What premiums are you seeing and where?

I live in the DC Metro area. It looks like the main LCS I deal with is about $1.70 over spot on junk as well as common silver rounds/bars. ASE's are a few dollars higher. Seems the difference between LCS and online has shrunk they past few years.

 

Log in or Sign up to hide this ad.

I go to shows for bullion so I can make them compete for my purchase. If I was buying in MA at a dealer, I have been seeing 15-16x face for half dollars and down, dollars around 20-24. Eagles seem to be getting close to online pricing, yet generic is cheap enough,$1 over. I think it really depends on your relationship with who you are buying from. I see them sell for way more than what they charge me. You have to be able to walk away.

 

$18 per dollar face for dollars, halfs, doesn't matter. That's how I got to $1.70 over spot. I'll have to check for shows in my area. Just trying to avoid all the Chinese fakes. I trust my LCS 100%.

 

Isn't that $5 over spot? $18/.715= $25.17

 

At the coin shows in my part of Central California dealer's are paying about $24.00 for ASE's and selling 90% silver (dimes, quarters, and halves) for about 2 points over melt. Morgan and Peace dollars in low grade were being sold for $28.00 each and I didn't see much of any XF - AU common date silver dollars out for sale.

 

about a moth ago i got some halves,,10 worth,,90% dealer wanted 175-185 i can't remember but walked out for $165..i let ya know the ate in a bit

 

12-12-13 $165 @ 20.31..Oz.

 

Your doing the math wrong. Spot x .715...

And to Makecents... 15 -16 x face is about current spot. They selling at at spot?

 

If you want to buy $1 face junk silver at spot you would need to pay Spot x .715.
Example: Today Spot is $20.35.
So to buy 90% Junk Silver at Spot it would be $20.35 x .715 oz = $14.55.
So you are buying .715 ounces of silver for $14.55 (If you bought an entire ounce it would work out to $20.35)

But if you pay $18 for $1 face of Junk Silver you are paying $18/.715 oz = $25.17 oz.
So you are paying $18 for .715 ounces of silver (if you bought an entire ounce you would be paying $25.17... $5 over spot!)

 

I use the Coinflation site which puts the value at $15.69 in silver. That puts my dealer at $2.30 over on junk. Both my silver apps have the same valuation. Thus why I am not buying junk silver right now. I can buy silver rounds and bars at lower premiums.

 

Actual melt value for 90% silver coin in xf or better condition is actually .72338 for half dollars, .72336 for quarters, and .7234 for dimes. Since most common date 90% silver is circulated the market standard is reduced to .715 to account for wear. Excessively worn coins such as the average circulated Barbers, all three denominations, and Standing Liberty quarters should be weighed since they have so much metal loss and even paying .715 times face could be too much.

Most dealers now have to pay more than they used to just to get the 90% silver coin and to maintain their profit margin they have to sell it for 2 to 2.5 points over melt.

 

I see... You are talking about what you pay over melt; I am talking about what you pay over spot.

 

It s the same thing only different terminology. If you pay 16 times face and melt value is 14 times face (At a spot price of $19.58) you are paying $22.78 an ounce or $2.80 over spot.

 

Yeah, I understand that... in that scenario you paid $2 over melt,, or $2.80 over spot (Spot being tied to 1 oz, and melt being tied to the actual weight of the coins).

I guess my whole point was that he said he paid $1.70 over spot at 18 times face; obviously paying $18 for a little over 2/3's of an ounce is not cheap silver,, that's over $25 an ounce,,, and I just didn't want him to think he was only paying $1.70 over spot. He could be buying new 1 oz Pandas for that kinda money.

 

Yes, I see now, that's $2.30 over melt value.
You are paying $18 for approx .715 ounces of silver, or about $25.17 an ounce. Yes, I agree, you can certainly find lower premium than that on just about anything.

 

I understand now. I used the dollar value and not the half or below adjustment. I also think the lady there was new and accidentally quoted me $9 on halfs because dollars were at $18. Their qoute on generic ounces was $1.70 over. My op missed the difference. I'm sticking with the ounces of course.

BTW.. right now on eBay people are paying $25 an ounce consistently. It's amazing. $9 on halfs on the low side. Well into the low 30's on ASE's.

 

Sounds like a plan...

Back to your original Question.

My LCS in Texas charges:

ASE = Spot + $3.50-$4.25
Maples = Spot + $3.00
Philharmonic = Spot + $3.00
Pandas = Spot + $6.00
Koala = Spot + $4.00
Kookabura = Spot + $4.00
Generic = Spot + $1.75
Junk = Spot x .715 + $1.50 (Essentially $1.50 over melt,,, $2 over spot)

 

Yes i get close to spot for junk 90 from a couple dealers and at a show in MA i get very close to spot or almost. I also get $100 face almost every show off these guys but i think they are the best around.

 

Today's close was $20.32 so spot price would be $20.32 x .715 = $14.53 times the total face value of the dimes, quarters, and halves. Anything over $14.53 you are paying over spot price for that silver coin.

 

I have paid about 15x face recently, so I guess that's pretty close to the going rate.