You would be forgiven for thinking that to buy junk silver is to waste your money. The reference to junk silver is, in fact, coins that are minted with a high concentrate of silver in their makeup. They are highly collectable and valuable because of their 90 per cent silver content and their rarity on the open market. The coins that fall into this category were produced by the US Federal Reserve prior to 1965.
These types of coins were issued in half dollar, quarter and dimes before 1965 and differ from the current coins that are issued because of their value. Many individuals may not be aware that they have a valuable coin in their possession, because there is still a number in circulation. Those who do collect junk silver coins are usually doing so as an investment for their future.
Local banks sell rolls of coins to collectors. If you are buying from your bank and hoping to find a valuable sterling coin, you need to make sure the roll does not come from the Federal Reserve stock. The bank teller holds a record of the roll source, and you want to purchase rolls from independent sources. It is only from independent sources that you have any chance of finding a junk sterling coin.
It pays to keep in mind that there are no guarantees that you will find a genuine precious metal coin in your roll, regardless of the rolls origins. You will need to check the dates on each individual coin to see if they were minted before 1965. You may still have to consult a junk sterling specialist for verification that the coin is authentic.
In the run-up to the millennium, fears about the worlds economy saw these metal coins being bought up at outrageous prices. If you were lucky enough to be in the position of selling these types of coins, you could have made a staggering profit. On the other hand, if you were a collector, storing them up as your security, you possibly paid far over the odds for what you bought. Strangely enough, silver itself did not change much in value in the run-up to the millennium.
Fears about the effects of the millennium also saw a rise in the popularity of other metal coins issued by the US and Royal Canadian Mints. The US produced Silver Eagle, which proved popular at the time and remain a sought-after investment today. The Royal Canadian Mint produced the slightly fewer popular Maple Leaf which is also still in circulation.
If you are a serious collector of precious metal coins, you can at todays prices expect to pay more for half dollars than you would for quarters and dimes. Not only do half dollars hold a higher percentage of sterling, there were fewer minted and put into circulation. If you want to invest serious money into buying these metal coins, you need to establish a relationship with a reputable dealer.
If you buy junk silver coins, it is a volatile industry where you can either make or lose lots of cash. It is important to do your research and know who and what you are dealing with if you want to remain financially healthy. It is highly recommended that you spend some time on a daily basis checking the precious metal markets.
Buying junk silver is one of the best way to invest in silver bullion as a hedge against inflation. Find out more at JunkSilver.co!
