What to expect when selling coins?

[1320]

I have a small silver coin collection that I am tempted to sell this week and I get a little confused over what these are really worth! Does the silver calculator factor in the 90% content of coins or is it based strictly on the spot price of silver? What I mean is, I know my coins aren't 100% silver and it costs money to refine them as well....are these factors considered in the calculators quote?

I have 33 dimes ($88), 33 quarters ($220) and 15 Halves ($200), a little over $500 according to the calculator. If I sell, I would likely take them to a local coin dealer where it is my understanding that they pay X times face value...what the heck does that mean?! Does the X times method account for the 90% content and melting fees?

Since some of the coins have semi-key dates and most of the quarters are Standing Liberty, would I be in a better position in regard to the X times face value or would I be better off trying to sell those individually? I haven't ebay'd in a while but I've heard the fees are trending upward and I could actually lose money selling separate when compared to the X times method but I would certainly give it a go if advised otherwise.

 

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[hombre_de_plata_flaco]

The coinflation calculator gives you exact silver content price according to spot. Let me know how it goes, but I would expect an offer of 50% of the value calculated on coinflation if you go to a dealer - at least that is what the POS dealer in my area would offer.

 

[1320]

Thanks Hombre, I have a feeling my local dealer is likely a POS as well. I don't think I could stand a hit like that! That's more like pawn shop value isn't it?

 

[Mackaydon]

The least expensive dealers in my area take off 10% for the smelter then between 5-10% for themselves. This leaves me with 81-85.5% of the spot (silver) price.

 

[1320]

The least expensive dealers in my area take off 10% for the smelter then between 5-10% for themselves. This leaves me with 81-85.5% of the spot (silver) price.

Thanks Mack, I could live with that

 

[hombre_de_plata_flaco]

Thanks Hombre, I have a feeling my local dealer is likely a POS as well. I don't think I could stand a hit like that! That's more like pawn shop value isn't it?

In my area, I would expect to get 30% of spot from a pawn shop. They all advertise "TOP DOLLAR" paid for gold and silver, but it's nowhere near. They make their living taking advantage of desperate people and dope fiends. Last time I checked they were paying .30 cents/gram for silver.

I brought a bunch of pre-'64 "junk" 90% silver dimes to a dealer recently. I had already calculated the spot value before I walked into the shop. He looked at them and said something like "There are no mint marks on these". Yeah, he was looking for a "mark" alright - me. He offered me $150.00 for the lot. I politely declined and went home and listed them on eBay and sold them @ spot for $380.00 that very night.

Don't get in a hurry and you will get what you want out of them.

 

[jerseyben]

I just sold a bunch of 90%s on craigslist with little effort. Listed them slightly under spot. Silver dropped by the time the deal went through and ended up selling them slightly over spot!

 

[1320]

I just sold a bunch of 90%s on craigslist with little effort. Listed them slightly under spot. Silver dropped by the time the deal went through and ended up selling them slightly over spot!

Never thought of that, won't cost a thing! Thanks Ben.

 

[JD-GA]

I just sold a bunch of 90%s on craigslist with little effort. Listed them slightly under spot. Silver dropped by the time the deal went through and ended up selling them slightly over spot!

Never thought of that, won't cost a thing! Thanks Ben.

Be very careful when dealing with people buying anything related to precious metals or coins off of craigslist or it will cost you something. 3 rules to live by. Inside a bank only, in cash only, and you arrive first and leave last.

I buy gold and coins and such for a living and a lot of my business comes off of craigslist and i knowingly avoid at least 3 to 4 threatening situations a month so I have seen it first hand. Its desperate times right now and the last thing you want to do is advertise you have some valueable coins for sale then meet someone in a parking lot with someone who knows you are showing up with them.

People like myself pay times face and those doing it in a fair manner are usually only a few times face under what melt is. For example if the silver content in a 1964 washington quarter is $6.62 which is exactly what it is as im typing. Then you should look for no less than $5.50 for that quarter and of course higher if able. There are very few people on craigslist if any who will offer you melt value. Be more wary of anyone who does. Doesnt mean its not possible, but those who offer the most often times are those who will lowball you after taking the time to meet them. Goodluck.

