? Where do you usely buy from? Sell to?
thanks

 

I don't know of a single dealer that only sells bullion. This is best left for refiners and private mints.
Regular coin dealers make money, often good money, but this is done by selling collector coins. It requires a very indepth understanding of business, and coins. A lot of smart knowledgeable collectors cannot be dealers. This doesn't mean they can't make money on coins, or even sell a bunch on places like Ebay.
When people choose this business, it is usually because of their passion for coins.
I would not willing change professions for anything. I love the people, the coins, and the business overall. I can honestly say that I have never worked a day.
I also would not want to discourage anyone from considering coin dealing as a profession. It is the best in my opinion. I just provide the facts as I know them. This is not a business for the average collector, or those who try to operate on a shoe string budget.

I hope that clears up this topic.

 

well, this is probly thin ice im getting on here.
I dont like to upset anyone........I know ND is a dealer and he is very knoweldgable and is respected, I dont want to stir up anything with anyone.

My personal answer is No....
I dont buy from them.........theyre prices are outrageous.
They pay near melt to buy.......but their premiums are way to high when selling.

Im sorry.........but like them, Im in it to make money ......
It isnt an investment if Im letting my emotions dictate to me and buying from them at a higher price.

I only buy when i have searched every avenue, including ebay and found the lowest price.
When Im happy with that.....I buy whatever amount is available and sit on it.
If youre getting into dealing, my advice is useless to you.
ND is a dealer and has many more resources for buying in quantity.

I was assuming you were a small investor like myself with $10,000 or less to buy with.

I have pretty much covered my tactics in buying silver and Platinum.

I spend about half of what i have immediately.
If the price drops, I will spend about half more.
the more it drops, if thats the case, the more i buy until i have nothing left to spend.
Then wait for the price to raise.
It might be a short time..............OR......it may be a long while (years even)

where i guess i may differ from others is I love to see the price dropping even when Im sittiing on a few hundred ozs..........it gives me more incentive to take every dollar i can get and buy even more.......

Dealers are probly not going to do this as they are buying and selling everyday.

BUT;

I do know another dealer who buys huge amounts of boullion when the price is low and will not part with it until the price goes up and he can make a pretty sizable profit

The last time i talked to him he was sitting on thousands of ounces of silver.........bought when the price was at its lowest a few months back.........and he wouldnt even sell me a 10 oz bar of it.........
Obviously the dealer can play the same game the investor does and on a grander level in my opinion as they have connections we do not and can buy in a volume we cannot.

If youre investing. then plan on it being a long term thing.
If youre getting into being a dealer i really cant help you.......


edit.
I buy from ebay a lot.......sniping mostly
I sell when the price is in my favor to allens and to Kitco......

 

Well sir,

I do not take any offense on your comments. We were just talking about two different things at the same time. I hope you were not offended.
I do agree with your opinion. I have many clients that buy the same way you do. It does take a lot of patience and research, and is never guaranteed as you have made clear. That is exactly why I do not recommend it for collectors.

 

I am not going to be a dealer. I just wanted to know more about being a dealer because I was into it for a little. So you don't buy from coin dealers? I have tried to buy on Ebay but the auctions go way over the spot price. Why is that. I have over $500 that I am bidding and I can promiss you that I won't win one auction. I bid a little over spot but these people bid 3.00- 4.00 over spot. Does Kito have good prices for buying? How do you sell to Kito?
thanks

 

How does Kito make money? They are bullion dealers?

 

When youre ready to sell just check this page out.........
https://online.kitco.com/scripts/selltokitco/shiptokitco.pl

You can also call them and theyre very friendly folks.

well, the ending price friday was $6.05 for silver.
I wouldnt count on it going much lower than that......it *may*, but dont plan for something like that.
I guess with me, I never get in a rush when Im buying.......
I just sit on the cash and wait........eventually youll find a deal, either online or on ebay.........but I hope youre not counting on buying at spot much........dealers arent going to give that price and with ebay you have to wait till a deal comes around.........

Very likely youll end up payiny over spot...
With that in mind remember that the smaller the pieces of silver you buy, the more youre going to pay in premiums..........

Folks love Silver Eagles, but if its boullion youre trying to deal with, treat them like the plague unless someone is just trying to give them away........the premiums are just too high.

buy your 50 and 100 oz bars.......but I would shop around a bit first......
I mean, i wish i could just point you to someone who will sell to you cheap, but it doesnt work that way if you dont have $20,000 to invest.
When youre buying like 100 oz at a time, you just have to watch for deals......

