Silver is Up A Bit

i have never had anyone weigh my junk silver just count it and pay me

 

Log in or Sign up to hide this ad.

It's been interesting watching where this thread went after where it started with the original post

 

Yes but no one's selling at the same price they're buying: it doesn't work that way.

Looking at Provident's website (3pm EST 1/14/15) you can calc the spread and see how postage kills you: http://www.providentmetals.com/90-junk-silver-us-coins-1-face-value-715-troy-ounces.html

Your SELLING and assume they'll pay you what's posted for 4 Washington Quarters weighing 22.563 g. or 0.7254 Ozt : $ 12.88. or $17.73/Ozt Fine Ag. Additionally, you pay postage costs, ~$3.50? to net ~$14.25 per Ozt Fine Ag, when Silver is $17.02. Ouch! You'd be lucky to get 10x Face.

Your BUYING the same item/weight, $14.31 or $19.73/Ozt. Fine Ag plus $5.95 postage = 20.25x Face or $23.88/Ozt, a 40.3% premium over Spot Silver.

Paying 13.5x Face at the LCS is a screaming bargain compared to Provident, in this example.

 

i dont sell to dealers i can get 13.5 x face right now no problem

 

It's useful to see what a reasonable retail premium is, "13.5x Face."

On 1/9/15, Silver $16.24 with the Wholesale Cash Price (715 Ozt) $18.07/Ozt Fine Ag, the Wholesale Premium was 11.27%.

On 11/20/14 Silver was $16.20 and the Wholesale Cash Price was $17.852/Ozt Fine Ag the Wholesale Premium was 10.20%.

Paying "13.5x Face" for those same 4 Quarters (Fine Siver weight as above, 0.7254 Ozt) is the total in either case, assuming no additional costs (postage!) = $18.61/Ozt Fine Ag.

The retail premium over wholesale is ~3% or 4.25% on those respective dates, but 14.6% - 14.88% over Spot Silver.

Buying slicks and paying postage extra can easily jack your "premium over Spot" to >25% I'd guess. Check eBay sales for a clearer estimate.

 

Private sales

 

Private sales and trade aren't retail, by definition.

On eBay the 25 cheapest small Quarter lots over the last 2.5 months average 13.635x Face (including postage) and almost never below 13.5x Face so that rate is indeed cheaper retail.

 

Remember, Provident has a $1000 minimum when you're selling to them.

 

Not surprising, but that's their quote on the page. I'd bet they weigh bags too lol

 

I don't feel too bad about that 13.5 x face now that it has been explained to me in such great detail. I walked to the LCS and even saved some on gas, so that makes it even better! And they let me bring my dog in, so she got a walk too. It was a win, win, win if you include the dog in the equation.

 

deals are out there i have done pretty good this week 22 total ounces 2 separate deals paid a total of 152 dollars thats a win for me

 

The Swiss action has to help silver and gold prices.

 

Strong up day for silver so far, sitting at $17.75 currently

 

Good point jeffB - always read the fine print and factor ALL costs: 1st Class, Registered, Insured!

Hypothetically, if I sold and shipped to Provident a package weighing {1 ozt Au bullion and 4 Washington Quarters, weighing 31.035 g + 25 g} ~2.4 ounces, to meet their Minimum and Terms, the US Post Office confirms the total shipping cost will be USD 20. Since 90/10 Silver is 44.6% of the weight-cost ($6.69, not "$3.50" above) w/ insurance negligible, my total net for that sale ($12.88) is just $6.19! Seller collects less than 6.2x Face, in this example: factor all costs.

Madness. The LCS will offer much, much better than that.

 

i have sold to provident yes there are shipping cost to factors but who is going to sell close to the time/price they bought it at. I paid 15 an oz sold for 42 an oz so the small shipping charge did even matter

Some of you are acting like buy today sell tomorrow

 

buying insurance for bullion is a waste of money unless you go registered other wise the post office will not pay off for bullion doesnt matter how much insurance you bought

 

Provident's Terms, not yours buddy. (Anonymous on the internet is once again proven wrong.)

See their FAQ: http://help.providentmetals.com/hc/...ge-to-Provident-after-I-have-sold-some-items-

"You should ship your package Priority Mail Insured and Registered. Without using these services, you assume the risk of the Post Office not covering your claim in the unlikely event that your package gets lost prior to its arrival at Provident. Provident assumes no liability for your package until it has been signed for by a Provident Metals representative. Registered Mail is the safest way to ship anything."

 

i know that like i said i have sold to them i was speaking in general about insurance

 

also You should ship your package Priority Mail Insured and Registered.key word is
should doesnt say you have to just a suggestion

 

First off, 'don't believe everything you read on the internet.'
Secondly, repeated bragging is suspicious.
Thirdly, 'too good to be true' is usually neither.

I'm very doubtful anyone (including any bulk bullion dealing pros) posting on this site actually paid $6.91/ozt for .999 Ag in the last week or so.

I also don't think any bullion stacker here sold to Provident Metals for $42./Ozt - please show us the receipt otherwise (name and address blacked out, obviously.)