Thoughts on Canadian "junk" silver

Discussion in 'Bullion Investing' started by alucard86, Jul 17, 2019.

  1. alucard86

    alucard86 Active Member

    I have a LCS that's selling the 80% dollar and half dollar at spot. I know they dont really carry the demand or premiums like our 90% coins, but it seems like a good deal to me. 80% dollar coins are just under $10 per coin while morgans & peace dollars are well over spot if you want Avg Circulated and not cull. So stack or not to stack.
     
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  3. furryfrog02

    furryfrog02 Well-Known Member

    I like it. For resale you obviously wouldn't get as much of a percentage back as you would for 90%. Still for spot, I'd probably pick up some. I don't know if I'd "stack" it like 90% though.
     
  4. Michael K

    Michael K Well-Known Member

    Canadian silver dollars at 80% currently have $9.43 in silver.
    If they were sold their total weight at spot, @ $15.75 per ounce = $11.81.
    If you are paying less than $10 that sounds like a bargain.
     
  5. Bill in Burl

    Bill in Burl Collector

    Yes, each face dollar of the silver denominations from 1920 thru to the 60's is 0.6 troy ounces of Ag.... easy to figure out in your head, once you take away any wear on the coins.
     
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  6. myownprivy

    myownprivy Well-Known Member

    What on earth are you talking about?

    Canadian silver dollars have .6oz asw for $9.45 worth of silver at today's spot of $15.75.

    Under $10 is not "a bargain," it is paying spot. Where did you come up with $11.81?!?!?!?!?!?!
     
  7. Collecting Nut

    Collecting Nut Borderline Hoarder

    If you're paying spotvthen it's a good deal. When you sell you will obviously receive less as they are 80% silver content. Morgans and Peace Dollars sell at a premium for a reason, supply and demand. The same will apply to Canadian junk silver.
     
  8. myownprivy

    myownprivy Well-Known Member

    Canadian junk usually sells at spot because the buyback is a few points below spot. It's usually a similar spread to buying American junk.

    Buy American junk for a couple percent over. Sell for a couple percent under.
    Buy Canadian junk at spot, sell for 5% under.

    It's usually the same spread for you as the buyer and them as the dealer. So don't think you are getting some wonderful deal.

    Canadian junk is great, in that the asw is a nice round number, .3 for halves, .6 for dollars, etc. whereas American junk is not a nice round number. But besides that, the drawbacks are there are fewer potential buyers of Canadian junk than American junk. However, I do like some of the designs.

    My own stack has mostly American but some Canadian. I agree, Canadian dollars are much better to buy than American dollars, because Peace and Morgans just have far too high of a numismatic/collectible value attached to them that you will never recoup when selling to a dealer.
     
  9. TheFinn

    TheFinn Well-Known Member

    I have a few dealers that will sell me the P/L sets for spot (1.11 oz. Ag). I get the cent and pure nickel 5-cent piece free. These are easy to resell at spot or over.
     
  10. Dillan

    Dillan The sky is the limit ! Supporter

    There is a place selling the Canadian dollars uncirculated mixed variety from the 1950s to 1967 all 80% silver at 100 dollars for $923.00 I think that is a fair price especially that these are not junk silver and a person could sell some to lessen the cost of the others . They also have ?Silver Eagles at .49 over spot. I have not bought lately but that was the last advertisement I received. Dillan
     
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  11. alucard86

    alucard86 Active Member

    I was thinking of getting at least a tube of 20 Canadian silver dollars and a $10 FV tube of half dollars. All mostly avg circulated but not worn out like some walking liberty halves and Washington quarters. Full detail.

    I'm still on the fence with the Canadian quarters (80%). I also won't touch the dimes b/c for the price I'd rather have the US dimes (90%).
     
  12. Histman

    Histman Too Many Coins, Not Enough Time!

    I will buy Canadian and all foreign silver any time when it is at spot. Many times you can get it at below spot. I know the resale market isn't usually there, but silver is silver. We collect 35% War Nickles and 40% Kennedy Halves, so why not other denominations and purity? I'll buy it every time.
     
  13. myownprivy

    myownprivy Well-Known Member

    Actually, few bullion buyers like 35% of 40% silver. The reason is because the buy back price is awful. For instance, when a 40% half's melt value is $2.25, you can expect a dealer to pay $1.75. That's over 20% below spot!
    So that's wonderful if you bought your 40% silver at spot. So your margin is buy at 0% sell at -20%. That's bad.
     
  14. Histman

    Histman Too Many Coins, Not Enough Time!

    Except I don't sell. I stack and stack and stack. I have no intention of ever selling. Same with the foreign silver, bullion, 90%, gold. So, no loss, ever. I've had what I've bought for over 40 years and continue to increase the stacks. In a hundred years if someone wants to sell it at a loss, that is up to them. :)
     
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  15. myownprivy

    myownprivy Well-Known Member

    You're lying to yourself.
    If there is an emergency, you will sell. That is why you stack.
    If there is never an emergency and you pass on your stack to loved ones, they will sell or hold for an emergency and then sell.

    No matter what the scenario, they will be sold at some point by you or by someone important to you. And if you buy things with bad spreads, you are only wasting money and shortchanging your loved ones.
     
  16. Histman

    Histman Too Many Coins, Not Enough Time!

    I've been collecting and stacking for over 40 years. I've had plenty of emergencies, including deaths, house fires, an earthquake that caused a sink hole that swallowed half my house and a car, still have every coin I've ever collected. Since I bought the coins (at whatever price) and then pass them on to loved ones -- they get them for free, so although the coin will be sold for a loss (by them), they are not losing anything. They got them for free. Perspective!
     
  17. medoraman

    medoraman Supporter! Supporter

    Canadian usually is back of spot except for dollars from what I see around here. I would say the dollars at spot are a much better deal than the halves. I would buy the dollars at spot, but the halves only if I wanted to "collect" them someone, i.e. find them numismatically interesting.
     
  18. Histman

    Histman Too Many Coins, Not Enough Time!

    Over here on the West Coast I have to wait for someone to post them online for sale before I can get my hands on Canadian coins (other than pennies). Get coins from Mexico on a regular basis, but that's it.
     
  19. Bman33

    Bman33 Well-Known Member

    I have no interest in Canadian Junk Silver because not many others do. The buy back would be to a dealer that would send it off to be melted. Not good.
     
  20. Collecting Nut

    Collecting Nut Borderline Hoarder

    I have a few pieces that I received in rolls but I do not live in Canada. Stackers have and want US junk coins in case our current monetary system fails. US junk can be spent but Canadian can not.
     
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  21. -jeffB

    -jeffB Greshams LEO Supporter

    My experience during the "busy" period for silver (2011-2012) was that Canadian silver always traded at more of a discount than US silver. (This was, of course, in the US.) I assumed at the time that US refineries could process known-composition 90% US silver more easily than other compositions, but the bottom line was that there was more demand for US 90%.

    I bought a good bit of Canadian silver (80% and .925) during that period. Needless to say, I didn't get rich on it. :rolleyes:
     
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