I bought some silver at a coin shop here in town at spot just becuse the man couldnt sell it..........
Its one of those things that will never happen again, i was just in the right place at the right time.

As for Ebay.........dont bid on auctions until the last 15 seconds then try to snipe...if you bid before that you just help drive the end price up.

Check ebay very frequently and look for the recently listed ''buy it now'' stuff...........some of the 1/2 oz platinum Eagles i bought there were being sold at $10 over spot and very cheap shipping...

Just keep your money hand and look all over the internet..........if your in a big city......call around to coin shops and places and see who buys and sells boullion.

 

heres one i would grab
Platinum closed at $798 making this worth about 399 at melt


http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&category=39486&item=3910507390&rd=1

Ive bought from this gentleman before and hes very honest and very prompt.....

if you buy this and the price drops.........buy another......
if it goes up to over $900 again.......mebe you make a few quick bucks

I looked at ebay and at this point that was the only item I would buy.........

 

So do you recomend buying silver at 6.05? Does Kito have good prices?
thanks

 

youll have to check their site........I dont buy from them.......I only sell.

At 6.05 youll be lucky to get it at 6.60 or so and Id bet youll have to buy 100 oz bar minumum to get that price.
If i was in the market to buy currently.......yeah......Id buy silver and Platinum now

 

I hope the OP understands that when you buy bullion from KITCO, and other similar firms, that what you receive, in return for your money, is a certificate that tells you how much bullion you own.
If you want to take actual possesion of your bullion, you will be charged an additional fee for fabrication and S&H.

 

''They go up - they go down. They run in cycles - it is inevitable''

and having the patience to wait it out and not bailing when the market drops........even for a long period of time.........is the trick to metals.

Ive only been into metals for about 4 years and i have made money every time Ive sold except at the beginning when i let a Dealer talk me into buying those worthless Silver eagles.
Theyre great as coins but suck as far as boullion goes.

If the OPs intention is long tern investment with a chance as maybe make a few dollars short term, then silver and mostly Platinum are the way to go.
As long as he doestn just buy from the first guy that shoves a chunk of metal his way.

The Platinum eagle I posted ealier is a great buy at todays prices............and if the price goes back to the $600 range for a long while........he could just by more at the better price.....
As you say, its inevitable.......the price will go up agian at some point ..........mebe 10 years from now.....right about the time some of us are looking to retire :-D

 

Where did you learn all this about investing in metals?

 

Man..... :-D are you trying to set me up here?
Can plead the 5th on this one?

Well, when i started like 4 years ago or so I knew nothing.....
And i was lucky enough to find a dealer who was lookin for a sucke.......er......customer who wanted ''boullion'' and he was kind enought to not explain the differnce between coin collecting and boullion...

So a bit later i think the price went up slightly and im thinkin mebe i can break even......
Not even close.......the premiums on the Silver Eagles he had sold me insured that I couldnt sell and break even unless the price went up like $3 0z minimum.......

OK.......harsh lesson.......I lost my rear end and obviously this dealer was happy.

Without hurting anyones feelings here, I want to tell you something.
Everyones in this game to make a buck.........there are some nice folks out here who will try to guide you, but in the long run everyone wants to come out ahead.

I love dealers, God bless em, but theyre not exactly going to be lookin out for me when it comes down to it.
They have a business to run and want to make as much as possible on each deal.

IN all honesty, your best bet if youre insisting on gettting into metals is buying from private sellers unless you have a boatload of money.

Metals isnt like coin collecting.........collecting is for the fun.........boullion is for the money.
Forget emotions and find the best price.......be it Ebay or whatever..

Ive learned what little i know the same way I learn everything else.......i jump in head first and get the crap kicked out of me till i figure out whos kicking me and how to play thier game.......

If I were you, Id start small and keep your eyes open to all the reports on places like Kitco.com

Be aware tho that Kitco is a dealer and in the long run they are lookin out for Kitco......If you watch their site sometimes you see certain articles that if you put 2 and 2 together you can tell theyre trying to set themselves up for a big score at some point when say something like gold drops very quickly and folks panic....
Sorry, but its just my obsevation.

anyway........watch the markets........read up on things that change the prices......its all very interesting....


edit......
btw......i wasnt sure if you saw that Platinum Eagle i posted ealier

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&category=39486&item=3910507390&rd=1

IF i was looking to buy now, Id buy that in a heartbeat........t

 

Thank you SO MUCH for all your help!!!! I want to ask you one more thing I have already asked but you really did not answere it. On Ebay why do people bid SO MUCH MORE then spot price? Like I said I bid a little over spot price but I never win because other people will pay so much more than spot price.
thanks again