Why buy junk silver?
It’s important to understand why you want to buy junk silver in the first place. Knowing what you’re hoping to gain up front before you buy will help keep your expectations in-line as you collect junk silver.
Do you see junk silver as an investment? For some it may be an investment, for others it’s a way to save money and hedge against inflation. Junk silver is real money that is backed by the US Government. More importantly, it also has intrinsic value in the metal it’s made from.
- It is Real Silver Bullion
- It is Fractional Silver and is easily dividable
- Unlink gold, it’s never been subject to government confiscation
- It’s easy and convenient to store just about anywhere
- Readily available and has some of the lowest premiums of all silver bullion
- It is easy to liquidate and sell in the event you need to cash
Junk Silver is real silver bullion
Even though the name implies it’s junk, Junk Silver is real silver bullion. Each $1 face value of 90% junk silver contains .715 troy ounces of silver. Based on the current silver spot price of $24.07 each $1 face value is worth $17.21.
Many people, including coin shops, pawn shops and antique dealers recognize junk silver as real silver having real value. Aside from rare silver coins, counterfeiters have tended to avoid creating fake dimes, quarters and half dollars because their value isn’t high enough. Other forms of silver bullion are subject to counterfeiting. Junk silver does not have any numismatic value to collectors. Investors collect it as a store of value purely for the silver content. It is easy to buy junk silver.
Junk silver is fractional silver and is easily dividable
It doesn’t carry the same premiums as other fractional silver bullion. Junk silver is easily split up and sold or traded if it becomes necessary. It can make bartering and trading for goods and services much easier than other forms of silver and gold bullion because of its fractional nature.
Junk silver has never been subject to government confiscation
In 1933 President Roosevelt ordered all gold coins held by citizens to be turned over to the government. Those who failed to do so were subject to criminal penalties. Junk silver has not. It’s never been necessary to disclose ownership of junk silver coins. People began hoarding 90% silver coins at the time of the introduction of copper-clad coinage in 1965.
Junk silver is easy and convenient to store
Junk silver doesn’t require any special holders, containers or method of storage. It’s easy to store in paper rolls or zip lock bags just like any other coinage. Most junk silver shows some wear and tear because it was in common circulation for many years.
Junk Silver has some of the lowest premiums
Junk silver carries a lower premium over spot price than other silver or gold bullion products. The price of junk silver is based purely on the silver content. With each $1 face value containing .715 troy ounces of silver.
Most coin dealers, pawn shops or other places that deal in silver and gold bullion will often have bags of junk silver available for sale. Bags containing $100 face value or $1000 face value are common. For making smaller buys as a way to store wealth, smaller increments can easily be bought. Many dealers sell rolls of dimes containing $5 face value, or rolls of quarters containing $10 face value. It is easy to buy junk silver whenever you have extra money.
You can sometimes buy junk silver containing a lower percentage of silver below spot price. This includes war nickels (35% silver content) and Kennedy half-dollars minted from 1965 to 1969 (40% silver content). These coins are less desirable due to their lower silver content. Even though they are less desirable, they still hold their value due to the intrinsic nature of the silver content.
Junk silver is easy to liquidate and sell
Just as junk silver is readily available and easily bought, it can also be sold just as easily. Any local coin shop, pawn shop will readily buy junk silver in the event you need to sell it.