 

[Mackaydon]

1320:
You might note that JD's figure would be 83+% of melt versus my range of 81-85.5%.
Don.......

 

[hombre_de_plata_flaco]

JD - How do you continue to post on CL for buying coins? Every time I attempted it my ad was flagged and removed. I had to post ads 2 or 3 times a day until I just gave up. Newspaper has been keeping me busy enough anyway, but I was just curious.

 

[trdhrdr007]

In my neck of the woods anyone buying gold/silver from the general public for resale is supposed to have a permanent location & be licensed. I'm able to make a decent living buying from other sources(antique malls, estate sales, etc) but would like to advertise to get more supply. How are ya'll dealing with licensing?

 

[minton7]

why would anyone sell for less than 90% spot when ARA (American Recycling Associates) in Dallas pays 90% of spot on ALL silver coins... war nickels.. forgeign coins and 40% halves included? You pay shipping but in most cases you can use the small flat rate box from the post office and if you pay online.. you have 5$ in it and get free delivery confirmation.....

 

[JD-GA]

JD - How do you continue to post on CL for buying coins? Every time I attempted it my ad was flagged and removed. I had to post ads 2 or 3 times a day until I just gave up. Newspaper has been keeping me busy enough anyway, but I was just curious.

JD - How do you continue to post on CL for buying coins? Every time I attempted it my ad was flagged and removed. I had to post ads 2 or 3 times a day until I just gave up. Newspaper has been keeping me busy enough anyway, but I was just curious.

Hombre--Its called persistence. I have an actual business office where I work from in order to buy peoples precious metals all day. Not a we buy gold or pawn shop, but an office where folks come in and sit down and watch the whole testing/weighing/transaction from start to finish. This means i have secretary butt from sitting at my desk and comp all day which gives me ample time to repost my ad on craigslist everytime its flagged. You mentioned 2 to 3 times a day? When you get up to 20+ per day let me know haha. My ad averages staying live on craigslist no longer than 9 minutes at a time. When you start averaging that long you will know you are doing it right. Buying and selling precious metals in Georgia without a license and permit and place of business is not only illegal but very very dangerous for both buyers and sellers. Just be careful and be persistent and you will get plenty of opportunity if you are fair.

In a bank only

In cash only

Get their first/ Leave last

Very little risk if you follow those rules. Get comfortable and get sloppy and it only takes 1 idiot looking for $10 to get another hit of meth to help you remember to follow the above rules. If you get another chance that is.

 

[JD-GA]

In my neck of the woods anyone buying gold/silver from the general public for resale is supposed to have a permanent location & be licensed. I'm able to make a decent living buying from other sources(antique malls, estate sales, etc) but would like to advertise to get more supply. How are ya'll dealing with licensing?

In Georgia you either get licensed, lease a building , and get your permits or you do it illegally in a parking lot until you get caught buying something stolen and go to jail or get shot. Was an easy decision for me.

 

[JD-GA]

why would anyone sell for less than 90% spot when ARA (American Recycling Associates) in Dallas pays 90% of spot on ALL silver coins... war nickels.. forgeign coins and 40% halves included? You pay shipping but in most cases you can use the small flat rate box from the post office and if you pay online.. you have 5$ in it and get free delivery confirmation.....

Several answers to "why would anyone sell for less than 90% when ArA will pay 90% of spot..."

1) ARA pays once your coins get there. Silver, as we all have seen, can go up or down 3$ + in a few hours time. Your price isnt locked in until your coins are received and unwrapped and your invoice is made. My clients prefer my 80%+ in cash when the deal is made.

2) Trusting the mail. Ever lost a package? Ever lost a package that was insured and tried to get payed on the claim? I have only once and it will never happen again. I payed $40 for something like $600 in insurance if I remember right and i got nothing back EXCEPT my original postage paid + what I payed for insurance. They said there is no way to tell if what I had in the box was worth $600. Tracking even showed that my package never left atlanta so it wasnt the receiver claiming it didnt get delivered.

3) Face to face business. Those guys at ARA are great. Ive spoken to them on the phone several times and I have not a single negative thing to say about them. However a lot of people prefer to do business on a handshake. A lot of my clients call me on sundays or 9pm who need me to come back to my store and open the doors so they can get some money for emergencies. This service is worth a lot more than the 5% to 10% difference. As mentioned above though there arent a whole lot of options like my business in many areas.

