What’s the lowest offer a dealer gave you to buy your bullion?

Today I walked into a local place in Los Angeles that I found on Google.

I wanted to sell some 1oz silver generic rounds so I could buy some platinum on JMB.

The guy said he pays 30% of spot for gold and silver.

No that is not a typo: He offered thirty percent of spot!

Thats about $8/oz for silver.
& about $540/oz for gold.

I actually laughed. Obviously I didn’t accept his deal. He actually tried to make me feel like 30% of spot is a fair dealer and that I didn’t know what I was talking about.

Then I tried to show him what JMB pays for bullion and explained that it’s closer to 80-85% that is a fair deal.

He responded to that by saying he has to pay overhead, utilities, employees, rent etc., and that is why 30% is fair.

But I know a lot of dealers with physical stores like Vernillion Enterprises who pay spot or slightly less for silver & gold.

It was definitely an interesting experience being lowballed like that. I’ve never been nearly as badly lowballed by a dealer.

But I’m curious how often it happens to that extreme.

What’s the lowest offer a dealer has made you for bullion?

 

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Where did you go??? Sounds like a sketchy “We Buy Gold and Silver” place trying to rip ppl off lol.

 

You should've asked him if he would sell you some for 80% (or less) of spot. lol

 

Yes it was indeed! It was one of those hole in the wall places.

But it was nearby and I thought they would at least be in a reasonable price range.

He probably would've said "Nope I got expenses to pay."

 

His overhead is not your responsibility.

 

Of the ten people that walk in his door, he likely is successful with eight of them. I bet his business model works.... But that’s the great thing. You are savvy enough to say no thank you.

 

That's insulting.

 

Local Coin Shops in my area are all paying at least spot to a $1 over spot for Generic rounds and have been since July 2020. sounds like they are praying on the desperate or uneducated and probably doing very well. Did you happen to see what they were selling for while you were in the store??

 

What are the laws for buying Generic rounds in California? In Florida the buyer must hold them for 30 days, also there is paper work to be filed with the Sheriffs Dept., if the laws are similar i could see the 30% below spot because you don't know where the prices will be at in a month.

ADD: 30% is still robbery imo

 

Even if He/She is batting 500 they are still making out like a bandit!

 

30% BACK from spot?
My local G&S store pays 25% BACK from spot...so if spot is $20, they pay $15.

Maybe make a call and ask again then actually get a dollar amount of what they are paying.

I turned in some aluminum cans at the scrapper Friday and the guy said we pay 40 cents a pound.
He asked me if that was good?
I laughed and said we both know that its not, but it is what it is.

 

Little over a year ago $15 an ounce haven't bought 1 OZ silver in a while and I've been getting my silver for F.V.

 

I've been known to help out with buying a bit of scrap silver and gold from time to time. A friend brought me an assortment of gold scrap that a lady was looking at selling.
She didnt say what she wanted for the lot just make offer...
I looked it over, weighed everything, checked the gold content and figured there was about $110 worth of gold in the lot.
She had a gold cap from a tooth with the glue still on it.
3 small specimen quartz and gold rocks
(one was cool but still too small for a jewelry piece)
A very worn 14k marked ring along with a small 10k hoop earring. Etc.
After a half hours work, I offered $60 and gave them back to my friend.
He told the lady my offer and she wanted $200, so he called me and asked if I was interested at $200.
Sorry nope, there is actually only about $110 in gold and I'd have to do all the work to seperate it out of the rocks and other impurities.

 

Recycling in CA is a scam. You pay 5 cents whenever you buy a bottle or can. Then you have to drive 10 miles or more to actually recycle the cans. When you recycle them, you get paid by the lb, which is less than 5 cents each.

 

This was in Arizona, 5 miles from California.
One of the other guys at the recycling center said California was paying $1 a pound.
I heard that you had to be a California resident to get that price.

There was actually a lady here buying cans out of her house in Arizona taking a truck load to California to get the $1 a pound.
She did it for a number of years then they said not any more.

 

Back in August I sold some of my duplicate junk silver halves at a coin show, when silver was over $29 an ounce. I got about 19 times face for them. Maybe about 15% less than spot. I walked out of that show having bought some stuff too, and still had more cash in my wallet than when I walked in. That guy was trying to rip you off. Stay very far away from people like that.

 

Yeah I asked how much he was selling 1oz generic silver rounds for and he said spot + 10% O_O

 

No not 30% back from spot.

70% back from spot.