4) The idea of coins being melted really blows. Cant say for certain ARA does or does not melt coins since i havent been there in person but I know the refineries in Georgia SAY they don't but they REALLY do. For folks like me I would be sickened to sell my coins for them to be melted and gone forever in their collectible form.

Anyway there are some reasons, but that is each persons opinion as to why they would or wouldnt ship off their coins. Some may find the reasons above pointless but I would be out of business completely instead of thriving if people didnt fall into the categories above.

 

[trdhrdr007]

In my neck of the woods anyone buying gold/silver from the general public for resale is supposed to have a permanent location & be licensed. I'm able to make a decent living buying from other sources(antique malls, estate sales, etc) but would like to advertise to get more supply. How are ya'll dealing with licensing?

In Georgia you either get licensed, lease a building , and get your permits or you do it illegally in a parking lot until you get caught buying something stolen and go to jail or get shot. Was an easy decision for me.

I've been considering going through the process required in my area to buy from the general public. I'm fairly certain I could make a LOT more money buying from the public instead of haunting the antique malls & estate sales, I'm just not sure the extra cash would be worth having to man an office all day. That's assuming I could meet the licensing requirements.

 

[JD-GA]

In my neck of the woods anyone buying gold/silver from the general public for resale is supposed to have a permanent location & be licensed. I'm able to make a decent living buying from other sources(antique malls, estate sales, etc) but would like to advertise to get more supply. How are ya'll dealing with licensing?

In Georgia you either get licensed, lease a building , and get your permits or you do it illegally in a parking lot until you get caught buying something stolen and go to jail or get shot. Was an easy decision for me.

I've been considering going through the process required in my area to buy from the general public. I'm fairly certain I could make a LOT more money buying from the public instead of haunting the antique malls & estate sales, I'm just not sure the extra cash would be worth having to man an office all day. That's assuming I could meet the licensing requirements.

Do your homework and research. I spent 50 hours a week for 4 months checking out my competition, finding a good spot, counting traffic, reading census reports etc. Checked into all the licensing and permitting to make sure I could meet and keep requirements. For instance in my county you must hold all purchases for 8 days before melting by law or face a fine/license being revoked. In some countys its 30 days. Dont get into a lease until you KNOW what should happen.

 

[billjustbill]

why would anyone sell for less than 90% spot when ARA (American Recycling Associates) in Dallas pays 90% of spot on ALL silver coins... war nickels.. forgeign coins and 40% halves included? You pay shipping but in most cases you can use the small flat rate box from the post office and if you pay online.. you have 5$ in it and get free delivery confirmation.....

90%? With ARA, I've found that , yes they "SAY" they pay 90% of the market value the day "it was processed in", but ask them what was the silver purity...... You would expect that .925 would be at least 90% purity.... Chances are "YOUR" batch has less. The last one, they said some odd things, and that mine was only 72% purity......

It's a game out there and I haven't found a level playing field yet....

 

[trdhrdr007]

Do your homework and research. I spent 50 hours a week for 4 months checking out my competition, finding a good spot, counting traffic, reading census reports etc. Checked into all the licensing and permitting to make sure I could meet and keep requirements. For instance in my county you must hold all purchases for 8 days before melting by law or face a fine/license being revoked. In some countys its 30 days. Dont get into a lease until you KNOW what should happen.

I've owned more than one business & can't agree more with this. Nothing worse than being obligated to make payments just to find out you can't use whatever you are making payments on.

90%? With ARA, I've found that , yes they "SAY" they pay 90% of the market value the day "it was processed in", but ask them what was the silver purity...... You would expect that .925 would be at least 90% purity.... Chances are "YOUR" batch has less. The last one, they said some odd things, and that mine was only 72% purity......

I've sent somewhere in the neighborhood of 30 batches of sterling to ARA over the last 18 months. The vast majority were assayed at 90-91% purity. I had 2 batches that came in lower than 89.5%. One was 87% & the other was 88%. I'm not sure what happened with one of those but the other had some european silver that varied between .800 & .950.